Whither, regulator?

The self-styled government in waiting, the Conservative party, has come out of the woodwork to say that it will scrap the Financial Services Authority if it is elected to power next year. Under its so-called masterplan, David Cameron's cabinet would give more power over insurers to the Bank of England and also introduce a consumer protection agency.

Change for its own sake - the FSA was a Labour Party invention after all - or a necessary and well-thought through move addressing the issues thrown up by the recent economic turmoil? Unfortunately the motives seem to the very clearly the former. While the FSA has never exactly been popular - and no regulator could, or really should be - it is surely a case of 'better the devil you know...'

A better response to the problems over regulating financial services would surely be to ensure that the regulator learns from its recent mistakes and continues to develop and improve, supported by the necessary investment in resources and strong leadership.

Money where its mouth is

The news revealed exclusively by broking.co.uk last month that Aviva is to launch a high-profile television advertising campaign in October to promote the benefits of using local brokers is very welcome.

It also shows that the insurer is putting its money where its mouth is for the sector. Last year, the insurer went against the tide when it pulled out of direct commercial lines and now its swing back to brokers looks like a real and throughly considered strategy.

The campaign will underline the main messages the industry has so far failed to say collectively - that expert and individual advice from a regulated local broker is essential if you run a commercial enterprise.

The insurer's move has to be applauded and PB hopes other insurers will follow suit.