💭 Is it time to rethink the regulatory burden on banks? After years of tightening controls a shift is underway, writes Tim Skeet. The US is rolling back rules, and even the UK is signalling a more flexible approach. But heavy regulation may already have pushed too much risk into unregulated corners of finance. ⚖️ Santander’s recent warnings on UK banking profitability highlight the weight of compliance costs. Meanwhile, the looming motor finance challenge could cost the industry billions, echoing the costly PPI scandal. Regulation remains vital, but current measures could be hindering economic growth rather than ensuring stability. 🌍 With US and Asian banks surging ahead, UK and European institutions find themselves constrained. Regulators must ask: are they protecting financial markets or simply tying banks in knots? A broader rethink of systemic risk is long overdue. *Read more here:* https://on.ft.com/4hcl6Xn