Consolidate the Regulators?

British regulator Clive Briault argues that financial service regulation should be consolidated.

economies of scale that arise from the move to a single set of central support services; unified management; and a unified approach to standard-setting, authorization, supervision, enforcement, consumer education and tackling financial crime.

In America, we tend to take the opposite view. A consolidated regulator would tend to force homogeneity and respond slowly to innovation. We think that competition is a better organizing principle than consolidation.

Discussion Question. As citizens, should we feel safer with a "diverse portfolio" of regulatory agencies or with our resources concentrated in a single regulator?