HC Deb 09 May 1996 vol 277 cc203-4W
Mr. John Greenway

To ask the Chancellor of the Exchequer if he will extend the scope of the Financial Services Act 1986 to cover regulation of custody services following the consultation carried out by the Securities and Investments Board. [28959]

Mrs. Angela Knight

I have accepted the recommendation of the Securities and Investments Board that the scope of the Act should be extended to those custody services covering the safekeeping and administration of investments. I believe that this will extend investor protection but am also concerned that it should not impose disproportionate burdens on authorised firms. I shall accordingly be seeking views on the terms in which the Act should be extended in a consultation paper which I hope will be issued shortly.