FCA calls for acceptance of risk-taking outcomes as industry tackles balance between growth and consumer protection

Treasury Committee hearing

Encouraging greater risk-taking in the financial services industry to foster growth may sometimes attract people “who do not have the best of intentions”, the Financial Conduct Authority's chief executive Nikhil Rathi has argued.

Speaking before the Treasury Committee today (10 December), Rathi said the FCA cannot prevent all the negative outcomes resulting from more risk taking, adding that "sometime in the next few years, one or two more things will go wrong". However, he continued that, this was necessary in order to change risk appetite and bolster UK economic growth. The FCA CEO's statements came amid growing criticism from politicians and industry members that UK regulation is hampering risk appetite for investment in the country. FCA has 'near impossible' job to balance growth and consumer protection...