The Financial Services Authority should regulate banks, not lobby for them!
We’ve known all along that the financial lobby is fighting hard against measures to tackle food speculation so that banks can continue to profit from hunger.
And now we’ve uncovered a powerful player who is battling on behalf of the financial sector. The Financial Services Authority (FSA) is supposed to be the UK’s 'independent' financial regulator, but is involved in behind the scenes lobbying for food speculation. Our research shows that in the last six months it's had 34 meetings with the financial sector to discuss food speculation. Ten meetings alone were with the London Metal Exchange, a firm opponent of regulation.
We've also found that the FSA is in regular contact with the government on financial reform and is helping the UK form its position as the main opponent to regulation. It has seconded staff to all the UK and EU bodies tasked with regulating food speculation, has been lobbying MEPs and suggested amendments that reflect the interests of the banks.
Two years ago, at the launch of our campaign, hundreds of us phoned the FSA to complain about food speculation. Back then it claimed to not be able to do anything about the issue, but we now know that it is pushing for weak rules.
The FSA is not widely known by the public and is not used to being exposed to public pressure. Because of this we think we can make it take notice of us.
Please take action by writing to the FSA's chairman, Lord Adair Turner. Together we can remind him that the FSA's remit is to work in the public interest, not in the interests of the industry it is supposed to be regulating.
Let’s get the FSA to call on the government to strict limits ('position limits') on speculators.