Staff have been quitting Britain's financial watchdogs at nearly twice the rate since they were split into two bodies this year, data seen by Reuters shows, at a time when experts warn of a regulatory brain drain in Europe's biggest financial hub.
The news agency reports that Britain broke its financial regulator up into two separate agencies in April to ensure stricter scrutiny of banks and markets in the wake of the 2007-09 financial crisis and a series of costly scandals involving bankers' misdeeds.
But the rate of resignations has nearly doubled at both the Financial Conduct Authority (FCA) and Prudential Regulation Authority (PRA), the two bodies that replaced the Financial Services Authority on 1st April.
That raises concerns about the new bodies' ability to retain staff capable of carrying out tougher, more interventionist regulation.
'It's a concern for regulators and they will continue to see a tremendous amount of pressure on keeping their employees', said Etay Katz, regulatory partner at law firm Allen & Overy.
According to data provided by the two bodies under Freedom of Information Act requests by Reuters, staff have been leaving the FCA since its formation at an annualised rate of 12% and the PRA at a rate of 11%.
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image: © Keith Laverack