BSA comment on the FSA’s Financial Service Compensation Scheme consultation
Commenting on the publication of the FSA consultation into the funding of the Financial Services Compensation Scheme, Adrian Coles, Director-General of the BSA, said:
"Whilst we will be studying this long-awaited FSA consultation closely, it seems on first reading to fail to address our long-held concerns about the disproportionate burden that the current funding model puts onto building societies. We are disappointed by this omission, though not surprised, given the on-going uncertainty in Europe on the direction of the EU Deposit Guarantee Scheme Directive.
To date we have broadly supported Europe's move towards a risk-based model, rather than one that is based purely on retail deposit balances. We will of course participate fully in the consultation process announced today."
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Contact
Hilary McVitty – hilary.mcvitty@bsa.org.uk / 020 7520 5926
Notes to Editors
1. The Building Societies Association (BSA) represents mutual lenders and deposit takers in the UK including all 47 UK building societies. Mutual lenders and deposit takers have more than 32 million customers, total assets of over £375 billion and, together with their subsidiaries, hold residential mortgages of nearly £240 billion, 19% of the total outstanding in the UK. They hold more than £250 billion of retail deposits, accounting for 22% of all such deposits in the UK. Mutual deposit takers account for 34% of cash ISA balances. They employ approximately 50,000 full and part-time staff and operate through approximately 2,000 branches.
2. Photographs of Adrian Coles are available from the BSA press office, or from the Association's website at www.bsa.org.uk or Headlinemoney www.headlinemoney.co.uk
Katie Wise
Policy and External Affairs Officer
Building Societies Association
6th Floor, York House
23 Kingsway
London
WC2B 6UJ
Tel: 020 7520 5904
Email: katie.wise@bsa.org.uk
Web: www.bsa.org.uk
Twitter: @BSABuildingSocs
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