A British insurance industry group is complaining the country’s securities super-regulator, the Financial Services Authority, risks scaring people away from saving for retirement with its aggressive pro-consumer attitude.

In a letter to the Financial Times, the Association of British Insurers says, “the FSA is starting to think of itself as the provisional wing of the Consumers’ Association.” The allusion to Irish Republican terrorists suggests that the ABI views the FSA as too active on behalf of consumers.

“The FSA rightly draws attention to the need for plain English and an end to jargon in products for the retail customer. But a visitor from Mars would be forgiven for thinking, from the material it has publicized, that the FSA is engaged in a fight to the death with existing providers.” The ABI blasts the FSA for failing to mention good practice in the industry, or initiatives to raise standards.

Mary Francis, director-general of the ABI, concludes, “The FSA was not established as a consumers’ lobbying organization. It has duties, too, towards an industry that provides vital savings and protection products for millions of people. The danger is that customers will conclude that it is better to keep their money under the mattress. Is that really what the FSA wants?”