Or different regulation, better regulation?
Philip Booth is arguing for the latter. Not going to extract from it as it stands very well as a piece.
There\’s an argument in there that I\’ve made myself….that it was Brown\’s changes to the structure of regulation that caused some of the current problems. The FSA is a bureaucracy, not really the structure you want to try and deal with a crisis in anything, let alone something as fast moving as financial markets.
Much better to have the lender of last resort, the BoE, as also the banking regulator.
The solution might not in fact be to load the markets with more and more complex regulation. It might in fact be to step back a decade or two and to make regulation simpler, regulation by one body, regulation that is a great deal less legalistic and a great deal more hard nosed and market involved. That phone calls around The City, that banging of heads together by the Governor, rather than form filling by empire building bureaucrats.
BCCI?