§ Ms. Mowlam
To ask the Secretary of State for Trade and Industry with whom the duty lies to vet financial products which are on offer as to whether they constitute investments under the terms of the Financial Services Act or the Banking Act.
§ Mr. Redwood
It is the responsibility of the person proposing to offer a financial product to assess whether that product falls within the scope of either the Financial Services Act or the Banking Act, or both, and to obtain any necessary authorisations before offering it. In the case of the Financial Services Act, the primary responsibility for investigating and, if appropriate, taking action against those offering a financial product without the requisite authorisation lies with the Securities and Investments Board. In respect of the Banking Act, the responsibility lies with the Bank of England.