Furse gets nod to be regulator despite concern

Tim Wallace
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THE NEW regulators joining the Bank of England’s financial policy committee (FPC) were all approved by MPs yesterday – but they are expected to come back with more evidence of their interest in independence.

Former London Stock Exchange chief Dame Clara Furse, Goldman Sachs alumnus Richard Sharp and ex-Barclays chief Martin Taylor all satisfied the Treasury Select Committee (TSC) that they have “the professional competence and personal independence to be an external member of the Financial Policy Committee.”

But MPs also said some improvements are needed.

The Committee expressed serious concerns about the appointment of Dame Clara Furse, relating to her awareness of the importance of asserting the independence of the Financial Policy Committee,” the TSC’s report said.

And relating to “her explanation of her role on the board of Fortis in relation to the purchase of part of ABN AMRO and Fortis’s subsequent bailout, and the lessons she said that she had learnt from that experience.”

The TSC also said Richard Sharp would need to show his improved knowledge of the job.

“He himself has recognised that he will need to acquire technical knowledge,” the TSC said.

FPC members will appear before the TSC twice a year, with these three likely to meet MPs once per year.