BSI to develop financial services compliance standard
26 October 2009
BSI, the UK’s national standards body, has brought together key stakeholders from the UK financial services sector to develop a standard for compliance teams. The standard will set out a common methodology, process and good practice which can be adopted by compliance teams in retail and wholesale financial firms.
The standard will be voluntary but will seek to complement existing regulation. It will enable organizations to demonstrate regulatory compliance and assurance more easily through a consistent, transparent, auditable approach. Unlike professional qualifications, the standard will not focus on individual competencies, but on business and operational processes.
Compliance with the standard is expected to help reduce the risk of compliance failures and offer greater reassurance to senior management and stakeholders that regulatory requirements are being met and managed appropriately. It will also enable better monitoring of systems and processes within a compliance team and promote recruitment of appropriately competent and experienced staff.
Mike Low, Director, Standards, BSI, said:
“Once published, this standard will provide a robust and consistent framework within which an organization will be able to administer and manage its compliance programme, providing reassurance to senior managers, regulators and customers by reducing the risk of compliance failure. BSI is delighted to bring together the financial services industry in a proactive response to events in the financial world.”
Supporting the development of the standard, Angela Knight, CEO of the British Bankers’ Association, said:
“This is an interesting and challenging initiative which should improve efficiencies between and amongst compliance teams across the financial service industry and the BBA welcomes its development."
Earlier this year BSI worked with Complinet to conduct a market survey which demonstrated the compliance community’s support for the initiative. Compliance practitioners, along with the Financial Services Authority (FSA) and representatives of relevant trade associations, recently attended the first Steering Committee meeting.
A draft of the standard will be available for public comment in Spring 2010 with publication expected late 2010.
- ENDS -
Notes to Editors
Organizations on the BSI Steering Gommittee include:
London Investment Banking Association
Securities & Investment Institute
British Bankers' Association
The Futures and Options Association
Association of Private Client Investment Managers and Stockbrokers
Association of British Insurers
Association of Professional Compliance Consultants
BSI is a global independent business services organization that inspires confidence and delivers assurance to over 80,000 customers with standards-based solutions. Originating as the world’s first national standards body, BSI has over 2,300 staff operating in over 120 countries through more than 50 global offices. BSI’s key offerings are:
• The development and sale of private, national and international standards and supporting information that promote and share best practice
• Second and third-party management systems assessment and certification in all critical areas of management disciplines
• Testing and certification of services and products for Kitemark and CE marking to UK, European and International standards. BSI is a Notified Body for 15 New Approach EU Directives
• Certification of high-risk, complex medical devices
• Performance management software solutions
• Training services in support of standards implementation and business best practice.
For further information please visit www.bsigroup.com