Abolish the FSA, Transfer powers to the BofE is the synopsis.
- DC introduces Tory Bank Policy White Paper
There is no doubt that the tripartite system failed. Too many macro decisions fell in the gaps in between and the idea of panic in the air over the three week period was palpable. The idea of a financial policy committee is a good macro decisioning tool and its position within the BofE seems a sensible one.
Overall, the Tory Bank Policy looks stable, however the devil will be in the detail. I would like to see an explanation of what the Treasury’s role in this will be in the future. Outsourcing financial overseeing should not lead to a dereliction of duty by the government of the day.
To labour is to struggle 