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The best two financial regulators have imposed strict rules for diversity and inclusion, in the latest sign that the Government’s pressure on the guards to support economic growth forces many policies to support the economic growth.
AND Financial behavior authority And on Wednesday, the Bodentive Regulation Administration said that they would not continue with plans that demand the companies to discover more about their diversity and inclusion policy, after being widespread by politicians and companies.
The move came along with the FCA’s decision to leave The disputed proposals “Name and Shame” More than regulated companies investigating and Prime Minister Sir Keir Starmer’s plan to abolish British Separate payment regulator.
Also mirrors Quick withdrawal US companies from the initiative for diversity, equality and involvement due to the comprehensive attack of conservatives who strengthened the elections of Donald Trump as the president.
According to the plans that were listed in September 2023 by FCA and PRI, which is part of the Bank of England, the financial services companies would require that they report more data on staff diversity, including age, ethnicity, gender, religion and sexual orientation.
The heads of the two regulators said on Wednesday that the plans gave up in response to criticism that they would add a heavy burden of reporting for companies and to create overlap with government proposals for legislation in this area.
In the letter of the ladies Meg Hillier, chairman of the Home Crealer House Committee, PRA, Woods himself wrote: “Many of those who responded to our consultation wanted to reconcile our regulatory approach with related initiatives, to avoid duplicating and unnecessary costs.
“In view of this, we are not planning to publish new rules on diversity and involvement at the moment, and we do not intend to return to this question only after the essential application of any new legislation in this area,” Woods said.
He added that regulators would support voluntary industrial initiatives and “stay awake at the risks of thinking about a group within the company”.
Many financial services companies are already obliged to report on their gender -salaries difference, but the MPs have withdrawn against plans to expand the amount of the diversity report.
In his report “Sex and the City” last year, the Treasury Selecting Committee warned: “These expensive initiatives with vague benefits will treat many companies as another reconciliation exercise with” Bock-Box “, not necessarily launching the much-needed cultural change.”
Starmer has since called the leading guards to suggest ways to increase economic growth, and they said to the Cabinet ministers to revise all 130 regulators to see which bodies can be set.
The FCA -E Nikhil Rathi CEO has confirmed in his letter to TSC that the guard also gives up plans for identifying more regulated companies to be investigated.
Explaining the decision, Rathi said that although “the goal was to build a wide consensus behind the proposal” and were supported by consumer and whistle, “the industry remains largely opposed to certain aspects.”
Rathi said that criticism focused on “the special publication of an investigation by a regulated company that performed authorized activities when a public interest test was completed.”
“Given the lack of consensus, we will not continue with this and therefore we will adhere to the existing test of exceptional circumstances to determine if we need to publish investigations of regulated companies,” he added.
Rathi noted that the regulator would continue to continue to reveal the identity of regulated companies that explore when others announce when the probes unregulated companies, “which are often fraud that involves significant consumer damage.”
FCA announced that it delayed plans to introduce rules on non -financial misconduct, such as sexual harassment or harassment in the workplace, until June. They should have reached this month.
Rathi said in his letter that the guard was “still dedicated to this work”, but that “the legislative landscape has also changed since we consulted”, so “it took further time to correct it.”
Two regulators also said they plan to examine how to abolish restriction on bankers’ bonuses affect gender salary and inequality.
But to allow companies to adjust their payment policies, this work probably only occurred in the financial year 2026-27, FCA and Pra said.
