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01 May 2013

MoneyMarketing: Insurance experts back PRA attack on Solvency II


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Insurance experts have backed PRA executive director Andrew Bailey's attack on the "staggering" costs of Solvency II and the "shocking" EU regulatory process.


In February, Bailey wrote to parliamentary commission on banking standards chair Andrew Tyrie claiming the directive has become “lost in detail and vastly expensive” and will cost the industry billions of pounds to implement. The Treasury select committee is planning to investigate Solvency II after Bailey called for a parliamentary inquiry.

Royal London head of corporate affairs Gareth Evans says: “Solvency II has been overly prolonged with an enormous cost to firms that will ultimately be borne by consumers".

Eversheds partner Michael Wainwright says: “The delays and lack of preparation that have dogged Solvency II suggest it could become hopelessly out of date and unfit for purpose".

Zurich UK Life principal of Government and industry affairs Matthew Connell says: “Solvency II should be reviewed and lessons learned".

Full article



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