FSA moves to enhance supervision in wake of Northern Rock

The Board of the FSA, having considered the internal audit report and the programme of work set out by the management in response, confirmed its support for the FSA's fundamental philosophy of outcomes-focused, more principles-based regulation. It reiterated that the boards and managements of regulated firms carry the primary responsibility for ensuring their institutions' financial soundness.

The Board also noted that, even if supervision had been carried out at a level acceptable to the FS