What is the FPC for? - remarks by Alastair Clark

In a speech to the Society of Business Economists’ Annual Conference, Alastair Clark – member of the interim Financial Policy Committee (FPC) and Senior Adviser for Financial Stability, HM Treasury – explains how the lessons from the financial crisis are being reflected in changes to UK regulatory arrangements, and discusses some of the issues that have arisen in developing a framework for the FPC.

Published on 24 May 2012

He begins by reviewing the actions taken in the UK to address the weaknesses in regulation exposed by the crisis. He highlights the regime now in place to resolve a failing bank and the greater clarity about ‘who’s in charge’ in a crisis. He also notes the changes being made to the organisation and approach to supervision of individual institutions and recognition of the fact that there needs to be greater attention to system-level developments in focussing micro-supervision. That has led to the creation of the FPC, which is currently operating in interim form.

Press release