The UK Financial Services Authority (FSA) is looking to insurers and brokers to help reduce the regulatory burden on business. It has put forward a discussion paper on rules to include industry guidance, such as codes of practice, in its official regulatory regime.

FSA General Counsel Andrew Whittaker says the regulator is prepared to recognise industry guidance in wholesale insurance markets as well as the retail industry.

“These proposals will contribute towards more principles-based regulation by allowing us to focus on the main principles to be achieved, rather than the detail of how to comply with them.

“They will give firms guidance on ways of complying with FSA principles and rules, but in a way that should stimulate flexibility and innovation in meeting higher-level standards.”

Interested parties have until January 31 next year to comment on the proposals.