FSA exodus highlights 'major productivity issue'
The revolving door at the FSA has been spinner faster as new figures show that the number of staff leaving over the past year has nearly doubled, with compliance and risk management consultancy Wolters Kluwer Financial Services saying the numbers reveal a "major productivity issue".
Mark Coronna, chief of marketing and products officer for Wolters Kluwer, pointed to information released by the FSA, which showed that 352 employees quit the FSA during the past 12 months, compared with 181 the year before.
The exodus came as the City regulator prepares to be split into two bodies with responsibility for broker regulation falling on the Financial Conduct Authority.
Mr Coronna said the FSA's staff exodus highlights a major productivity issue faced by both regulators and regulated institutions.
"Put simply there is just not enough trained, certified and experienced compliance and risk talent available in the market. This is at a time the financial services industry is very much in the regulatory spotlight following the events of recent years.
"The challenge is to fill these 'productivity gaps' by providing tools, which reduce time and costs and allow staff to focus on higher-value and higher-risk programmes.
"The pressure to abide by tougher restrictions in light of the credit crunch is not likely to disappear anytime soon and so adopting new, efficient approaches to implementation makes sense for all concerned."