FSA must get tough to make a success of retail banking regulation

As the Financial Services Authority (FSA) announces that, from November 2009, it will be taking over all retail banking conduct regulation for deposit taking and payment services, Which? personal finance campaigner, Vera Cottrell says: "The FSA has to get tough as a regulator and use its full range of powers to keep banks in check. If it relies on the industry to develop its own code consumers could find themselves worse off.

"Instead of closing the stable door after the horse has bolted, it must be proactive in finding and dealing with problems or consumers will lose out."