‘Rigorous’ financial regulation promised

THE regulatory framework for Irish-based financial services firms is to be completely overhauled in the coming months, with the current “one size fits all” model being replaced with a “more rigorous” case by case approach.

In his first public speech since being appointed last October, the Central Bank’s new head of financial regulation, Matthew Elderfield, said: “A risk-based model means that we will not have a ‘one size fits all’ approach. We need to be balanced and proportionate, depending on the risk of the sector or firm in question.

“While we do need to improve our level of engagement across the board, a systemically important bank should expect a much more intrusive approach than a fund or wholesale insurance company with a lower risk profile.