The Queen of England had a number of questions for the Bank of England regarding the recent financial crisis during a Thursday visit to inspect the central bank’s gold.
Queen Elizabeth famously posed the question, “Why did nobody notice it?” during a discussion on the 2008 financial crisis, adding that the U.K.’s Financial Services Authority had become “complacent,” The Huffington Post reports.
“The Financial Services—what do they call themselves, the regulators—Authority, which was really quite new…it didn’t have any teeth,” the queen said, according to The Huffington Post.
Sujit Kapadia, a member of the central bank’s Financial Services Committee, compared the financial crisis to an earthquake, in that it was a rare event difficult to predict.
“People thought markets were efficient, people thought regulation wasn’t necessary,” Kapadia said, The Huffington Post reports. “Because the economy was stable there was this growing complacency. People didn’t realize just how interconnected the system had become.”
The queen was told that bank employees were present to prevent a repeat of the last financial crisis, leading her to ask, “Is there another [crisis] coming?”
The FSA released a statement in response to the queen’s remarks.
“We’ve widely acknowledged that the regulatory approach before the financial crisis in 2008 was flawed and has since been completely changed,” the FSA said, according to The Huffington Post. “Parliament is now awaiting Royal Assent for the Financial Services Bill, which will determine the powers for the new regulators that will be created next year.”