It shows that there are consequences for non-compliance. And it is an efficient use of resources. Rather than trying to individually mark all the firms that we supervise, the risk of enforcement action has a multiplier effect across the regulatory population in terms of encouraging compliance and good practice.
It is, for example, particularly useful for the large population of smaller, low impact, firms where we cannot have a routine supervisory interaction. The benefits of enforcement are therefore very clear in terms of raising standards. These benefits are not only recognised in Ireland but, of course, across many other jurisdictions in Europe and more generally internationally elsewhere.