A Private Members’ Bill started in the House of Lords by Lord Sharkey has had its first reading. The Bill, the Financial Services Duty of Care Bill, proposes amending FSMA to require FCA to make rules requiring authorised persons to owe a duty of care to consumers when carrying out regulated activities. It defines “duty of care” as an obligation to exercise reasonable care and skill.
The Bill proposes that FCA must make such rules, using its general rule-making power, within 6 months of the legislation taking effect.
There is no date for the second reading as yet.