Hector Sants, the Chief Executive of the Financial Services Authority (“FSA”) has outlined his vision of the “new world” of regulation in a recent speech. Sants highlighted that firms will be supervised by two independent groups with independent objectives who will engage in “independent but coordinated regulation.” He also noted that the new model reflects a “new style proactive approach” and emphasised the importance of clarity of regulatory objectives. He argued that in a judgment-based regime, mistakes would be made, but that society must recognise that this is a by-product of the new approach, rather than simple failure.