FINANCIAL CONDUCT AUTHORITY

Early day motion 1047, tabled 1 February 2016 by Kirsten Oswald (Scottish National Party). Signed by 44 members.

That this House expresses concern at the continuing failure of regulation enforcement and restoration in the financial services sector; views the Financial Conduct Authority's (FCA) failure to respond effectively to the loss of over £100 million from 1,500 investors in the Connaught Fund and its abandonment of the planned review of banking culture as further evidence of the accuracy of the Treasury Committee's description of the FCA as an agency with deep cultural problems; recognises with particular concern that, even when the Financial Ombudsman's Service (FOS) has awarded compensation investors can face an expensive court action to secure payment, only to find that their adviser has insufficient capital to meet the claim and no indemnity insurance against which the claim can be enforced; notes that when investors are forced to pursue a claim under the Financial Services Compensation Scheme (FSCS) the supposedly final and binding determination of the FOS is set aside and the FSCS reassesses the level of compensation using its own rules and considers there to be mounting evidence that the FCA, FOS and FSCS triumvirate is not fit for purpose.

Signatures by party: Scottish National Party 32, DUP 4, Labour 3, Plaid Cymru 2, Social Democratic and Labour Party 2, Independent 1.