The move follows the announcement from Lloyd's last May that it favoured giving up self-regulation for supervision by an external authority. Inadequate regulatory control has been partly blamed for the huge losses run-up by Lloyd's between 1988 and 1992. The move was quickly welcomed by Lloyd's and the Association of Lloyd's Members, which represents some 8,000 names - the traditional backers of the market.
Welcome to the new Independent website. We hope you enjoy it and we value your feedback. Please contact us here.
The Government yesterday announced plans to give its new super-regulator, the Financial Services Authority (FSA), extensive supervisory powers over Lloyd's of London for the first time in its 300-year history. The Treasury minister Helen Liddell said the FSA would have intervention and authorisation powers to ensure a greater independent element in the regulation of the insurance market.