Speaking to the Economic Club of Toronto today, Ontario Minister for Government Services, Gerry Phillips, reiterated Ontario’s demand for a national securities regulator, and suggested that it would also welcome a shift to a more principles-based approach to regulation.

Phillips argued that a common regulator would reduce the regulatory burden on companies. “It would lead to better and more consistent enforcement, resulting in greater investor protection. As in all other developed global economies, a common securities regulator will help attract investment and ensure that businesses, wherever they are located, can access the capital they need to grow and expand,” he said. “We believe it is the right thing for Canada to have a common body of securities law, a single fee structure and a common securities regulator.”

He noted that other jurisdictions still support a “passport system” of securities regulation, which he believes doesn’t go far enough. “It can’t lead us to the economic and market efficiency benefits that a common securities regulator could -because it still leaves us with 13 different sets of rules in 13 different jurisdictions,” he said.

Phillips also said the he “would like to further explore [the concept of principles-based regulation] with my colleagues and capital market stakeholders”, adding, “It may allow us to move ahead and find more common ground.”

“What we’re hoping to accomplish would make Canada the best place in the world to invest and raise capital,” he said.