FCA CEO Bailey on Brexit, Global Financial Markets, Regulations

The transcript discusses the impact of Brexit on financial regulation, emphasizing the need for global alignment and the role of the Bank of England in maintaining regulatory responsibilities. It highlights the importance of establishing predictable UK-EU financial relations based on equivalence and the necessity of global financial market integration. The discussion also covers maintaining competitiveness through strong public interest objectives and the regulatory approach to fintech and payment companies.

What is the main argument against reducing financial regulation post-Brexit?

• Global regulation is becoming more aligned.

• It would lead to increased financial crises.

• It would make the UK less competitive.

• It would isolate the UK from the EU.

Why is regulatory experience important for the next governor of the Bank of England?

• To ensure compliance with EU laws.

• To manage the Bank's new regulatory responsibilities.

• To reduce the Bank's operational costs.

• To increase the Bank's global influence.

What is the key aspect of the future UK-EU financial relationship?

• Establishing a common currency.

• Creating a joint financial market.

• Basing the relationship on equivalence.

• Reducing trade barriers.

What should be the basis for agreements between the UK and other countries?

• Cultural similarities.

• Historical ties.

• Outcomes based on clear principles.

• Geographical proximity.

What is the main objective of global financial regulation?

• To ensure open global financial markets.

• To create a single global currency.

• To isolate regional markets.

• To increase competition among regulators.

How can Europe avoid losing out to other financial centers like New York and Hong Kong?

• By reducing regulatory standards.

• By isolating from global markets.

• By maintaining open markets.

• By increasing bank finance dependency.

Why is it important for the UK to maintain strong relationships with European regulators post-Brexit?

• To ensure compliance with EU laws.

• To avoid isolation and maintain open markets.

• To increase the UK's influence in Europe.

• To reduce regulatory costs.

What is a key factor in maintaining competitiveness in the financial sector post-Brexit?

• Reducing market integrity.

• Isolating from European markets.

• Increasing regulatory barriers.

• Ensuring fair treatment of market users.

How should payment companies that resemble banks be regulated?

• They should be regulated like banks if they take deposits.

• They should be left unregulated.

• They should be regulated by the Bank of England only.

• They should be regulated by the EU only.

What is the role of fintech in the global financial market?

• To focus solely on the UK market.

• To replace traditional banks.

• To complement existing financial services.

• To operate independently of regulations.