The Financial Services Bill has been published. It contains some crowd pleasing provisions on remuneration, but its main focus is on enhancing the disciplinary and enforcement powers of the FSA and the prudential supervisory structure. The key features of the Bill are:
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Novel powers to enforce Remuneration Code of Practice and nullify firm's remuneration agreements.
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Compulsory recovery and resolution plans for UK banks and building societies.
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Extensive and widely-drafted information-gathering powers from managers and owners of hedge funds and investment funds, and service providers to such persons.
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Enhancement of the FSA's rulemaking and disciplinary powers.
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Possibility of US-style collective actions against financial firms.
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Wide short selling rule-making powers for the FSA.
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Establishment of Council for Financial Stability.
A stop press describing the Bill in more detail is available here.
