19 March 2018
visit www.nextgenbanking.co.uk

FSA urges City firms to prepare for bird flu

16 January 2006  |  9749 views  |  0 FSA logo

The UK's Financial Services Authority (FSA) is to urge banks and businesses in the City to devise contingency plans to deal with a possible bird flu pandemic.

According to a Financial Times report, the FSA will recommend that businesses have adequate plans in place to deal with an outbreak of avian flu in its forthcoming Risk Assessment document, to be published in two weeks.

The annual document highlights areas the regulator believes will be high risk for the sector in the coming year. The FSA says the document will list bird flu will be listed along side other risks such as terrorism because it has emerged as a global risk.

The warning comes as banks draw up business contigency plans to deal with possible high levels of absenteeism in the event of widespread outbreak of bird flu. Last week HSBC said it estimates that a widespread bird flu pandemic could affect up to half of its global staff.

Bob Piggott, head of group crisis management at HSBC, said the bank is estimating that up to 50% staff could fall ill at the peak of the next flu pandemic.

HSBC is also preparing for staff that have to care for family members to work from home using video link and teleconference facilities and is also planning for office cleaning once an hour in an effort to limit infection.

The bank's 50% figure is higher than official forecasts, including estimates from the World Health Organisation (WHO) which is expected to advise companies to plan for 25% absence.

The FSA claims it won't be prescriptive about the steps firms should take, but it is calling for companies to seriously consider the impact of an outbreak of bird flu on their business.

In a separate move, the FSA has come under fire from City executives over plans to scrap a central approvals system for people working in wholesale financial services, says the FT.

The proposal is part of the FSA's initiative to reduce red tape for businesses but has been condemned by City bosses which say any removal of the vetting system would threaten the integrity of the industry.

The regulator will say next month whether it will go ahead with plans to ditch the approvals system. It will also decide whether to go ahead with proposals to drop compulsory examinations for staff in the wholesale markets, which has also been criticised.

The proposals have drawn criticism from a number of industry bodies including the London Investment Banking Association, the British Bankers' Association, the UK Society of Investment Professionals and the Securities & Investment Institute, as well as City of London police.

But John Tiner, FSA chief executive, argues that City bosses should be capable of managing staff without its instruction.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

HSBC plans for bird flu pandemic

HSBC plans for bird flu pandemic

10 January 2006  |  10997 views  |  0 comments
FSA urges firms to improve disaster recovery planning

FSA urges firms to improve disaster recovery planning

14 December 2005  |  13487 views  |  0 comments
FSA moves to cut red tape

FSA moves to cut red tape

02 December 2005  |  7020 views  |  0 comments
FSA warns firms to step up MiFID preparations

FSA warns firms to step up MiFID preparations

21 November 2005  |  9041 views  |  0 comments
FSA warns of criminal gangs inside City banks

FSA warns of criminal gangs inside City banks

16 November 2005  |  8430 views  |  0 comments
FSA faces withering attack over regulatory burden

FSA faces withering attack over regulatory burden

04 March 2005  |  6512 views  |  0 comments

Related company news


Related blogs

Create a blog about this story (membership required)
Visit www.facebook.com/business/visit www.ebaday.com

Top topics

Most viewed Most shared
Can banks be a threat to Big Tech?Can banks be a threat to Big Tech?
9053 views comments | 28 tweets | 39 linkedin
Indian fintech sector needs regulatory support to flourishIndian fintech sector needs regulatory sup...
8467 views comments | 9 tweets | 8 linkedin
BIS warns central banks on digital currency issuanceBIS warns central banks on digital currenc...
7240 views comments | 18 tweets | 17 linkedin
Barclays propels Coinbase into Faster PaymentsBarclays propels Coinbase into Faster Paym...
7186 views comments | 15 tweets | 29 linkedin
AI augmenting compliance processesAI augmenting compliance processes
6926 views comments | 3 tweets | 5 linkedin