ABI urges G20 against draconian regulation
by Richard Kilner
Story link: ABI urges G20 against draconian regulation
The Association of British Insurers (ABI) has warned against the dangers of an excessively stringent regulatory framework being agreed upon at the forthcoming G20 summit in London.
Director general Stephen Haddrill has described the UK’s financial services future as being on a knife edge.
With the UK as a leading world insurer employing 309,000 people and financial services comprising 8% of the economy, any excessive regulation would hit the country hard.
Haddrill went on to warn that even a hint of protectionism would damage the UK and its innovative approach, handing an unearnt advantage to second-rate competitors.
The director general has conceded that new regulations are required but pointed out that, as a whole, the insurance industry has weathered the economic storm well, and called for London to makes its voice heard at the G20.
Speaking in London to a Thomson Reuters Newsmaker, the president of the World Bank Robert Zoellick has called on the gathering world leaders not to shrink from taking the necessary steps to bring back confidence in the global economy.
The G20 has been billed as one of the most important of its kind in decades, however the BBC has reported that French president Nicolas Sarkozy is threatening to walk out if French demands for tighter regulations are not agreed upon.