An epilogue on an epilogue

There is now some evidence of a potential drift towards 'punitive' approaches to regulation in which greater emphasis is placed on criminal sanctions. This new enthusiasm for punishment can be seen in government policy, legislation and some regulators' public stances. There is evidence, however, that companies (even top ones) deal with punitive regulatory risks in a confused manner and that even when they do act rationally, this may not lead to compliance. One response to punitive approaches and their limitations is to move towards greater reliance on stimulating the self-regulatory capacities of corporations. Such stimulation, however, has to be carried out with an awareness of the dangers of self-regulation – notably that it may lead to controls that lack legitimacy, prove unfair and are exclusive and inefficient.