Call for Chancellor to reassess FCA Diversity Proposals amid concerns of exceeding boundaries
A group of 40 MPs and peers signed a letter expressing concerns about the Financial Conduct Authority’s (FCA) proposals, stating that they promote pseudoscience and gender ideology and may go beyond the FCA’s jurisdiction.
The Chancellor of the Exchequer, Jeremy Hunt, was urged to review the FCA’s diversity proposals by the signatories, which included prominent figures like Liz Truss, Suella Braverman, and Priti Patel.
The FCA’s proposals require large businesses regulated by them to report employees’ demographic data and set diversity targets, including categories such as age, ethnicity, religion, disability, and sexual orientation. The requirement to choose either sex or gender as a mandatory category is also included.
The letter signed by Conservative MPs and peers questioned the concept of “gender identity,” stating that it lacks scientific or legal basis and accusing the FCA of promoting controversial ideologies. They raised concerns about the potential negative impact on women’s rights and questioned the FCA’s authority to implement these requirements.
The signatories called for a review of the proposals regarding overreach, excessive bureaucracy, risks to competitiveness, and the promotion of gender ideology at the expense of women’s rights. They also highlighted concerns about unelected bodies, including the Prudential Regulation Authority, adopting similar rules.
The FCA responded by emphasizing the aim of their diversity and inclusion consultation to address misconduct and support a competitive financial sector. The HM Treasury assured that they would carefully examine the proposals despite the regulators’ independence.
