FIMBRA (Hansard, 16 November 1987)

§ Mr. Maxwell-Hyslop
To ask the Chancellor of the Duchy of Lancaster whether he will cause to be published, after he has received it, the report by the Director General of Fair Trading on FIMBRA's application for recognition as a self-regulating organisation; and whether he will invite comments on it from the financial services industry.

§ Mr. Maude
Under section 122(8) of the Financial Services Act, it is for the director general to decide whether to publish any report which he makes under that section. However, I understand that in the case of FIMBRA's application, the director general expects to publish his report. In reaching a decision on whether to give leave to the Securities and Investment Board to recognise FIMBRA, my right hon. Friend will take account of any representations made to him.

§ Mr. Maxwell-Hyslop
To ask the Chancellor of the Duchy of Lancaster whether he will request the Director General of Fair Trading to report as to whether the sample of category 1 practitioners in Arthur Young management consultants' survey, commissioned by him of potential FIMBRA members who are sole practitioners, is proportionate numerically to the membership characteristics of the other categories of financial services practitioners contained in their report.

§ Mr. Maude
It is for the director general to consider what should be covered in the reports which he is obliged to make under section 122 of the Financial Services Act. If my hon. Friend has material which he believes would be helpful to the director general in compiling his report. I should be happy to pass it to the director general.

§ Mr. Maxwell-Hyslop
To ask the Chancellor of the Duchy of Lancaster whether he will invite the Director General of Fair Trading to report on any characteristics of membership category balance in the council of FIMBRA when that body applies for registration as a self-regulating organisation, in so far as any lack of balance is judged to affect competition within the financial services industry.

§ Mr. Maude
It is for the director general to consider what should be covered in the reports which he is obliged to make under section 122 of the Financial Services Act. Paragraph 5 of Schedule 2 to the Act, will require FIMBRA, before it can be recognised under the Act, to satisfy the Securities and Investments Board that it has arrangements to ensure that its governing body represents a proper balance between the interests of its different members as well as between its interest of those of its members and the interests of the public.