Treasury Committee LCF inquiry urges more 'interventionist' FCA

Regulator faces further pressure in wake of scandal

The Treasury Committee has called on the Financial Conduct Authority (FCA) to be more “interventionist” and “proactive” in its approach, following the damning findings of the regulator’s failings in response to the London Capital and Finance (LCF) mini-bond scandal.

In a report published today (24 June) the Treasury Committee slammed the FCA's board and most senior executives as failing to meet "the standards which [the regulator] seeks to impose on others". It follows an investigation under Dame Elizabeth, which in December revealed significant failures in the regulator's handling of the multi-million pound LCF and Connaught scandals, and included recommendations for change at the FCA. Most significantly, the changes included "restructuring the FCA", several new hires, and implementing a "use it or lose it" policy whereby firms may have their au...