You are here: Home - News -

Kelly allays concern over FSA regulation

  • 21/05/2002
  • 0
Economic secretary to the Treasury Ruth Kelly has reassured the mortgage industry that regulation u...

Economic secretary to the Treasury Ruth Kelly has reassured the mortgage industry that regulation under the Financial Services Authority (FSA) should not contain too many surprises.

Speaking in an exclusive interview with the editor of IFAOnline, Julie Henderson, Kelly said: ‘I do not know why the industry is concerned because at the moment, we have a system of mortgage regulation which is run by the Mortgage Code Compliance Board (MCCB) which, in many respects, is quite similar to what the new regulatory regime under the FSA will look like. The fact is the FSA wants to regulate with a lighter touch.’

Much of the industry’s concern has focused around the cost of regulation. Estimates have suggested initial set-up costs will reach £36m with an annual cost of £32m, compared to the MCCB which operates on £5m a year.

Kelly said the Government will consult on how these operational costs are raised: ‘They will raise this money from the industry and will consult widely on how to implement any charges.’

• To read the whole interview, visit


There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.


Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.


Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.


Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
Paymentshield takes to the road with shows

Paymentshield is hosting a series of 14 roadshows aimed at mortgage brokers and IFAs. Starting on 15...