§ Dr. CableTo ask the Chancellor of the Exchequer if he will make a statement on the performance of the FSA in regulating the insurance sector, with particular reference to Equitable Life. [143169]
§ Miss Melanie Johnson[holding answer 18 December 2000]The Government have noted the statements from the Financial Services Authority (FSA) and Equitable Life on 8 December that Equitable Life would close to new business with immediate effect. We welcome the fact that the FSA and the Society are working closely together to protect the interests of policyholders.
The FSA intends to prepare a report on the events leading to the closure of Equitable Life to new business. The report will cover both the FSA's role as prudential regulator and its exercise of its functions under the Financial Services Act 1986. The report is likely to take some months to complete and will be published.