WHO KNEW THE FSA?

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THE FSA?

In this beautiful Kingdom of ours, other than estate agents London and Mortgage lenders, who knows who the FSA are or, were? The FSA (Financial Services Authority) “came into power”, their own words on their now defunct website, on 1/12/01 and at the very least gave the Industry quarterly reports of the monetary flow in the mortgage Industry.

Other than the quarterly mortgage reports, the FSA have been unable to satisfy our ever-bickering Government, resulting in the FSA being removed from their power and replaced by TWO other institutions, both equally grand in their acronyms. On 1st of April 2013 the replacements were brought to 'power', the FCA, Financial Conduct Authority and the PRA, Prudential Regulation Authority.
More Authority, good heavens!!!

 

The FSA's PURPOSE?

“We were given four specific, and equal, objectives by Parliament. These are: maintaining market confidence; contributing to the protection and enhancement of the stability of the UK financial system; securing the appropriate degree of protection for consumers; and fighting financial crime.
In practice, this means that we want to make markets work effectively to deliver benefits to firms and consumers.

NOW, FCA and PRA

FCA: “To achieve this, we regulate firms and financial advisers so that markets and financial systems remain sound, stable and resilient. We also encourage transparent pricing that’s easy for everyone to understand. Our aim is to help firms put the interests of their customers and the integrity of the market at the core of what they do.”
PRA: On 1 April 2013 the Prudential Regulation Authority (PRA) became responsible for the prudential regulation and supervision of banks, building societies, credit unions, insurers and major investment firms. In total the PRA regulates around 1,700 financial firms. In promoting safety and soundness, the PRA focuses primarily on the harm that firms can cause to the stability of the UK financial system.

SEE THE SHIFT? 

Please read the underlined sentences. It swung from 'want to make markets work effectively to the benefit of the consumers' which indicated their aspiration to support to the new objectives of policing 'focusing primarily on the harm that firms can cause'.          
Looking at the frightening mess Banks and their allies have dumped the World Economy into, we should welcome that, but why take the purpose away from protecting the consumer?

CONSUMER NEWS

1st TIME BUYERS

Despite the blood curdling news bandied around by Max Keizer on the British economy, mostly younger people seem to retain sufficient confidence in the UK economy and the stability of the British Pound, lending to first-time buyers increased by 3% in February, making it the busiest start to a year since 2008 for estate agents in London assisting people joining the property ladder, with a total of 16,400 loans made to first-time buyers, which will certainly bolster business for those with houses for sale in Islington as well.
This dramatic increase was greatly bolstered by the chancellor George Osborne when he launched the Help to Buy program, a £3.5bn investment in government loans to financially stretched home buyers and a £12bn scheme to increase the availability of mortgages to people who cannot afford a large deposit, which he unveiled "to support a new generation in realising the dream of home ownership". (Pray people, the bubble holds)

BANK of ENGLAND's VIEW

Another prominent economist that seems to blow off Max Keizer is no other than the governor of the Bank of England Sir Mervyn King, in a boost to the chancellor, he said the recovery "is in sight". King blamed the crisis in the Euro zone, which accounts for almost 50% of exports, for the weakness of the UK's return to economic health, but said growth was now gaining momentum.  "There is momentum behind the recovery that's coming, and I think that during the course of 2013 we will see the recovery come into sight." King said: (Is that why ours is a Kingdom?)