Question to the HM Treasury:

To ask the Chancellor of the Exchequer, with reference to the Future Regulatory Framework Review, what assessment he has made of the potential merits of increasing the representation of consumers on the financial regulators’ stakeholder panels.

The government believes that it is vital that there are opportunities for interested stakeholders, including consumer groups and firms, to engage with and scrutinise the development of regulatory proposals.

The regulators are required under the Financial Services and Markets Act (FMSA) 2000 to maintain stakeholder panels as part of their general duties to consult. These panels are intended to provide valuable insight, advice and challenge across the regulators’ functions, drawing on the experience and expertise of their respective memberships.

The November 2021 Future Regulatory Framework (FRF) Review consultation proposed a number of measures to enhance the role of the panels and ensure that they represent a diverse range of stakeholders, and that the regulators are transparent about where they have engaged the panels, while maintaining their crucial role as a ‘critical friend’

The Financial Conduct Authority (FCA) currently engages with five independent stakeholder panels. The FCA Consumer Panel specifically represents the interests of consumers. The panel also has the ability to communicate its views to the Prudential Regulation Authority (PRA) on any matter the panel considers relevant.