REGULATION EDITION 2018

BY CANVAS

REFRAMING REGULATION CANVAS REGULATION EDITION BY SAXTON BAMPFYLDE WELCOME

Welcome to the Regulation edition of CANVAS, the sectoral insight update from Saxton Bampfylde.

CANVAS is a platform to share interesting thoughts and perspectives on topics and issues that are relevant and current in your sector. We very much welcome any thoughts, comments, or inputs you would like to share.

Please enjoy this edition.

CONTENTS

KEY APPOINTMENTS An update Pg 12 of recent global leadership appointments in the sector

THE INSPECTION EVOLUTION: Pg 4 Interview with Amanda Spielman, Chief Inspector of Ofsted

A REGULATORY PERSPECTIVE FROM Pg 14 NEW ZEALAND By Panorama Partner, Stepehn Leavy

KEEPING MARKETS FLOWING Pg 8 Interview with Cathryn Ross, Director of Regulatory Affairs, BT and former VIEW FROM THE RIVER CEO of Ofwat Pg 15 Team insight with Jonathan Morgan, Head of Regulation Practice

2 CANVAS EDITION OVERVIEW

EDITION OVERVIEW

JONATHAN MORGAN Partner, Head of Regulation Practice, Saxton Bampfylde m [email protected]

e live in times of widespread forward cultural change, and encouraging play in helping the UK economy navigate uncertainty and change. Long educational institutions to embrace the a period of unprecedented change. Wand widely-accepted principles process as a catalyst for positive change. of how economies, societies and their We take a look at her experience of Exceptional leaders are uncommon governments should interact are facing the way in which leaders with careers and in high demand. Finding the right challenges unprecedented in recent outside regulation can introduce a person is something that requires an times. Regulators of all kinds reside in different perspective and discuss how her international mind-set, as we hear from the eye of this storm. As independent troubleshooting skills have come into play, Stephen Leavy, a Partner at Hobson actors, they have a unique responsibility helping some of the UK’s most challenged Leavy Executive Search in New Zealand, to oversee the way in which sectors schools identify where their issues lie. part of the Panorama network. and professions serve an increasingly demanding and sceptical public. We talk to Cathryn Ross just as she We hope you enjoy this edition of departs Ofwat after almost four years Canvas and look forward to hearing your At the forefront of this work is Amanda as CEO, heading for the private sector thoughts over the coming months. C Spielman, who spoke to us as she and a different regulatory market at BT. celebrated her first anniversary in the Cathryn reflects on the successes she role of Ofsted Chief Inspector. In a sector has achieved and the challenges she has where regulation has historically been faced at Ofwat and outlines her belief that viewed with trepidation, she is driving there is a critical role for regulators to

CANVAS 3 THE INSPECTION EVOLUTION: Interview with Amanda Spielman

THE INSPECTION EVOLUTION

Interview with Amanda Spielman, Chief Inspector, Ofsted

4 CANVAS THE INSPECTION EVOLUTION: Interview with Amanda Spielman

Amanda Spielman reflects on her first year in her role as Chief Inspector at Ofsted, what she has learned and the changes she has brought to the organisation. In one of the most high profile regulatory positions in the UK, Amanda talks about how her trouble shooting tendencies have benefited her in this role and why she believes a broader mix of backgrounds will enhance leadership within this sector in the future.

t is almost a year into you taking on your role at Ofsted. What are your “At the end of the day key reflections from this period, if we are not a force and how has the organisation, Iand your role within it, developed? for improvement

One of the most fundamental elements then our existence for me has been to establish a more isn’t justified.” sophisticated understanding of inspection as an effective and strategic regulatory lever. Inspection is a highly sophisticated approach and to make it a success really depends on You are not a career regulator, having understanding why it is being carried out. previously come from an investment and management consultancy We have encouraged many people both background. Do you think that your within and outside Ofsted to stop and think former career has allowed you to about why are we doing inspection and what bring particular things to the role? we want to come out of it. We are reflecting much more about what really makes a My previous career has been more difference, what value we are obtaining useful to me than I ever suspected in from the judgements being made and how this role. From early on in my career I they can help schools and other regulated was the one that seemed to be allocated sectors to improve. At the end of the day the special investigations and trouble if we are not a force for improvement shooting, and I have seen a great deal then our existence isn’t justified. of synergy with this role. Often what we are looking at with troubled educational In the past year I’ve been able to step- institutions are issues that go wrong in up Ofsted’s focus in the way we think many organisations and require a similar about these strategic issues. This has approach to sort them out. I have realised helped us to improve engagement with that as my career has progressed. government and other parts of the sector that we regulate to encourage everyone When I took on the role of Chairman of to be thinking much more deeply about Ofqual, I came to understand a great deal the strategic and value-led approach. I more about the regulation landscape feel very much that we are moving in a and how much of what I had done in the really positive and beneficial direction. past flowed into this. There is actually an awful lot in common between different sectors and many things apply across them and that was quite a revelation to me.

CANVAS 5 The Inspection Evolution: Interview with Amanda Spielman

We are trying to address this issue which “People are coming through from a whole impacts across all the areas we are working range of backgrounds, and different career in. This is a deeply sensitive and difficult area and always will be. There are no easy answers. pathways which provides a very interesting Ofsted has one of the highest new layer of leadership within the sector.” profiles of any regulator, both politically and publicly. Does this create more challenges or more opportunities for the organisation?

The other element from my previous When one considers the Chief Inspector title It creates both challenges and opportunities. experience is in strategy. Regulation is a it can appear to legitimise a conception that It is one of the most politically involved deeply strategic, intelligent and focused it is all about that person and that Ofsted roles in the country which isn’t carried out function. It should have the right impact exists as an organisation to serve what by a politician, and comes with a number with the minimum resource, diversion and that role desires. That is not how I see it. of sensitivities wrapped around it. distraction. I spent a couple of years as a strategy director for AT&T Capital in the I think that the Chief Executive element of the I am extremely lucky that inadvertently I was United States. That kind of strategic thinking role is very important and where I see the prepared for that. Having been involved translates very well into regulation. power to act as an enabler. When I got here I in the development of the Ark Schools found an immense amount of human talent Academy chain, where we were taking on I have revived the strategic focus here at and knowledge that I didn’t believe was being some of the toughest schools, has also Ofsted and reinstated a defunct strategy utilised to the full. I have reconceived my role mirrored some of the challenges we face role in my top team. That has really paid here in a somewhat more corporate way, to with Ofsted. The work I did as Ofqual Chair off, complementing the strengths of the think about us as a team, creating a clear link gave me exposure to further challenges existing COO and National Policy Director. between strategy through to implementation. around vocational education and reforming This has empowered my senior civil service apprenticeship, as well as a greater awareness I would also highlight the experience I gained group to give them significantly more of government. It highlighted to me the chairing the Regulatory Futures Review – a responsibility and provide more leeway complexities of being independent and cross government review of regulators which and that is really paying off. People in the yet working within government, and how was published in early 2017. We did some organisation are moving up several gears, different pressures manifest themselves. very interesting work looking at different which is very exciting and rewarding to see. I had a good training programme to help regulatory models and the context in which me deal with the challenges and I have a they operate. Regulation is so dependent very good team which has been working on the industry and political context in each in this environment for a number of years. area. We had about 35 regulators in scope for the review and this gave a real sense of the “Regulation is a deeply strategic, intelligent differences and commonalities they faced. This helped me when coming here knowing and focused function. It should have which of the challenges we were facing were generic and which were specific to Ofsted. the right impact with the minimum

When I took on this role there were those resource, diversion and distraction.” who thought that, as I hadn’t been a teacher, I didn’t know enough about teaching and issues in education. However, I have been in education virtually full time since 2001. Your role encompasses education, It is tough but very rewarding because we I was one of the founding members of the children’s services and skills. have to be extraordinarily responsible and Ark Schools Academy chain and was deeply Looking at each of these areas, careful. What we do reverberates through the involved in that education model and sorting what do you consider the greatest sectors that we work in, disproportionately out some very tough schools that we took on. opportunities and challenges to be? to the resource that we have on the ground.

The Victorian model that believed that Before I started various people conjectured We have done some significant work around education is basically just Heads and teachers that children’s services would be the most curriculum this year. One thing that has doesn’t exist anymore. We have a lot more challenging area after the scandals in really pleased me was when the education layers and structures, and individual as Rotherham. I think that is no longer the case director of one of the big academy chains well as groups of schools. It is a landscape and there are a number of big issues that told me that there had been more good that is changing at an unprecedented rate. we are trying to spread ourselves across. conversation about the substance of There are a lot of things emerging and What is interesting about this is how much education and not just data over the past people are coming through from a whole each area cuts across the other. They don’t year than in previous years. It struck me range of backgrounds, and different career fall into mutually exclusive boxes. We tend to how much this demonstrated that we were pathways which provides a very interesting think about childcare and early years rather using the clout we have in the right way. new layer of leadership within the sector. differently than we do about schools but this isn’t the case. Issues around the curriculum Being appointed as Chief Executive You have talked about your role as cut across both early years and schools. We has challenges, but getting the positive an enabling one. Can you expand focus on always putting children’s issues first. reinforcement from the outside has on what you mean by that, and helped give everyone confidence that the how that will help you to achieve At the moment there is quite a lot of tension direction we are going in, is the right one. goals within your time at Ofsted? around religion and religious observance.

6 CANVAS THE INSPECTION EVOLUTION: Interview with Amanda Spielman

Do you believe that we are moving towards a culture where schools “We want to ensure see inspection as a positive AMANDA SPIELMAN learning experience rather than that we are always BIOGRAPHY something to be feared? thinking about how I really do. There is a great respect for we are providing Her Majesty’s Inspectorate and has been for a long time. One of the areas the best advice we are really trying to emphasise is the importance of professional conversation and support, and at inspections, and highlight the value generating the which comes from it. We want to ensure that we are always thinking about how we best value from are providing the best advice and support, and generating the best value from the the work we do.” work we do. This is absolutely critical. Amanda Spielman has been Ofsted The other part that we aren’t in control of, Chief Inspector since January 2017. are the consequences of the outcomes of Between 2011 and 2016, the Care Quality Commission is based inspection. We are somewhat at the mercy Amanda was Chair of Ofqual, the on Ofsted practice. Much of this was of central, local government and governing qualifications regulator. From 2005 helped by the work of Regulatory Futures bodies and academy chains in how they she was a founding member of the Review providing an opportunity to decide to respond to inspection judgements. leadership team at the academy share and develop best practice. chain Ark Schools, where she We do also talk internationally. There We do everything we can to ensure that became Research and Policy Director is a European Association of School our inspection reports are thorough, and an education adviser to Ark, the Inspectorates covering most of the clear, nuanced and reflect strengths as education charity. She previously countries in Europe and we attend well as weaknesses. At the end of the day, spent more than 15 years in strategy conferences and seminars together. This however, it is up to other people to decide consulting, finance and investment provides some very interesting discussions what to do with them and not Ofsted. Our at KPMG, Kleinwort Benson, about how inspection is conceived and role is to report without fear or favour. Mercer Management Consulting implemented in other countries, and and Nomura International. what can be learnt from one another. How much room is there for the inspectorates of the UK to She is a council member at Brunel Ofsted is one of the biggest inspectorates learn from one another? Are University London and has previously because other countries typically make there other jurisdictions which served on the boards of a number inspection a regional or federal function you look to for inspiration? of organisations including the rather than a national one. These provide Institute of Education, STEMNET and fascinating conversations and I very much Absolutely there are. The inspectorates Wales Millennium Centre, and has want us to stay part of that, as it really helps do talk to each other a fair amount of been a Governor of two schools. us look at what we are doing objectively. the time. In fact, a great deal about the C establishment and development of

CANVAS 7 KEEPING MARKETS FLOWING: Interview with Cathryn Ross

KEEPING MARKETS FLOWING

Interview with Cathryn Ross, Director of Regulatory Affairs, BT and former Chief Executive ofO fwat

8 CANVAS KEEPING MARKETS FLOWING: Interview with Cathryn Ross

We talk to Cathryn Ross just as she departs Ofwat after almost four years as CEO, heading for the private sector and a different regulatory market at BT. Cathryn reflects on the successes she has achieved and the challenges she has faced at Ofwat and outlines her belief that there is a bright future for the regulatory market in the UK.

s the CEO of Ofwat for courage of their convictions and focus on the decision. It has been an amazing experience almost four years, you goal of making the world a better place. It to be part of that transformation. have been described as a does bring criticism, there is no doubt, but it ‘transformational leader’. also brings a great deal of satisfaction too. Linked very closely to that is more about AWhat would you say are the key skills the organisation of Ofwat itself, and how it that the leader of a regulator requires has been able to evolve with its people. It to effect change? has always had tremendously high potential “Leaders in the with incredibly bright people who are utterly In any leadership role the key to change passionate about what they do and a lot of effectiveness is always the people. You can’t regulation sector what I have been trying to do is to enable this deliver change in any organisation without need to keep the to flourish. I don’t believe you can turn an getting people to come along on that journey organisation into something that inherently it with you. The ability to empower and inspire courage of their isn’t, but you can turn it into the best version to deliver the change that you want to see of itself. I am very proud to see that the is critical. That isn’t particular to regulators convictions and culture and transformation work we have however, or any other sector, I don’t believe. been undertaking is starting to deliver this at focus on the goal of Ofwat. In terms of core skills, a leader needs to have making the world a clear level of adaptability. To be able to The other area I would highlight as an accept that where you end up may not have a better place.” achievement is the relationship with our been where you first had in mind, and that stakeholders. A few years ago Ofwat was ultimately that is okay. In fact, it is probably characterised as a closed organisation, and quite a good thing as it means that people I think that maybe that came from a lack of have influenced the process and that the confidence, or as a response to criticism. leader has learned and adapted on the way. The response was to close ranks or be What would you describe as your defensive. That does not create a dialogue The other thing needed from someone biggest achievements during your time with stakeholders that enables you to pull trying to bring about a major change is a at Ofwat? in the best ideas, create the debate and considerable degree of personal resilience. identify the direction of travel that everyone Change doesn’t happen overnight. At Ofwat Cultural transformation is a significant can buy into and deliver. I don’t think that is we started to make changes four years ago achievement. Ofwat feels like a very different just about Ofwat. I was very fortunate when when I came into post and I wouldn’t say it is place to work than it did four or five years I came in about four years ago that all of completely finished today. The resilience also ago. This comes through in our people our stakeholders desired change in terms requires a relentless approach, as without surveys and more general feedback and of the relationship with the regulator. Ofwat progress change can start to go in the you can even just sense it in the daily office has been able to catalyse that, and it is an opposite direction. environment. It is that culture that empowers immensely better environment. people to make the best contribution they Nobody ever became a regulator to be can possibly make and understand what it is This greatly enhanced relationship is popular; it just isn’t one of those jobs. that we are trying to achieve. We celebrate demonstrated in Ofwat’s current work in However it does bring a great deal of those who go outside the organisation, create publishing the methodology for the next price satisfaction knowing that regulated sectors a debate, foster new ideas and make better review which will happen in 2019. This has are critical to people’s lives and that you have decisions or choices as a result of this. This been developed through a genuine process the potential to make them better. Leaders culture gives people a feeling of having a of co-creation with the sector we regulate, in the regulation sector need to keep the genuine stake in the organisation and its with government, environmental NGOs and

CANVAS 9 KEEPING MARKETS FLOWING: Interview with Cathryn Ross

“One of the biggest enemies of diversity in any sector is a closed culture and a tendency to consider challenge as something to be suppressed.”

consumer bodies. We haven’t gone away and One thing I would highlight and one that Coming out of the common agricultural policy worked it up in a vacuum and then visited it very much impressed me about BT, was will provide a huge opportunity to change how upon an unsuspecting sector. its very strong sense of social purpose. It stewards of the landscape are recompensed is very important for me to try to make the for doing those things that benefit our natural When we put the consultation out in July, most world better for those in it. I may not always capital. That is a very different way of talking people felt it was what they were expecting. succeed but that is what I am trying to do about payments into the rural economy That was actually very pleasing and people and I don’t think I could work anywhere that than the current farm subsidies and it could recognised the co-creative process. The water didn’t embody that. It is obviously a private bring about huge changes to how the rural sector is going through a huge period of company and shareholders need to make an economy works change just now. The markets are opening up, appropriate return, but BT is trying to do that there are big challenges from climate change, by making the world a better place. One thing that is certain is that it will take population growth and new technologies to years to think through, so I am not sure what manage networks and customer interface. Obviously, they do have some very significant immediate impact it is going to have on the If you are in a period of substantial change challenges in terms of their regulatory economic regulatory regime. you are in the position where nobody has environment and I think it is very interesting the right answer. In that sort of environment to observe telecoms regulation grappling with How confident are you that we are that process of co-creation and quality of the some of the challenges that water has going to be able to meet the demands conversation amongst everyone who has been contending with for a longer period. for fresh talent in the sector? some insight and experience is absolutely The early days of telecoms regulation was critical. very much about regulating a network which As we look at this future regulatory landscape already existed. Today it is about regulating to in the UK there is massive need for talent, far Is there any unfinished business which create an environment which has to support more than we have seen in the past. Partly you regret having to leave behind? massive transformational investment in because of all these changes that will need 5G and fibre to the premises, for example. to be thought through by government and I don’t think so. I don’t feel I am looking back Water regulation has been trying to create a regulators in a Brexit context, and also in part thinking I should have nailed something and favourable investment climate for a long time, due to the unprecedented public scrutiny I didn’t. so I am hoping to be able to add something to being faced in regulation at a time of immense the debate there. change. I am leaving at quite a pivotal point for Ofwat. We are currently delivering our approach to However, I am going in with an open mind and We need fantastically bright, passionate and the next price review (December 2017) and expect my few months will very much be a motivated people to think through these from September 2018 Ofwat will be receiving learning phase in the job. issues. The good news is that regulatory company business plans and that will set the bodies are becoming incredibly attractive price for the customer package from 2020 Do you think the regulatory landscape, places to work. They undertake work that to 2025 as well as detailing the incentive post-Brexit, will diverge significantly matters, offer intellectually challenging framework companies will work within during from its current approaches? Are there opportunities, and increasingly offer that same period. many areas of regulation due to return much desired flexible and agile working to the UK in this period? arrangements. I shall be watching with appropriate detachment, but seriously keen interest, as to Sectors do differ massively in terms of Ofwat’s experience over the past few years how the methodology which I am delivering the impact of European law and policy on suggests that, if you put your best foot at the moment is actually going to be put into regulation. In water, for example, there isn’t forward as a regulator and really articulate place. It will govern the evolution of the sector a single European market so it will not have what you have to offer, you don’t struggle to right up until 2025 which, given everything much of an impact there. However, in aviation attract great people. I have said about the extent and profound there will be a big impact, and in energy and nature of change going on in the sector, is telecoms where a substantial proponent of What is the single most effective going to be a really key period. the economic regulatory regime comes from initiative you have seen in action to EU law. build diversity within the regulatory As you join BT you are moving from sector? the public to private sector. What do As we begin the exit from the EU I think it you believe will be some of the key is only right to take a wider view and think I think the single most important thing is differences, positive and challenging, about what opportunities we might have to to value diversity of thought. One of the that you might face in this transition? create frameworks for that are better suited biggest enemies of diversity in any sector is to the UK’s needs. I would be surprised if a closed culture and a tendency to consider To be honest I am genuinely not quite sure we don’t do that and I would be surprised if challenge as something to be suppressed. To what to expect. I have been Chief Executive of that doesn’t bring about a degree of change, successfully embrace diversity, organisations a regulator for four years and I have worked in however a lot of the EU regulatory law was should encourage a culture of openness regulation for the past twenty years. I feel like very heavily influenced by the UK in the first and learning, where challenge and different now is the right time to try and do something place. perspectives are seen as genuinely useful very different. The very nature of that means in helping to make better and more robust I am not entirely sure what I am getting into, Considering the water market more decisions every day. but that is part of the challenge and also a specifically, the biggest impact is going to be huge part of the attraction too. in relation to agricultural-environment policy. At Ofwat I think we really managed to achieve

10 CANVAS KEEPING MARKETS FLOWING: Interview with Cathryn Ross

CATHRYN ROSS BIOGRAPHY

that in the past few years. We put in place a the government sets out what its strategic new set of values and behaviours which was priorities and objectives are for the sector. very much driven by our people. A key part It is not a shopping list or instructions, but of that was a focus on learning which has a high level strategic statement about what encouraged and welcome the opportunity to the public wants from its regulators. It is a challenge and debate, showing respect and transparent and consulted-upon vehicle value in all different types of experience and that enables government to say clearly to a perspective. regulating body what matters to the country. It avoids less visible and less consultative I don’t have a great deal of sympathy for a approaches which can undermine the tick box approach to diversity. It is useful operational independence of regulators and to look at observable indicators of where also destabilise the investment value of these people come from, but challenging outside sectors by creating political risk. the typical sources, going beyond the In January 2018 Cathryn joined organisation when required and exposing We have the potential for a very constructive BT as Director of Regulatory yourself to different ways of thinking is relationship between government and Affairs. Prior to that she was the a much more effective approach in my regulators and I think these strategic policy Chief Executive of Ofwat, the experience. statements are a very good example of that. independent economic regulator for the water and waste water What impact does increased public sector in England and Wales. “It is about the scepticism bring to the regulatory sector? In that role she was responsible conversation that for ensuring that Ofwat held The market has shifted considerably in a £120 billion industry to regulators initiate to twenty years. If you look back at the 1990s account in delivering against the remind and reinforce and sector privatisation, much of that expectations of customers, wider was undertaken with attempts to roll out society and the environment. She the importance competition and deregulate and liberalise has seen through the delivery markets. of a new strategy for Ofwat, of legitimacy.” focused on a vision for the I think that public mood has shifted away sector of trust and confidence in from that to some degree and it is really water and waste water services. important in that context that regulators think This involves a new model of How do you see regulators adapting very carefully about whether customers are regulation, to better help the to a world of proactive industrial getting what they expect from these markets. sector deal with the challenges strategies and increasing public Not only in terms of value for money, but how of the future. This model gives scepticism towards the value of service providers are behaving. I think if you the sector greater flexibility, markets? unpick some of the debate at the moment including through use of markets, about renationalisation and remove some but also requires it to provide I do think it is a very important question. For of the ideological aspects to that, the key information and assurance about me the key to this is not only focusing on issues are a combination of value for money its performance and resilience. the legitimacy of regulation but also building and the belief that the delivery is not seen as on and maintaining the regulator’s role in commensurate with essential public service Cathryn is an experienced demonstrating the legitimacy of the sectors characteristics. That then raises issues of regulatory and competition we regulate. The fact of the matter is that transparency, accountability and executive economist and has worked if a sector has a regulator it is providing a pay. across a number of different really important public service. This function sectors advising on economic, makes them politically salient and they I think if regulators are really going to look regulatory and competition matter to parliamentarians because they after the legitimacy of their sectors they issues. Previously, Cathryn was matter to society. Therefore, I think it is have to think much more broadly than a Executive Director of Markets entirely unsurprising and right that politically narrow technocratic exercise in assessing and Economics at the Office of a lot is being said about them. Any notion value for money and look at how service Rail Regulation (ORR). She was that independent economic regulation was providers in their sector are behaving. That Executive Director of Markets somehow ever going to work in a political goes much further beyond price controls, and Economics at Ofwat between vacuum was delusional. determinations and licence enforcement. It is 2008 and 2011. She also served about the conversation that regulators initiate with the Competition Commission How well do you think government is to remind and reinforce the importance of (now Competition and Markets working with regulators at a time of legitimacy. C Authority), and worked in unprecedented change? economic consultancy.

A very positive step is the initiative which has seen government give regulators strategic policy statements. The idea is that

CANVAS 11 KEY APPOINTMENTSKEY APPOINTMENTS

KEY APPOINTMENTS

Saxton Bampfylde and its partners around the world, through Panorama, advise many of the world’s leading regulators and regulated industries. We are delighted to share with you a selection of some of the roles that we have been privileged to work on recently.

RACHEL FLETCHER ADRIAN ORR PLC. James has also held senior roles OFWAT RESERVE BANK OF NEW at the Civil Aviation Authority and the Chief Executive ZEALAND General Medical Council. Ofwat has appointed Governor Rachel Fletcher as its new The Reserve Bank of New GAYLE GORMAN Chief Executive. Rachel joins from Ofgem Zealand has announced that Adrian Orr EDUCATION SCOTLAND where she has been Senior Partner for has been appointed as Governor. Orr Chief Inspector of Consumers and Competition and sits on previously served as the RBNZ Governor Education for Scotland the Ofgem Board. Rachel joined Ofgem for four years before joining the New Gayle Gorman has been in 2005 and during her time there was Zealand Super Fund in 2007. He has been appointed as Chief Inspector of Education also Partner for Distribution, leading the CEO at New Zealand Superannuation for Scotland. She was previously Director the Electricity Price Control Review and Fund and served as Deputy Governor at of Education and Children’s Services introduced the Low Carbon Network the Reserve Bank of New Zealand. He with Aberdeen City Council, and was the Fund. Before joining Ofgem, Rachel was Chief Economist at Westpac Banking strategic lead for education, children’s worked as a consultant advising public Corp, Chief Manager of the Economics social work, culture and sport. Prior to and private sector organisations around Department at the Reserve Bank of New this Gayle was the Director of Learning the world on energy strategy and policy. Zealand and the Chief Economist of the at Cambridgeshire County Council and National Bank of New Zealand. National Senior Director for Literacy, where she was responsible for leading CHRIS STARK the National Literacy Strategy in England. COMMITEE ON CLIMATE DAVID PICKERING In her early career she was a primary CHANGE LENDING STANDARDS teacher before she became involved in Chief Executive BOARD curriculum development, first with Essex Chris Stark has been Chief Executive and Suffolk County Councils as an Ofsted announced as Chief Executive of the David Pickering has been Inspector, and subsequently with the Committee on Climate Change (CCC). appointed as Chief Executive of Lending Department of Education. Gayle is also a Chris was previously Director of Energy Standards Board (LSB). David joined Trustee of the Gordon Cook Foundation. and Climate Change in the Scottish LSB in 2013 as Compliance Director. Government. He previously headed the David’s main responsibility is to set the Strategy Unit, the Scottish Government’s compliance risk oversight strategy and SUE EDDY central strategy team, and has worked ensure it is delivered through an effective VICTORIAN BUILDING in a number of Whitehall departments. programme of assurance, insight and AUTHORITY, AUSTRALIA He has wide experience of economic research work. Prior to joining LSB, Chief Executive policymaking in the Scottish Government, David worked for Nationwide Building The Victorian Building HM Treasury and the former Department Society, where he held a number Authority - the regulator of all building for Business, Innovation and Skills (BIS). of senior positions in internal audit activity in the State of Victoria in before becoming the Society’s Head of Australia - has appointed Sue Eddy Compliance Review in 2010. as its new Chief Executive. Sue was BOB DOWNES previously the Lead Deputy Secretary for OFCOM Corporate Services at the Department of Board Member JAMES MACKAY Economic Development, Jobs, Transport Bob Downes has been GAMBLING COMMISSION and Resources where she had direct appointed as the first Executive Director responsibility for the department’s near Ofcom Board Member for Scotland. Bob The Gambling Commission $2 billion operating budget and over is the current Chairman of the Scottish has appointed a new 300 staff. She previously headed the Environment Protection Agency and of Executive Director - James Mackay will Budget Strategy and Reform branch CENSIS, an innovation centre for sensors lead the competition for the next licence of the Department of Treasury and and imaging systems. Bob is a Trustee of the National Lottery – a role which Finance, overseeing the development of of the Mackintosh Campus Renewal will include shaping and running the successive State Government budgets. Appeal for Glasgow School of Art, and an competition ahead of the new licence advisor to a number of small technology beginning in 2023. James’ previous roles businesses. Formerly he was a senior include Head of Regulatory Policy at executive with BT Group Rail Delivery Group; Head of Workforce Efficiency at Monitor; and Head of Regulatory Policy at Heathrow Airport

12 CANVAS KEY APPOINTMENTS

EDUCATION SCOTLAND Chief Inspector of Education for Scotland

RESERVE BANK OF NEW ZEALAND Governor

CHARTERED PROFESSIONAL ACCOUNTANTS OF BRITISH OFWAT COLUMBIA Chief Executive President & CEO COMMITEE ON CLIMATE CHANGE VICTORIAN BUILDING Chief Executive AUTHORITY, AUSTRALIA GAMBLING COMMISSION Chief Executive Executive Director LENDING STANDARDS BOARD Chief Executive OFCOM Board Member WATER UK Director of Corporate Affairs & Director of Strategy SOLICTORS REGULATION AUTHORITY Lay Board Member RAE STEWART & STUART WHICH? COLVILLE Corporate Affairs Director WATER UK Director of Corporate Affairs & Director of Strategy The Department of Energy and Climate Change has appointed Rae Stewart as Director of Communications for the self-regulating body for the profession Shopping, Argos, Debenhams and Burton Water UK. Rae was previously interim in Canada. She was previously the Menswear. After his successful executive director of comms at Defra and has Managing Partner of the Vancouver office career, Paul joined Peabody, the London worked in government comms for five of Dentons Canada LLP. Lori serves as a housing association, where he chairs the years following a 20-year career in TV Governor of the Canadian Tax Foundation Audit and Risk committee and sits on the journalism. Stuart Colville has been and has written and presented for many Finance and Nominations committees. appointed as Director of Strategy for organisations, including CPA Canada, Water UK. Stuart was Principal Private CPABC, the Canadian Tax Foundation, CHARLOTTE COOL Secretary at Defra, working for three Continuing Legal Education, and the WHICH? Secretaries of State and Environment University of British Columbia. Corporate Affairs Ministers, following ten years in Director Government strategy and policy roles. Which? has announced PAUL LOFT the appointment of Charlotte Cool LORI MATHISON SOLICTORS REGULATION to the newly created post of Group CHARTERED AUTHORITY Communications Director.Charlotte joins PROFESSIONAL Lay Board Member Which? from ASDA where she was Vice ACCOUNTANTS OF Solicitors Regulation President of Corporate Affairs, and prior BRITISH COLUMBIA Authority (SRA) has announced the to that was Group Head of Corporate President & CEO appointment of Paul Loft as its new Affairs at John Lewis Partnership, a post Lori Mathison became the new President lay Board member. Paul Loft’s 30-year she held for 10 years. & CEO of Chartered Professional career has included senior positions Accountants of British Columbia (CPABC) - at Homebase, Habitat, GUS Home

CANVAS 13 PANORAMA INSIGHTS

VIEW FROM THE OTHER SIDE A REGULATORY PERSPECTIVE FROM NEW ZEALAND

Stephen Leavy is a Partner at Hobson Leavy Executive Search in New Zealand, a member of the global group, Panorama. m [email protected]

he regulatory sector in New The Reserve Bank’s regulation of banks to be up to speed with developments in Zealand has remained extremely is particularly important as our banking this area and ensure they have people busy and active as regulators sector is largely Australian owned and the who understand these risks. But such remain on the front line of tackling Reserve Bank needs to ensure that the people are in short supply and regulators Tmany of the thorny issues in business and New Zealand operations of the Australian have to compete with the private sector society, including business disruption. banks are “ring fenced” so that in the for this talent; always a challenge. event of any major economic crisis, local New Zealand’s main business regulator is the depositors and lenders are protected. Sourcing the globe for the right talent remains Commerce Commission with the financial important. Senior regulatory capability and sector having the two regulators of the On the consumer side, the Commerce experience is in demand globally, particularly Financial Markets Authority and the Reserve Commission has recently declined a in the “common law” jurisdictions of New Bank. Hobson Leavy has been fortunate to proposed merger between the two major Zealand, Canada, Australia and the UK. The have all three as clients recently, having very news media organisations in New Zealand regulatory environments and frameworks are recently appointed the new Governor of the (NZME and Fairfax). The two wish to merge, often similar between those countries. The Reserve Bank of New Zealand (Adrian Orr), claiming disruption by international giants search for the Governor of the Reserve Bank and a number of years ago the CEO of the such as Google and Facebook is making was an international search, which involved Financial Markets Authority (Rob Everett) as their core businesses untenable. The searching into similar jurisdictions globally. well as currently searching for a new Chief Commission took a view that merging the A number of years ago when Hobson Leavy Executive of the Commerce Commission. only two major media outlets into one carried out the search for the CEO of the would substantially weaken competition Financial Markets Authority, the candidate All three regulators face a high degree of and would not be in the public interest. appointed was Rob Everett, a former scrutiny in the media. In the financial sector, regulator and investment banker from the following the global financial crisis there Not surprisingly, given the two parties seeking UK. Our current search for the Commerce was a swing towards greater regulation to merge, the decision has come under Commission has also been a global search. by both the Financial Markets Authority significant media scrutiny. It is however, and the Reserve Bank. There has more a perfect example of how regulatory In this regard, the networks and capability of recently been some push back by financial authorities can play an important role in our the Panorama Partner firms proves invaluable. organisations against the regulation and rapidly changing business environment. A number of the member firms, but attempts to see that loosened. There was particularly the UK, Canada, Australia and New some sympathy to these remonstrations These changes, and the pace of them, Zealand, have extremely strong regulatory from business under the previous National have meant regulators also have to invest practices. Our ability to share information Government. However, given the recent in additional talent, often with skills and on not only people, but also trends and change to a Labour-led Government it seems backgrounds not typical of regulators. An developments in this sector, is invaluable. unlikely there would be any significant roll example is the increased focus on cyber back of the new regulatory environment. security and cyber risk. Regulators need

14 CANVAS VIEW FROM THE RIVER: TEAM INSIGHT

VIEW FROM THE RIVER TEAM INSIGHT Take a closer glimpse into the Saxton Bampfylde team with our regular View from the River feature. The office is based next to the iconic Thames where the majority of the team is based.

JONATHAN MORGAN Jonathan is a Partner and Head of the Regulation Practice at Saxton Bampfylde

YOUR ROLE AT SAXTON BAMPFYLDE YOUR PRACTICE GROUP AREA WHAT IS THE ANSWER (BARRING I lead Saxton Bampfylde’s regulatory and IN THREE WORDS A SECOND REFERENDUM)? government affairs practice, and also jointly Complex. Fascinating. Scrutinised. Organisations can help by communicating chair Panorama’s global public sector group. explicitly about their ongoing enthusiasm WHAT IMPACT ON THE SECTOR ARE for attracting and developing non-UK staff. RAINY DAY DREAMS YOU SEEING FROM BREXIT, SO FAR? Search firms can, in much the same way as I had a spare and very wet and blustery Thankfully, head-hunters don’t have too we should with regard to diversity, also make afternoon in Brussels at the end of last much responsibility for finding answers to the targeting and persuading people beyond year, while I was visiting to join a Council very many questions that Brexit has strewn our national borders an integral part of and meeting of our professional body, the AESC. across regulators’ paths, bar perhaps one. priority for the search. There are no magic Fortunately I had come well-prepared, and This is a sector that has been very successful bullets, but we remain confident that in enjoyed a gloriously filthy bike ride over some in attracting international staff, and in recent the long term the UK will remain a global of the (in)famous cobbled hills of Flanders! years our searches for senior roles have hub and an aspirational place to work. become increasingly intensively international. TRUE PASSION My family, for sure. I have three wonderful Through our Panorama network, we kids and a deeply understanding regularly reach out to potential candidates wife, which comes in handy given my across Europe, Australasia and North GET IN TOUCH WITH JONATHAN aforementioned, two-wheeled, passion. America. However, exchange-rate shifts m [email protected] and, more fundamentally, international c +44 (0)20 7227 0805 ONE HOT TIP perceptions of what Brexit means for the The Three Body Problem trilogy by Cixin Liu: a UK’s attitude towards a global, cosmopolitan brilliantly written science fiction epic, starting workforce, have made it significantly more with the Cultural Revolution and concluding challenging to attract candidates based just before the end of the current universe. overseas, including British expatriates.

CANVAS 15 9 SAVOY STREET LONDON WC2E 7EG +44 (0)20 7227 0800

46 MELVILLE STREET EDINBURGH EH3 7HF +44 (0)131 603 5700 www.saxbam.com

SAXTON BAMPFYLDE MISSION STATEMENT We exist to change the world by changing leaders in interesting and important organisations. At the same time we aim to create an environment wherein all members of our community can grow to their fullest extent emotionally, intellectually and spiritually.

Saxton Bampfylde is an employee-owned business

GLOBAL REGULATION TEAM KEY CONTACTS

UK Jonathan Morgan, Partner, Head of Regulation Practice [email protected]

Alex Richmond, Partner, Regulation Practice [email protected]

GERMANY Anja Schelte, Partner, Delta [email protected]

Hans-Matthias Ruppert, Partner, Delta [email protected]

AUSTRALASIA Richard Besley, Partner, Cordiner King [email protected]

Sarah Magnell, Partner, Cordiner King [email protected]

NEW ZEALAND Stephen Leavy, Partner, Hobson Leavy [email protected]

NORTH AMERICA Patrick Kenniff, Partner, Kenniff & Racine [email protected]

Allison Rzen, Partner, PFM Excecutive Search [email protected]

Shaun Carpenter, Partner, PFM Excecutive Search [email protected]

Saxton Bampfylde is a member of Panorama, a global partnership of 17 leading independent executive search firms around the world. wwww.panoramasearch.com