Islamic financial services to remain 'independent'

Islamic finance and conventional UK finance operate on opposite principles and must therefore remain separate, the Chartered Institute of Management Accountants (CIMA) has warned.
John Willsdon, learning and development specialist for the organisation, explained that under Sharia law, finance products cannot earn interest or have additional charges added and uncertainty should be avoided.

However, UK finance operates on exactly those fundamentals and therefore the two should work "side by side" but remain unconnected, he said.

"Conventional UK financial institutions do offer Islamic products and services, but through Islamic 'windows' or subsidiaries whose activities are kept separate from their conventional counterparts," concluded Mr Willson.

In November, the Financial Services Authority reported that the Islamic finance industry was growing at ten to 15 per cent per annum and stood at £250 billion globally.
CIMA has recently become the first chartered accountancy body to offer a global qualification in Islamic finance.