Light touch is firming up

Author: | Published: 1 Dec 2008

It is no surprise that the credit crunch has led to a clamour for greater regulation of financial services. On October 11 2007, the UK Chancellor of the Exchequer pledged that he would review the existing supervisory regime. Following that announcement, the Bank of England, the Financial Services Authority (FSA) and the Treasury have jointly published four consultation papers outlining proposed reforms to the financial services regulatory framework.

Jamie Symington, head of wholesale enforcement at the FSA, reaffirmed in a speech to the City earlier this month the priority the FSA places on guarding against market abuse. Working from a common-sense view that a jittery market might only serve to increase the potential for market abuse, the FSA has pledged to continue to pursue both criminal and civil sanctions.

Against this backdrop, where does the Alternative Investment Market (Aim), launched by the London Stock Exchange (LSE) in 1995 and specifically...