New financial regulatory system announced

A series of changes to the State's financial regulatory system flagged in the supplementary Budget in April have been announced…

A series of changes to the State's financial regulatory system flagged in the supplementary Budget in April have been announced by the Minister for Finance today.

A new agency, called the Central Bank of Ireland Commission, will replace the the current board structure of the Central Bank and the Financial Services Regulatory Authority.

Mr Lenihan said the new structure would provide a regulatory system commensurate with the highest EU and international standards and would be a “single fully integrated regulatory institution” for the financial sector.

Two new roles will be created in the Commission, that of head of financial supervision and a head of central banking.

The Minister said the process of recruiting the head of financial supervision was underway with former Deputy Governor of the Bank of England Sir Andrew Large advising the Government on the recruitment process.

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Minister for Finance Brian Lenihan also said Central Bank Governor would John Hurley remain on remain with the bank for “a period of additional months” as he reforms the country’s banking regulation system.

Mr Hurley had been due to step down in March.