Conservatives would phase-in FSA reform

The Conservative Party has assured the City that its pre-election plan to dissolve the Financial Services Authority (FSA) would be phased-in over several months – possibly years – to avoid unnecessary disruption for regulated firms. In July this year, the Conservative Party said if it won the next general election it would replace the FSA with a new system of regulation divided between the Bank of England for banks and insurers and a new Consumer Protection Agency for insurance brokers and other advisers.