The FCA has launched a national debate on improving behaviour in financial services by “transforming culture.”

The regulator today published a discussion paper on “what a good culture might look like”, with views from academics and industry “thought leaders”.  

The paper is a set of essays that discuss “what a good culture might look like, the role of regulation and regulators, how firms might go beyond incentives, and how to change behaviour for the better”.

FCA officials stressed the regulator’s “strong focus on the role of the individual as well as the firm”. 

Jonathan Davidson, FCA executive director of supervision for retail and authorisations, said: “Culture may not be easily measurable but it is manageable. So firms can and should take responsibility for ensuring their culture is healthy for both their employees and customers, which can complement and support their business strategy.

“We as a regulator have long gone beyond having the mind-set that simply complying with rules is enough. 

“However we don’t believe a one size fits all culture is the right way to go. So we want to promote a discussion and consensus on the essential features of a healthy culture and how firms, regulators, employees and customers can help deliver that culture.”

The new Senior Managers and Certification Regime is an example of setting minimum standards for the behaviour of staff and promoting a culture of responsibility for identifying harm, the FCA said.

The FCA is encouraging all those working in the sector to provide their views via its website.