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Banks turned a "blind eye" - UK regulator Wheatley

Wednesday, September 05, 2012 - 02:00

Sept. 5 - Banks intentionally ''turned a blind eye'' to mis-selling risks and must restructure sales incentive programmes to protect consumers, argues the UK's new financial regulator Martin Wheatley.

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It's too often been the case that this -- salesperson. Is applauded by the board and the board turned a blind dying to what is to -- that style sales results. What we want -- to do is still lost questions about whether those stock sales figures have been achieved at the expense of a customer or whether -- be achieved in accordance with good practice. I want to draw the line in the sand here for us and use the report with publishing today. To set clear expectations for sales incentive structure is going forward. This starts a program of work that we will continue as the FCA. Which I'm personally committed to in making sure all -- we deliver. Incentive structures across the industry which deliver proper and Goodell comes to -- this. I won't personally be involved in getting this right it's a key part of the ongoing commitment will be at CA when we're up from running from the early next here. And at the hearts of the culture we expect the change we expect will be the ability and the appetite to protect consumers spent so. Dealing with behavior local people's conduct is at the top of our agenda. From boardroom to point of sale of the behavior and attitude to financial firms needs to be examined and assess. Especially in terms of the experience in office to the ultimate conceive this. This will include preemptive regulation that takes a broad and deep look at -- business individually and across the board. We will look for the bigger issues and we will deal with them quickly once we spot them. We will look at how firms make them money how they played this stuff of whether that's thinking she can't as to how they designed incentive schemes. It's a change to the traditional regular entry model which involve setting standards and looking back at what things have done. Going forward to regulate -- will be more forward looking more judgmental and our interventions into firms' behavior.

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Banks turned a "blind eye" - UK regulator Wheatley

Wednesday, September 05, 2012 - 02:00