GovWire

Thank you Miles, for that introduction, and for everything you do for financial services in the UK.

And amid all the fantastic work The City UK does representing not only your members but the whole sector some of your most important is in your regions and nations agenda.

Led by your amazing network of chairs, representing every corner of the UK, you prove what we all know to be true:

That our financial services industry is a huge, nationwide powerhouse

employing more than half a million people outside London

and driving our prosperity, both today and into the future.

So its a pleasure to be with you this morning at a conference that reflects that contribution.

And its appropriate that we are here in Birmingham

One of this countrys great cities, with a formidable commercial history and a proud and growing record in financial services.

It was a real honour to be appointed to my current role in July as part of a government with a clear central mission:

To deliver growth across the country.

Today, I want to talk about the steps we have already taken

and to set out our priorities for the years ahead

and how I see us working together towards that central mission of economic growth.

Because lets not be in any doubt: this is a crucial moment for our sector.

Financial services will sit at the heart of the governments plan to deliver growth across the UK

as one of our most successful sectors in its own right, and as a key enabler of growth.

But we need to be realistic about where we are starting from.

Unlike some of our international competitors

the financial services sector in this country has not grown in real terms since 2008.

Now, it was right that changes were made in the aftermath of the crisis

but the Chancellor has spoken of her concern that this has had unintended consequences

that the system it created has sometimes gone too far, and risked eliminating risk-taking altogether.

And that while we have been regulating for risk, we have not always been regulating for growth.

I want to be clear that updating that approach should not mean putting our economic and financial stability at risk.

The Budget in October was all about our commitment to building economic stability for the long term.

But this is the moment when we could and should take decisive action to start to redress the balance

and take the steps needed to drive growth, competitiveness and investment across the country.

We started putting this into practice at Mansion House

where the Chancellor laid out our plan to deliver secure and sustainable growth on a platform of stability, investment and reform.

To drive investment and boost savers returns

we announced consultations on proposals to deliver major consolidation of the defined contribution market and the Local Government Pension Scheme.

Meanwhile, we have now completed the final steps to reform Solvency II

and committed the Treasury, PRA and National Wealth Fund to work together to crowd in insurers.

Both will strengthen insurers ability to make productive investments in a wider range of assets

supporting the growth of both the UK economy and the insurance sector itself.

New remit letters were sent to the FCA, PRA, PSR and FPC

reflecting our view that there is an opportunity for more responsible risk taking across the economy.

And we have made clear to regulators that they should be working to support our ambitions for inclusive and sustainable growth

while continuing to protect financial stability.

We want to see proportionate, effective regulation.

The sort that encourages businesses in the UK to start-up, scale-up and innovate

and which in turn boosts trade, and attracts inward investment to the UK

driving economic growth.

To that end, we are consulting on abolishing the current Certification Regime

and replacing it with a more proportionate approach that will reduce costs for businesses.

Were also reinvigorating our capital markets, engines of growth for businesses up and down the country

through initiatives like PISCES, the new regulated market for private company shares, which we have committed to legislate for by May 2025.

Alongside our listing reforms, which will make it quicker and easier for companies to raise capital

PISCES will make private secondary markets more transparent and efficient

serving the companies around the UK who want to scale and grow.

In doing so, I hope it will boost our pipeline for future IPOs in the UK.

We announced our intention to launch a pilot Digital Gilt Instrument issuance or DIGIT using distributed ledger technology

something I know The City UK has welcomed.

And we committed to supporting mutuals and co-operatives

in a way that can help the sector to grow and play its part in driving innovation and economic growth across the country.

Weve responded to the findings of Joe Garners Future of Payments review by publishing our National Payments Vision

setting out our ambitions for a crucial sector, and improving both regulatory coordination innovation

using next generation technology to provide greater choice for UK consumers and businesses.

And speaking of that next generation

we are championing Fintech as a central part of the governments growth mission

opening the door for new products and services with huge potential.

A key step is laying the foundations for a long-term regulatory framework for Open Banking and Open Finance

and we are delivering on this through the Data Bill, which is currently progressing through Parliament.

Earlier this month, I also announced this Governments plans for regulating cryptoassets, including a new regulated activity for stablecoin issuance in the UK.

The future role of stablecoin remains a live question

and there are potential opportunities on both the retail and the wholesale side.

While these developments in digital spaces are exciting

..I also know that face to face banking is really important for some people.

So I was delighted that banks have committed to roll out 350 banking hubs to provide critical cash and banking services across the country.

And this is just a first step in my mission to ensure everyone has access to the financial services and products they need.

You might know that today is Economic Abuse awareness day.

5.5 million women in this country have experienced economic abuse this year.

Partners or family members restricting their access to exactly the products and services Im talking about

stripping them of the freedom and independence that is rightfully theirs.

Tackling economic abuse is a key part of my financial inclusion agenda

and so I especially welcome any efforts to make sure financial services meet everyones needs.

It is more important than ever to be talking about this issue

and I am proud to be joining Surviving Economic Abuses event in Parliament later today.

When we consider how best to improve the lives of people across the UK, we know that partnerships with financial centres around the world are key.

That will be at the top of my mind as we work to progress those relationships in the coming months

and work to secure free and open trade with our most economically important partners

whether thats the United States, our single biggest destination for financial services trade

economies like India with whom we are holding a Financial Dialogue next week, and will be resuming trade talks shortly

and the likes of China and the Gulf States

As well as, of course, the European Union.

These are all vital steps being taken in the here and now.

And to ensure that the sector remains competitive and continues to make the most of all talent available, regardless of gender or background

weve pledged to hold it to account on progress made towards accelerating the objectives of the Women in Finance charter.

At Mansion House, we also took the first step towards creating a longer-term sector plan

as we committed to publishing the first ever Financial Services Growth and Competitiveness Strategy in the Spring.

This will serve as the guiding framework through which we will pursue sustainable, inclusive growth for the sector over the next 10 years

and the call for evidence sets out five cross-sector policy pillars that will form the basis of the strategy.

I am pleased to say that regional growth is one of those pillars

alongside innovation and tech

the regulatory environment

skills and access to talent

and international partnerships and trade

all issues that I know will also be critical to the success of firms up and down the country.

And I want to ask for your help in putting this strategy together.

Because a long-term vision for the sector can only work if it has the sectors support.

So this the development of the strategy will be a co-design process.

The Call for Evidence closes on 12 December, and I hope everyone here today will consider providing their views.

I know you have a fascinating agenda for the rest of th

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