FSA Discussion Paper On Transparency As A Regulatory Tool

The FSA intends to use transparency as a regulatory tool. This will affect both retail and wholesale markets. We recommend that you respond to this DP08/03. The period for responses closes on 29 August 2008.

The DP concerns whether the FSA should publicise complaints and other information (such as that received under Principle 11) to drive higher levels of financial capability and consumer confidence in financial firms. The DP contains a proposed code of conduct and decision trees which the FSA would follow when deciding to disclose information obtained from and about firms. Confidentiality issues are acknowledged but information may be disclosed in any event. Firms may be required to make additional disclosures in materials given to customers.