US feels weight of regulation

The UK’s current concern over maintaining its competitive position in the face of growing rivals such as Bermuda and Ireland is also echoed in recent debate in the US. London has been waiting in the wings to take over New York’s reign as the leading financial centre for years and the US is starting to feel the heat. Years of stringent rules and regulations, most recently consolidated in Sarbanes-Oxley, have caught up on the US.

If two recent and highly influential reports are anything to go by, the US is in fear of losing the competitive edge that has held its financial services industry in such high esteem for years. A system perceived as complex, overlapping and over-burdensome is weighing heavy on the industry and both reports recommend drastic action by legislators and policy-makers.