Mortgage Industry News

← Back

Abbey chief rounds on FSA

Date: Fri, 27 Feb 04 Analysis

The Financial Services Authority (FSA) has been heavily criticised by Abbey financial director Stephen Hester.

Mr Hester rounded on the City watchdog this morning after the banking group reported losses of more than £680 million.

The FSA has been heavily criticised over the introduction of tough new rules for life insurers.

New regulations designed to protect policyholders require insurance providers to find more capital to support their long-term investments.

It is thought the rules had a significant impact on Abbey's performance. Mr Hester told the Times this morning that he remained "unsure" about their long-term effect.

Abbey made a £373 million provision for its life insurance operations last year.

The UK's sixth largest bank owns Scottish Mutual, Scottish Provident and Abbey National Life

© 1998-2005 DeHavilland Information Services plc. All rights reserved.

Endsleigh Insurance Services Limited is authorised and regulated by the Financial Services Authority. This can be checked on the FSA Register by visiting its web site at www.fsa.gov.uk/register.
Endsleigh Insurance Services Limited. Company No: 856706 registered in England at Shurdington Road, Cheltenham Spa, Gloucestershire GL51 4UE.