§ Mr. Sedgemoreasked the Secretary of State for Trade and Industry if he has any plans to seek to make illegal or otherwise prevent personal account dealing by members of firms of stockbrokers, security houses or merchant banks.
§ Mr. HowardNo. Restrictions on personal dealings are already widely applied within firms, and provided that they are vigorously enforced I do not consider it necessary to go further. The Financial Services Act provides SIB, assuming that it becomes the designated agency, with much more effective means of dealing with the matter than the powers now available to me under the Prevention of Fraud (Investments) Act.
As the hon. Member will be aware, the new Financial Services Act powers to investigate alleged cases of insider dealing, which is a criminal offence, came into force on 15 November.