Shorter supply chains ease the effect of regulatory pressures on private banks

Shorter supply chains mean UK private banks will feel the effects of regulation less than retail banks

green light for private banks, red light for retail

The quantity of regulatory change will bring about a complete overhaul of the way financial markets operate in Europe, but due to shorter and less complicated supply chains, private banks will not feel the effects of regulatory pressures as much as retail banks, according to industry participants.

“It is probably fair to say the FSA [UK Financial Services Authority] is less concerned about distribution models of private banks and ensuring control over supply chains,” says Emily Benson, director