FCA has accepted 10 firms into its Green FinTech Challenge 2021 which aims to enable the FCA to take a more active role in driving innovation in products and services that will aid the transition to a net-zero economy...
Author - Emma Bond
Emma Bond
FCA publishes Consumer investments data review
The FCA has published its third Consumer investments data review. The review provides an overview of FCA’s work to protect consumers from investment harm between April and September 2021. This follows FCA’s...
FCA discontinues action against individual for failure to comply with statutory Notice
The FCA has issued a notice of discontinuance in relation to the prosecution of Craig Whyte. Mr Whyte had previously been charged with an offence of failing to comply with the a statutory Notice issued under Section 49...
BBRS publishes Post-Implementation Review
The Business Banking Resolution Service (BBRS) has published the first part of its Post-Implementation Review (PIR). The aim of this review was to assess how well the BBRS has delivered the recommendations contained in...
UK and New Zealand sign Free Trade Agreement
Having reached an agreement in principle in October 2021, the UK has signed a trade deal with New Zealand which will remove trade barriers on a range of UK goods and services. Chapter 11 of the agreement enables UK...
EBA publishes final Guidelines on limited network exclusion
The European Banking Authority (EBA) has published its final Guidelines on the limited network exclusion under the Payment Service Directive (PSD2). The Guidelines clarify how competent authorities should assess whether...
FOS publishes latest quarterly complaints data
The Financial Ombudsman Service (FOS) has published its latest quarterly data on complaints in relation to financial products. This data covers the period October to December 2021, and is available in full as a...
FSCB publishes report on inclusion survey
The Financial Services Culture Board (FSCB) and Financial Services Skills Commission (FSSC) have published a report on their survey of inclusivity in the financial services sector. The report contains data from the...
EBA updates methodology for assessing equivalence
The Capital Requirements Regulation (CRR) provides that certain risk exposures to entities located in third countries can be treated, for risk-weighting purposes, as exposures in EU Member States, provided that the...
EBA publishes report on responses to 2020 Luanda Leaks
The EBA has published its report on its assessment of competent authorities’ responses to the 2020 Luanda Leaks. The Luanda Leaks involved the International Consortium of Investigative Journalists (ICIJ)...
LSB publishes thought piece on supporting customers
The Lending Standards Board (LSB) has published a thought piece looking at the UK’s cost of living crisis and how firms can support customers in pre-arrears and financial difficulty. The thought piece identifies...
FSB reports on financial stability risks in cryptoasset markets
The FSB has published a report assessing the risks to financial stability from cryptoassets. The report examines the developments and associated vulnerabilities relating to cryptoasset markets which it considers could...
ECON publishes draft legislation on transfer of funds and cryptoassets
The European Parliament (ECON) has published draft legislation on the proposal for a regulation on information accompanying transfers of funds and certain cryptoassets. The draft sets out the suggested amendments to the...
BoE, FCA, PRA and PSR conduct review of MoU for UK payment systems
The Bank of England, FCA, PRA and PSR are required, by the Financial Services (Banking Reform Act) 2013 to conduct an annual review of their Memorandum of Understanding (MoU) setting out the framework for their...
CMA writes to Barclays and Tesco Bank on Retail Banking Order breaches
The CMA has written letters to Barclays and Tesco Bank regarding their breaches of the Retail Banking Market Investigation Order 2017. Barclays’ breach relates to its failure to update a Service Quality Indicator...
PSR publishes response to CoP consultation
The PSR has published PS22/1 Confirmation of Payee: response to consultation CP21/11 ending dual running. The document assesses the implementation of Phase 1 thus far, and introduces Specific Direction 11 which will...
FCA clarifies next steps in LIBOR transition
The FCA has published a new webpage entitled ‘finalising LIBOR transition – achievements in sterling markets and what remains to be done‘. The FCA identifies that the final publication of sterling...
PRA consults on definition of capital
The PRA has published a Consultation Paper which proposes updates to PRA SS 7/13 ‘Definition of capital (CRR firms). The proposed rules are set out in full in Appendix 3. This suggestion is part of the broader...
Government to bring forward Brexit Freedoms Bill
The Prime Minister has pledged to bring forward the ‘Brexit Freedoms’ Bill, which aims to end the current status of EU law, enabling it to be amended or removed more easily. This announcement is accompanied...
Government Committee launches inquiry on retained EU law
The European Scrutiny Committee has launched an inquiry into the future of retained EU law. This follows the Government’s announcement in September 2021 that it would conduct two reviews into the new category of...
EBA launches AML/CFT database
The EBA has launched ‘EuReCA’, the EU’s central database for anti-money laundering and counter-terrorism financing. The EBA will use the database to coordinate efforts by competent authorities to...
FCA publishes guidance on competency and capability
The FCA has added a webpage to its website explaining the competency and capability requirements of heads of compliance and MLROs as SMF holders under the SMCR regime. The FCA notes that firms should carefully consider...
BIS updates on 2022 work programme
BIS has announced that its Innovation Hub will launch new projects in 2022, including those relating to: central bank digital currencies (CBDCs); next generation payments systems; and Decentralised Finance (DeFi). The...
PSR consults on card-acquiring services review
The PSR has published a consultation on remedies for its card-acquiring market review. This follows its report in November 2021 which identified the following three features of concern in relation to how the market...
Regulators publish Wider Implications Framework
FOS, FCA, FSCS, TPR and MaPS (the Members) have jointly published a formal agreement for collaboration on matters of common interest: the Wider Implications Framework. The Framework establishes a structure to enable...
FCA proposes guidance for firms seeking to limit their liabilities
The FCA has identified an increase in firms developing proposals, such as Schemes of Arrangements, to deal with significant liabilities to consumers. This is particularly so in relation to redress liabilities. In...
FCA updates on borrowers in financial difficulty
The FCA launched the borrowers in financial difficulty (BiFD) project in March 2021, with the aim of ensuring firms continue to support borrowers facing financial difficulties. The project covers a range of retail...
EBA confirms Covid-19 related reporting and disclosure requirements will continue
In response to the ongoing Covid-19 pandemic, the EBA has confirmed that the Guidelines on the reporting and disclosure of exposures subject to measures applied in response to Covid-19, which were first adopted on 2...
PSR publishes new strategy
The PSR has published its new strategy which sets out its priorities and desired outcomes within the payments sector over the next 5 years. This follows the PSR’s consultation last year, for which it has now...
FCA and PRA consult on FSCS management expenses levy limit
The FCA and PRA are jointly consulting on the management expenses levy limit for the Financial Services Compensation Scheme (FSCS). This limit represents the total management expenses that the FSCS can levy on financial...
FCA to register first UK securitisation repositories
From 17 January 2022, public securitisations within the scope of the UK Securitisations Regulation must be reported to a Securitisations Repository (SR) that is registered and supervised by the FCA. The FCA has...
PSR publishes report on interbank payment systems
The PSR has published its latest annual access and governance report. This most recent report describes data and developments in access to interbank payment systems across both 2019 and 2020 due to the 2019 report...
EIOPA publishes report on application of the IDD
EIOPA has published its first report on the application of the Insurance Distribution Directive. The IDD requires EIOPA to produce such a report every 2 years, but EIOPA postponed the delivery of this report from 23...
ESMA publishes guidelines on delayed disclosure under MAR
ESMA has published its final report into the review of the Market Abuse Regulation (MAR) guidelines on delayed disclosure. This follows its consultation on review of the MAR guidelines on delay in the disclosure of...
ESMA publishes call for evidence on DLT pilot regime
ESMA has published a call for evidence on distributed ledger technology (DLT). This forms part of the Regulation on a pilot regime for market infrastructures based on DLT. It is seeking input from stakeholders on the...
All-Party Parliamentary Group on Blockchain publishes 2022/23 programme
The All-Party Parliamentary Group (AAPG) on Blockchain has published its 2022/23 work programme entitled ‘ensuring industry and society benefit from the full potential of blockchain‘. The AAPG’s three...
ECB comments on European Parliament’s Banking Union Annual Report
The European Central Bank (ECB) Banking Supervision has published its comments on the input provided by the European Parliament as part of its “Resolution on Banking Union – Annual Report 2022”. The...
JMLSG comments on guidance on digital identities
The Joint Money Laundering Steering Group (JMLSG) has published an update on its website relating to the recent interest in digital identities and their use as part of AML/CFT procedures. It notes that it continues to...
ASA upholds complaints about promotion of unregulated cryptoassets
The Advertising Standards Authority (ASA) has upheld two separate complaints relating to the promotion of unregulated cryptoassets. The first related to a Facebook post and website for Arsenal Football Club PLC. ASA...
FCA prosecutes individual for failure to comply with Statutory Notice
In the first prosecution of its kind, the FCA has brought an action against a Mr Craig Whyte for failure to comply with a Statutory Notice issued under section 49 Regulation of Investigatory Powers Act 2000. Mr Whyte...
FCA fines BlueCrest Capital for conflicts of interest failings
The FCA has published a Decision Notice against BlueCrest Capital Management (UK) LLP (BlueCrest), setting out its decision to impose a £40,806,700 fine on the hedge fund. The FCA considers that BlueCrest failed to...
EBA publishes cover note for draft RTS on AML/CFT database
The EBA has published a cover note for its submission of the draft regulatory technical standards (RTS) under Article 9a(1) and (3) of Regulation (EU) No 1093/2010, setting up an AML/CFT central database. The database...
EESC publishes opinion on Commission’s Sustainable Finance Package
The European Economic and Social Committee (EESC) has published its opinion on the European Commission’s Sustainable Finance Package. The package consists of: the Communication from the Commission to the European...
EIOPA reports on IDD sanctions
EIOPA has published its second annual report on administrative sanctions and other measures imposed by national competent authorities during 2020 under the Insurance Distribution Directive (IDD). The authorities...
PRA fines Metro Bank following regulatory reporting failure
The PRA has fined Metro Bank plc a total of £5,376,000 following the Bank’s failure to act with due skill, care and diligence in relation to the regulatory reporting of its capital position, as well as for...
EPC issues SEPA reminder
The European Payments Council (EPC) has published a press release reminding Single European Payments Area (SEPA) payment scheme participants to comply with the EU Revised Wire Transfer Regulation (2015/847)...
FCA writes dear CEO letter to BSPS advisers
The FCA has published a dear CEO letter addressed to firms who advised British Steel Pension Scheme (BSPS) members between 1 March 2017 and 31 March 2018. The letter identifies the high levels of unsuitable pension...
UK-US Financial Regulatory Working group holds fifth meeting
The fifth meeting of the UK-US Financial Regulatory Working group was held on 15 December 2021 and focussed on the following 7 themes: international and bilateral cooperation; sustainable finance; crypto-assets and...
UK and Australia sign historic trade deal
The UK and Australia have signed a trade deal which sets new global standards in digital services and creates new work and travel opportunities for residents of both nations. The deal, which was agreed in principle in...
PSR extends ATM Direction
The PSR has extended Specific Direction 8, which requires LINK to do all it can to fulfil its commitment to maintain the broad geographic spread of free-to-use ATMs. Specific Direction 8, as varied by Specific Direction...
EIOPA publishes results of Insurance Stress Test
EIOPA has published the results of its 2021 Insurance Stress Test in which it assessed the industry’s resilience to a prolonged COVID-19 scenario in a “lower for longer” interest rate environment. To...
PSR updates Specific Directions on Pay.UK
The PSR has published its decision on varying Specific Directions 2 and 3 on Pay.UK. This follows the PSR’s consultation earlier this year in which it consulted on proposed changes to Specific Directions 2 and 3...
BoE publishes inventory of senior manager responsibilities
The Bank of England (BoE) has published an inventory of senior manager responsibilities. This publication follows feedback on the BoE’s ‘Evaluation of the Senior Managers and Certification Regime...
FOS consults on strategic plans and budget for 2022/23
The Financial Ombudsman Service (FOS) has published its annual consultation on its proposed plans and budget for the upcoming financial year (2022/23). The consultation includes information relating to: The volume of...
PRA publishes guidance on changes to reporting requirements
The PRA has published a statement explaining how the changes it has made to a number of banking regulatory reporting requirements are being implemented in the CRR reporting modules. The PRA has incorporated the entirety...
FCA writes to Treasury Committee following Swift Review
The FCA recently published an independent “lessons learned” review (the Swift Review). The FCA has now written a letter to the Treasury Committee, noting that it accepts almost all of the Reviewer’s...
FCA publishes review of supervisory intervention on IRHPs
The FCA has published an independent “lessons learned” review (the Swift Review), which it commissioned John Swift QC to produce, into the supervisory intervention on interest rate hedging products. The...
Court finds no breach of COBS Rules by spread betting firm
The High Court has ruled on an application for, amongst other things, damages for alleged breaches of the COBS 2.1 (Client’s Best Interests) and COBS 11.2.1 (Best Execution). The Claimant had opened an Account...
FCA and PRA publish dear CEO letter to global equity finance businesses
The PRA and FCA have jointly published a Dear CEO letter regarding the supervisory exercise which they undertook following the default of Archegos Capital Management. The default resulted in over $10 billion of reported...
UK agrees digital trade deal with Singapore
The UK has secured an agreement in principle on a Digital Economy Agreement (DEA) with Singapore. The agreement is the first digitally-focussed trade agreement signed by a European nation and was agreed after only six...
FCA publishes update on Independent Review implementation
The FCA has published a report providing an update on the implementation of recommendations from two Independent Reviews, these being: the Independent Investigation into the Financial Conduct Authority’s...
FCA announces changes to its executive committee
The FCA has appointed Stephen Braviner Roman as both General Counsel and a member of its Executive Committee. He is expected to join the FCA in February 2022 from the Government Legal Department where he currently holds...
FCA and Practitioner Panel publish joint survey findings
The FCA and the Practitioner Panel have published a report setting out the findings of their joint survey of FCA regulated firms. The survey itself enabled firms across the financial services sector to express their...
FCA publishes quarterly consultation paper
The FCA has published its 34th quarterly consultation paper. The proposed changes to the FCA handbook include: Amending the Enforcement Guide to reflect the EU Exit Passport Regulations by providing information about...
FCA consults on improving AR regime
The FCA has published a consultation paper on improving the appointed representatives (AR) regime. It wants to combat the harm that it is currently seeing across all sectors where firms have ARs, which results from...
BoE speaks on Solvency II reform
Andrew Bailey, Governor of the Bank of England, today gave a speech on the opportunity to reform Solvency II post-Brexit. He focused on what he identified to be the key foundations of public policy in prudential...
FCA publishes policy statement on new CMC charging rules
The FCA has published its policy statement on restricting CMC charges for non-PPI financial products and services claims. This follows the FCA’s corresponding consultation which ran from 21 January to 21 April...
FCA publishes Frensham Wealth Limited supervisory notice
The FCA has published a supervisory notice addressed to Frensham Wealth Limited. The notice removes all regulatory activities from the firm’s Part 4A permissions with immediate effect. This follows the FCA’s...
FCA recognises revised FX Global Code and Global Precious Metals Code
The FCA confirmed today under its code recognition process that it is recognising: the updated FX Global Code (FX Code); and the Global Precious Metals Code (PM Code). FCA has updated its ‘Recognising industry...
European Commissioner speaks at EPIF annual conference
Mairead McGuinness, European Commissioner for Financial Stability, Financial Services and the Capital Markets Union, recently gave a speech at the European Payment Institutions Federation (EPIF) Annual Conference. She...
Basel Committee consults on principles for climate-related financial risks
The Basel Committee on Banking Supervision is consulting on principles for the effective management and supervision of climate-related financial risks. The consultation, which follows a series of analytical reports...
CMA letter to Danske Bank on breach of SME Banking Undertakings
The CMA has written to Danske Bank regarding the Bank’s second breach of the SME Banking Undertakings 2002. Relationship Managers at Danske Bank required up to 205 SMEs to open a business current account (BCA) to...
FCA, BoE and FMSB sign MOU
The FCA, Bank of England, and Fixed Income, Currencies and Commodities Market Standards Board (FMSB) have signed a joint Memorandum of Understanding. The Memorandum sets out a framework for the continuation of...
FCA updates on ESG priorities and publishes SDR discussion paper
The FCA has updated its website to include a page setting out its environmental, social and governance (ESG) strategy. The refreshed ESG strategy is based on five core themes: transparency, trust, tools, transition and...
Complaints Commissioner publishes final report
The Financial Regulators Complaints Commissioner has published its final report on FCA00865. The relevant complaint against the FCA (and FOS) constituted five separate elements, including the FCA’s delay in...
FCA publishes regulatory initiatives grid
The Financial Services Regulatory Initiatives Forum (FSRIF), which is made up of representatives of the BoE, FCA, PRA, PSR, CMA, ICO, TPR and FRC has published its most recent biannual regulatory initiatives grid. The...
Treasury Committee publishes tech companies’ responses on financial crime
On 1 October 2021, Rt. Hon. Mel Stride MP wrote to a series of tech giants. The letter posed a series of questions relating to the policies and procedures that the addressees have in place to combat fraud and economic...
FCA, PRA, TPR and FRC publish Climate Change Adaptation Reports
The FCA, PRA, TPR and FRC have issued a joint statement regarding their publication of Climate Change Adaptation Reports. The statement emphasises the regulators’ focus on proactively managing both climate-related...
PSR publishes consultation on Specific Direction for free-to-use ATMs
The PSR is proposing to issue a new Specific Direction to support LINK in meeting the objective of continuing to maintain a broad geographic coverage of the Free-to-Use ATM network in the UK. The draft Specific...
FCA updates guidance on TPR landing slot changes
FCA has already started to email firms in the Temporary Permissions Regime (being firms that previously passported into the UK under Schedule 3 or Schedule 4 to FSMA) to confirm their ‘landing slot’: the...
FATF holds fifth plenary
The FATF held its fifth plenary between 19 and 21 October 2021. Those present for the meetings included delegates representing the 206 members of the Global Network and observer organisations. The FATF finalised a...
Climate financial risk forum publishes guides on managing climate related risks
The Climate Financial Risk Forum (CFRF), which was established in 2019 and is chaired jointly by the PRA and FCA, has published its second set of guides (the ‘Session 2 guides’) to assist financial firms in...
Article: is your settlement agreement unenforceable?
The decision in CFL Finance Ltd v Laser Trust & Gertner [2021] EWCA Civ 228 raised the issue as to whether a settlement agreement with an individual, where they were given time to pay, is a provision of credit for...
Chancellor publishes green financing roadmap
The Chancellor has published ‘Greening Finance: A Roadmap to Sustainable Investing‘. The document lays out the government’s ambition to align the financial system with the UK’s net-zero...
UNEPFI publishes collective progress report on principles for responsible banking
The UN Environmental Programme Finance Initiative (UNEPFI) has published a collective progress report providing an update on the progress made by more than 200 signatories in implementing the Principles for Responsible...
Contactless card payment limit increased to £100
As of Friday 15 October 2021, the spending limit for contactless card payments has been increased to £100. The decision of HM Treasury and FCA to raise the limit from the previous cap of £45 was made following the...
Government publishes Payments Landscape Review
The government has published its response to the 2020 Payments Landscape Review: Call for Evidence. The relevant consultation, which ran from 28 July 2020 to 20 October 2020, sought views from across the sector to be...
EU – US Joint Financial Regulatory Forum updates on initiatives
EU and US participants in the EU – US Joint Financial Regulatory Forum met virtually at the end of September as part of their ongoing financial regulatory dialogue. The participants included, amongst others: the...
CMA report on allegations at the Open Banking Implementation Entity
The CMA has published its findings following an investigation into allegations at the Open Banking Implementation Entity (OBIE). The OBIE was set up in 2017 to implement Open Banking, enabling consumers and SMEs to...
FCA delivers speech on diversity and inclusion
FCA Executive Director Sheldon Mills delivered a speech highlighting the importance of culture and the FCA’s intention to prioritise D&I. Mr Mills also spoke about the need for meaningful progress in relation...
CMA writes to Santander following breach of Retail Banking Order
The CMA has written a letter to Santander following the bank’s failure to publish Northern Ireland Service Quality Indicators for Overall Service Quality for Business Current Accounts, as required by the Retail...
ECA calls for more consistent action to redirect finance towards sustainable investment
The European Court of Auditors (ECA) has published a Special Report calling for the Commission to take more consistent action in the redirection of finance towards sustainable investment. In particular, the Report...
Basel Committee calls for greater resilience against cyber threats
The Basel Committee has published a newsletter encouraging banks to adopt more resilient measures relating to cyber security. This was triggered in part by the increase in cyber threats since the beginning of the COVID...
Specialist police unit prevents £85 million of fraud
A specialist police unit, the Dedicated Card and Payment Crime Unit (DCPCU), has prevented a total of £85 million worth of fraud in the first half of 2021. Its activities also resulted in some 49 criminal convictions...