Financial services will have to finance regulation

THE financial services industry will have to finance the regulation of the profession by 2004, according to incoming Interim Irish Financial Services Regulatory Authority (IFRSA) chief executive Dr Liam O’Reilly.

When asked if the industry should finance regulation, Dr O’Reilly replied: “Good regulation enhances the reputation of the Irish financial services industry and it is money well spent. The legislation allows for industry funding of the regulator and how this is to be done is something we will be looking at during the coming year. Consultation with industry will form part of this process.

“We expect that from 2004 the authority will be funded by those firms it regulates. From our point of view, the authority must be effective and efficient and these are the factors that will determine the outcome to the levy question,” he said.