FSA Chief Operating Officer Paul Boyle said:
“We inherited a multiplicity of different and inconsistent reporting formats from the predecessor regulators and today we set out proposals to move to an integrated and harmonised framework which will eventually replace all the separate reporting forms that firms are currently required to complete, and exploit the potential of electronic reporting.
“We propose to align reporting periods with firms’ financial years thereby better enabling them to utilise the information they generate for their own business purposes when reporting to us. Integrated reporting will make it easier for firms to report to us with our data requirements ‘pushed’ to them electronically for completion. The information we require will be based on the type of business firms undertake.
“Integrated reporting will minimise ad hoc data requests from us to firms and will cut duplication where a firm carries out more than one regulated activity. We have already identified redundant data which will be omitted as we roll out integrated reporting across all sections of the industry.
“Integrated reporting will improve our effectiveness in meeting our statutory objectives whilst reducing costs for us and firms in line with the principles of good regulation.”
As part of the new requirements, we propose to phase in mandatory electronic reporting for almost all firms on a phased basis over the next few years. The first implementation is proposed to be in 2005 for firms coming under the new general insurance and mortgage regulation and for retail investment firms. At the same time mandatory electronic reporting of complaints data will be introduced for all firms. We expect to implement the new system for other regulated activities concluding with deposit takers in 2007. We will allow firms sufficient time to prepare for the changes we are proposing, based on the principle that a firm should have twelve months to implement systems changes.
