Right Royal criticism of city regulation

THE Duke of Edinburgh is well known for telling it straight , but the staff at the Bank of England must have thought they were safe from any Royal gaffes yesterday, as the Duke made a visit to the Old Lady of Threadneedle Street with Her Royal Highness. As Bank economist Sujit Kapadia explained the unpredictable nature of financial crises – unpredictable, much like pandemic flu and earthquakes – to the monarch, Prince Philip warned policymakers: “Don’t do it again”. The Queen also joined the debate, having asked on a visit in 2008 why no one saw the crisis coming. Kapadia explained: "People thought markets were efficient, people thought regulation wasn't necessary,” to which the Queen replied: “People had got a bit...lax, had they?” City watchdog the FSA – responsible for overseeing markets – was quick to respond. “We've widely acknowledged that the regulatory approach before the financial crisis in 2008 was flawed and has since been completely changed. Parliament is now awaiting Royal Assent for the Financial Services Bill, which will determine the powers for the new regulators that will be created next year.”