FSA combines divisions in restructuring

An internal restructuring at the Financial Services Authority (FSA) is almost complete, the organisation’s chief executive confirmed yesterday.

The City watchdog is streamlining its operations in the wake of the credit crunch, so that it can perform more effective regulation of banks and the financial markets.

In order to achieve that goal, the previously separate retail and wholesale supervision units have been combined into a single Supervision division.

New standalone Risk and International units have also been created.

The restructuring is scheduled to be officially complete in October.

Hector Sants, FSA chief executive, said: ’These changes will provide greater clarity, both internally and externally, as to the way we work and, in particular, reinforce our role as micro-prudential supervisor based on a model of integrated risk analysis and integrated supervision.

’I believe the actions we have taken since the crisis began have shown the effectiveness of this model. This reorganisation will ensure our changing working practices and the way we make our judgements are successfully institutionalised.’ADNFCR-2318-ID-19249492-ADNFCR