In case banks do not demonstrate customer centricity in their operations, it would be fair to expect that the society would not only demand but force a change in the financial sector architecture involving a move towards a twin peaks approach with a dedicated market conduct regulator.
For regulated entities, such a move would mean a huge spiral in regulatory obligations and resultantly, compliance costs. It is, therefore, in banks’ own interest to convincingly demonstrate, through effective customer service and consumer protection initiatives, that the existing framework is adequate to meet the market conduct objectives envisaged under the twin peaks model. 37.