Responding to the Turner Review, Aifa director general Chris Cummings has cautioned against the rushed implementation of additional regulation.
He says: “In a global profession we should not underestimate the impact and consequences of altering capital and regulatory requirements for the banking sector.
“Aifa believes that there could be the risk of an overly robust regulator stifling an economic recovery and creativity in the financial markets. We should be particularly mindful of introducing reforms in this country without agreement and consensus at both a European and global level. Without this then the financial services industry in the UK could be placed at a real competitive disadvantage.”
Cummings says the FSA must be mindful that any regulatory changes do not adversely affect other sections of the industry.
He says: “We will study these proposals in detail to ensure they provide the best outcome for the IFA profession, the wider industry and most importantly consumers.”