New regulator system branded a ‘red herring’

THE Government has moved to restore the country’s financial reputation with the announcement of a new system of regulation that the opposition has dismissed as “a red herring”.

The Central Bank of Ireland Commission will replace the boards of the Central Bank and the Financial Regulator under the plan, which had been flagged in April’s emergency budget.

Finance Minister Brian Lenihan said legislation will ensure the new structures are more accountable to the Oireachtas and to “strengthen evaluation and quality assurance of regulatory performance”.