FIN.

Author - Emma Radmore

FCA updates competition powers guidance

FCA has updated its guidance on its competition powers and procedures. The guidance needed updating partly following Brexit and also to include FCA’s powers in relation to claims management and certain procedural...

Government consults on CCP and CSD regulation

Treasury is consulting on how the future regulatory framework should look for central counterparties and central securities depositories. It follows up on a commitment to look at whether changes should be made in the...

FOS responds on action plan

The Treasury Committee has published a response from FOS, received in December, answering various questions the Committee had posed about FOS’ action plan. The letter addresses several issues, including: the...

FCA updates on skilled persons reviews

FCA has published the figures for the skilled persons reviews commissioned in October – December 2021. There were 12 in total, of which 4 were on retail banking and payments firms and 3 on investment management...

PRA updates insurance business transfer SoP

PRA has published its feedback on responses to its consultation in CP 16/21 on insurance business transfers, and has published an updated Statement of Policy. There were not many respondents, and those who responded...

FCA updates on GI value reporting

FCA has updated its webpage on reporting of general insurance value measures to clarify which firm is responsible for reporting in various scenarios. The requirements are all set out in SUP 16.27.8 but FCA has set out a...

EU to amend high risk third countries list

The European Commission has published a draft Regulation to amend the MLD list of high risk third countries. It proposes to: add to the list: Burkina Faso, Cayman Islands, Haiti, Jordan, Mali, Morocco, the Phillippines...

FCA still concerned about wholesale data

FCA is to continue to investigate the markets for benchmarks, indices, credit ratings and trading data after responses to its call for input highlighted concerns that there is limited competition in the markets and that...

FCA to redo financial resilience survey

Firms should look out for a new version of the FCA Covid financial resilience survey.  It has already run the survey 5 times and will now start a 6th review.  Completion of the survey is mandatory, and FCA will be...

EBA publishes derisking opinion

EBA has published its opinion on the scale and impact of derisking and the steps regulators should take to tackle “unwarranted” derisking. Although EBA feels its guidance ought to help avert the practice, it...

FCA confirms end-2021 LIBOR changes

FCA has reminded firms that publication of 24 LIBOR settings has ended – that is, all euro and Swiss Franc, all overnight/spot next, 1-week, 2-month and 12-month sterling and Japanese yen and 1-week and 2-month US...

JMLSG consults on syndicated lending changes

JMLSG is consulting on a proposed change to the Syndicated Lending chapter within part 2 of its guidance, to include a new paragraph on the risk-based measures that may be appropriate for each lender in a syndicate when...

FCA updates on PRIIPs

FCA has confirmed its intention to amend the UK PRIIPs RTS and handbook guidance to reflect the new end date legislated for in the Financial Services Act 2021 that allows UCITS providers to choose to supply either a...

HMRC reports on MLR non-compliance

HMRC has published its regular report on business that have failed to comply with the MLRs. Among the failings and fines are: a fine on BNY Mellon Corporate Trustee Services Limited for failing to apply for registration...

JMLSG updates guidance

JMLSG has confirmed the changes it proposed to chapter 5.7 of part 1 of its guidance on monitoring customer activity and published one further clarificatory guideline. It has now submitted the updated wording to...

FCA updates on rule changes

FCA’s latest Handbook Notice confirms, among other things: changes to SUP to clarify what FCA expects to see reported on form FIN-A changes to LIBOR rules (previously reported in FIN) and changes to the value...

EU updates on PRIIPs

The Council of the EU ha published details of the extension of the transitional arrangement that allows UCITS to choose whether to use the KID or the KIDD. The transitional arrangement was due to end in July 2022, but...

CLLS considers Fin Prom onshoring

The City of London Law Society has published a letter written to the Treasury in July expressing concerns about how the “onshoring” of the Financial Promotion Order post-Brexit has affected the exemptions...

BoE publishes Financial Stability Report

The December 2021 Financial Stability Report concludes: recovery from the pandemic continues, and uncertainty also continues, but UK banks’ capital and liquidity positions remain strong; the FPC is keeping an eye...

Structure of sanctions lists to change

OFSI and the FCDO have announced that the structure and format of the UK sanctions list will change in February 2022.  The changes will include: alias strength for UN listings standardised data wherever possible new...

NatWest fined £264.8m for AML failings

The long awaited sentencing following the conviction of NatWest on three offences of failing to comply with the MLRs resulted in the announcement of a fine on the bank of £264,772,619.95.  The bank admitted to breaching...

UK Finance updates Financial Abuse Code

UK Finance has published an updated version of its Financial Abuse Code of Practice.  The Code is a voluntary one, updated to reflect the industry’s understanding of victim-survivor needs. It is designed to align...

FCA considers FSCS operation review

FCA has published a discussion paper on the purpose, scope and funding of the compensation framework. It notes that the FSCS levy has increased over the last 10 years, by nearly £500m to an expected £717m for 2021/22...

ICO fines over pensions cold-calling

ICO has fined EB Associates Group (EBAG) £140,000 for instigating two IARs to make over 100,000 unsolicited direct marketing calls to consumers about occupational or personal pension schemes where the customers had not...

PSR consults on CoP: ending dual running

The PSR is consulting on the wider implementation of Confirmation of Payee, following its adoption by the UK’s largest banking groups.  It has published a draft direction to ensure migration to the Phase 2...

FOS publishes plan for change

FOS has published an action plan to deliver a better service to customers. The plan aims, among other things: to bring more effective and efficient resolution of cases – part of this involves teams which are...

EU fines banks for FX spot cartel

The European Commission has fined UBS, Barclays, RBS, HSBC and Credit Suisse a total of €344m for their participation in a foreign exchange spot cartel.  The first 4 banks settled (with UBS receiving full immunity for...

FCA publishes consumer warning on firm

FCA has published a consumer warning on Grosvenor Associates Limited.  It says it has removed the firm’s permissions, so it is no longer authorised to carry out any regulated activities and investments with it may...

FCA finalises UK MiFID changes

FCA has finalised its proposals on changes to the research rules and removal of the best execution reporting in RTS 27 and 28 in relation to UK MiFID. FCA remains of the view that the changes were necessary to ensure...

FCA publishes mortgage prisoner review

FCA has laid its mortgage prisoner review before Parliament. The review sets out data that will help the Government consider whether any practical and proportionate solutions could help these borrowers. FCA’s data...

FCA updates on KPIs

FCA has published its KPIs for the first quarter of 2021. Workload in all areas has gradually increased, but service standards have generally remained constant, as has the pattern of firms and percentage of withdrawals...

ESMA reports on MAR sanctions

ESMA has published a report on the sanctions imposed by various member states under MAR during 2020.  Over the year, €17.5m in fines were imposed for over 500 breaches. The number of administrative actions was...

UK Finance makes Open Banking recommendations

UK Finance has published a report setting out its recommendations for the future strategy of open banking. Open banking payments have increased exponentially over the past 3 years and there are now over 2.5m each month...

Government publishes AML supervision report

The Government has published its AML and CTF supervision report for 2019-2020. The report notes the system has been strengthened significantly over recent years. The FATF report on the UK in 2018 had noted significant...

FCA publishes GI pricing attestation forms

FCA has published examples of the forms it will require from general insurance firms making their first, and then their subsequent attestations on compliance with the pricing rules. The first attestation can be sent in...

PSR announces next steps to stop APP fraud

The PSR has set out its latest plans to force the financial sector and others involved in the digital ecosystem to prevent APP fraud. It is consulting on plans to: require the UK’s largest banking groups to...

Dormant Assets Bill under inspection

The Dormant Assets Bill is making its way through the House of Lords, where members have voted on two changes to the Bill at report stage. It will now has its third reading on the Lords before moving to the Commons. The...

FCA confirms more LIBOR rules

FCA has confirmed its new rules for: legacy use of synthetic LIBOR rates; and no new use of USD LIBOR. It will allow temporary use of synthetic sterling and yen LIBOR rates in all legacy LIBOR contracts other than...

FSCS confirms levies

The latest edition of FSCS’ “outlook” newsletter sets out its latest forecast for the current year, which is lower than previously forecast but still £17m higher than last year’s levy.  It means...

FOS publishes Ombudsman News

The latest edition of Ombudsman News focuses on the recently published annual report and the feedback statement on outcomes reporting already covered in FIN.

FCA refuses SMF29 application

FCA has published its final notice refusing the application of an individual to perform the SMF 29 function for Servicesport Finance Limited. The individual in question was a solicitor who had failed to disclose SRA...

Treasury updates AML advisory

Treasury has updated its AML advisory on high risk jurisdictions for money laundering and terrorist financing, following the FATF meeting last week The list continues to require firms to apply counter measures and EDD...

FATF updates virtual asset guidance

FATF has updated its 2019 guidance on a risk based approach for virtual assets and virtual asset service providers. The updates focus on: definitions of key terms; clarification of application of FATF standards to...

FCA publishes updated complaints data

FCA has published its six-monthly set of data on complaints that firms receive.  Its latest findings include: a 7% decrease in complaints from H2 2016, with the 2.04m complaints being the lowest level since late 2016;...

Treasury updates on Economic Crime levy

Treasury has published a policy paper on the introduction of the economic crime levy, which will be introduced in the 1 April 2022 – 31 March 2023 levy year and payable in the following financial year. It had...

FCA responds on NatWest

FCA has responded to the enquiry from the Treasury Committee on its actions in relation to its prosecution of NatWest for money laundering. The response says it would be inappropriate to respond in detail while...

FCA finalises LTAF rules

FCA has published its final rules for Long Term Asset Funds. An LTAF will be an open-ended authorised fund intended for investment by sophisticated investors and pension funds – in particular DC schemes whose...

FCA adds new question to GI pricing FAQs

FCA has added an additional question to its Q&As on its general insurance pricing practices rules.  The new question relates to whether certain benefits such as events tickets, rare products or products of benefit...

FCA makes new rules

In addition to the new IFPR rules covered in a separate post, FCA has made: changes to COBS, effective from 4 October, on assessing value for money in workplace pension schemes; and the role of IGCs in challenging...

Fraud taskforce adds new charters

The Government website hosting all information about the Joint Fraud Taskforce has added the charters for accountancy, retail banking and telecommunications.  The retail banking charter quantifies the key risks (APP...

PSR responds on COP call for views

PSR issued its call for views on the wider implementation of Confirmation of Payee in May 2021.  It has now set out the findings from its call for views and its plans and expectation on industry for the next step. It...

NAO updates on BSPS

The National Audit Office has set a timescale for reporting in Spring 2022 on its investigation into the activities FCA has undertaken to regulate financial advice in relation to the restructure of the British Steel...