MPs question how FCA could let Greensill operate unchecked in UK, claiming regulator is failing to protect firms and investors
MPs have accused the UK’s Financial Conduct Authority of failing to protect businesses and investors swept up in the collapse of specialist lender Greensill Capital, saying the crisis “draws yet more uncertainty” over the efficacy of the City regulator, and that it is time for a review of its powers.
Greensill filed for insolvency on Monday, prompting concerns that the failure puts jobs at risk at one of its biggest borrowers, the metals manufacturer GFG Alliance Group. Founded by the entrepreneur Sanjeev Gupta, GFG Alliance employs 35,000 people around the world, including around 5,000 UK workers. Greensill allows businesses such as GFG to borrow money to pay their suppliers.