FIN.

UK Finance responds to IT failures in the financial services sector

UK Finance has responded to the Treasury Committee’s report into IT failures in the financial services sector.  The Treasury Committee criticised the unacceptably high level of failures and called on regulators to improve the sector’s operational resilience given its perception that firms were not doing enough. It was highly critical of the time taken to produce proper reports of significant failings. It wants more enforcement action, and more budget for regulators to recruit the right staff. It also sees a “strong case” for the regulation of cloud services providers. UK Finance Chief Executive Stephen Jones had the following to say on the matter:

“The industry conducts sector-wide exercises with regulators to ensure it is prepared to respond effectively to any major disruptions or events as part of its continued commitment to maintaining the resilience of the financial system. UK Finance continues to engage with government over how coordination between regulatory authorities could be improved, seeking to avoid overlapped or rushed mandatory change programmes that impact firms’ ability to protect their customers.”

Rachael Preston

Rachael Preston