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Mar
30
2008

The Financial Services Authority (UK) is on the front line of regulatory assessment following nationalisation of Northern Rock.

FSA Northern Rock

  • Britain’s Financial Services Authority deserves high praise for publishing an excoriating study into its own failure adequately to regulate Northern Rock, the mortgage bank that had to be nationalised after a run by customers last summer. The FSA must now learn the lessons of its own report – something it did not do in the past when supervising Northern Rock – but the FSA’s failure to implement its risk-based approach to regulation does not mean the approach itself is flawed.
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