In reply to Sir Chasm:
I think you don't understand how the current situation work. If a newspaper publishes something incorrect (and libellous) what do you think happens?
What should happen if:
(a) Journalist lied, editor didn't know (ie, journalist lied to editor too)
(b) Journalist lied, editor did know
(c) Journalist made an error, editor didn't have a process to fact check
(d) Journalist made an error, editor did have a process to fact check and also made an error
Because at the moment you've got to go through a civil case (too costly for most people) to get compensation and an apology. Then you have an internal matter at the paper.
There is no requirement for the paper to show who knew, who made mistakes, and crucially are they fixed in the future.
This is what a regulatory body does - they set an acceptable procedure and check it's being carried out.