Gee I took almost an entire cup of coffee to read through that! Still thought provoking nonetheless.
I am not sure a "new" regulator is the way. New regulator = cost. In this country more cost means charge more taxes to the users.
We already have a regulator of sorts. It is called the CAA (and its standards department). But I think general consensus is that it ain't working how we would like it to. Hence lobby your MP to get its remit changed. Specifically the CAA should be more active in reviewing the standards of flight schools. The days of warning schools of pending visits should cease. I would also like to see a central trust a/c established where wanabees deposit cash with the CAA and then it is transferred to schools only when set milestones have been met during your training. That should avoid anyone losing out as has occured to often in the past. It would also avoid people be lured into training at schools that pass themselves off as JAA accredited when clearly the CAA won't have any record of them in the first place. The interest generated from the account should hopefully take care of the administration and audit costs.
Now to training..........well who knows what the airlines want these days. Yes there are various companies involved in the food chain that are profiting along the way. One solution would be to centralise training. One big non profit school owned by a mix of airlines. You pay your money, get taught to a sylabus that satisfies the airlines that own the school and take your chances that there will be jobs at the end. PROBLEM is that you then might have all your eggs in the one basket.
There are so many ways to improve things but do I think anything will happen......no.