FIN.

Author - Emma Radmore

NCA publishes SARs reporter booklet

NCA has published a booklet summarising feedback from law enforcement agencies on their use of SARs, which it hopes will be informative in sharing perspectives on the use of SARs and sharing and encouraging best...

FCA updates on PEMC signposting

FCA has updated its webpage on how insurance firms should be helping consumers with serious pre-existing medical conditions to get travel insurance.  It now highlights the newly publishes BIBA travel insurance...

TAFA report shows little action

Treasury has published the quarterly report on activity under the Terrorist Asset Freezing etc Act 2010.  The report covers the quarter to end of September 2020, and shows only £108,000 frozen in 47 accounts, and two...

FCA updates on BI judgment effects

FCA has updated its website following the Supreme Court’s judgment in the business interruption insurance test case.  It has: published a Dear CEO letter on its expectations on insurers.  The key message is that...

PRA publishes capital buffers modification

PRA has published a direction for modification by consent of 5.1 – 5.3 and 5.5 of the Capital Buffers Part of its rulebook. The changes are relevant to firms applying for a VREQ in respect of a Pillar 2A...

PRA updates SMCR forms

PRA has updated its SMCR forms, to reflect: FCA’s relatively recent move and new logo; minor corrections; and a reinstatement of question 3.05 on form L, in respect of notifications of disciplinary actions. The...

FCA updates on DB transfer business

FCA has published data collected from firms on the DB pension advice market.  The data is already nearly a year old, covering an 18 month period to March 2020.  FCA stresses its continued belief that it is not in the...

BoE confirms 2021 stress test

The BoE has confirmed the content of the 2021 stress test.  It will assess the major UK banks and building societies against a UK and global scenario based on a severe path for the macroeconomic outlook.  The results...

FCA reports on protecting consumers from harm

FCA has published a report looking at how it looks to protect consumers from investment harm. It includes details of applications that have been stopped, and notes that FCA opened nearly 350 supervisory cases involving...

Supreme Court backs FCA on BI judgment

The Supreme Court has released its judgment on the business interruption insurance test case. Commenting, on the judgment, FCA noted that the Court has substantially allowed FCA’s appeal on behalf of policyholders...

JMLSG signposts Brexit effects

JMLSG has noted the parts of its guidance affected by Brexit. In particular: EEA countries are now third countries; the same level of information is to be provided by UK PSPs regardless of whether funds are being...

FCA publishes whistleblowing VREQ

FCA has published the outcome of an application by Tokio Marine Kiln Insurance Limited and Tokio Marine Kiln Syndicates Limited to put in place a Voluntary Requirement in respect of whistleblowing policies and...

FCA updates on EU MoUs

FCA has updated its website to reflect the Memoranda of Understanding it has signed with various European authorities on co-operation and exchange of information. It has MoUs with ESMA, EIOPA and EBA as well as...

FS Bill finishes Commons stages

The Financial Services Bill has now completed its journey through the House of Commons and now moves to the House of Lords. Among the key changes now being debated are extensions to penalties for financial crime-related...

FCA publishes FAQ on insurance pricing plans

FCA has published a set of FAQs on its draft rules to remedy its concerns on general insurance pricing practices. It hopes the document will help firms understand the intention behind the proposals, but stresses that...

UK makes Swiss MiFIR equivalence rules

The Markets in Financial Instruments (Swiss Equivalence) Regulations 2021 take effect on 3 February, and designate BX Swiss AG and SIX Swiss Exchange AG as “equivalent” for the purposes of trading under...

HMRC updates on MLR non-compliance

HMRC has updated its published data on businesses that do not comply with the MLRs. Between February and September 2020 it issued 4 substantial fines for failure to comply with obligations, including a fine of nearly...

FCA Covid financial crime guidance to expire

FCA has updated its pages giving guidance to firms on how to act during the pandemic.  As part of this, it has noted that its statement on how firms should apply financial crime systems and controls will no longer apply...

Reminder: changes to MLRs

Various amendments to the MLRs were made in the Money Laundering and Terrorist Financing (Amendment) (EU Exit) Regulations. Some are already in force, with others yet to take effect some of the changes were minor...

PRA finalises BRRD II rules

PRA has published its policy statement and final guidance on BRRD II. it has also published its final policy in relation to the amended Contractual Recognition of Bail in and amended Stay in Resolution parts of its...

ESMA publishes cloud outsourcing guidelines

ESMA has published its final report on outsourcing to cloud service providers. The guidelines cover: risk assessment and due diligence on providers; governance, organisational and control frameworks for monitoring CSP...

TAFA report shows little movement

Treasury has published its quarterly report on the functioning of TAFA, covering April to June 2020.  The report shows that: total funds of £9,000 were frozen with 6 accounts or payments being frozen, but no new...

UK publishes 2020 NRA

Treasury and the Home Office have published the 2020 National Risk Assessment under the MLRs and presented it to Parliament. The report: looks at what has been done in recent years, including in terms of bringing new...

FCA makes Remuneration Code changes

FCA has published its final rules on updating the dual-regulated firms’ Remuneration Code to reflect CRD V.  It has finalised its guidance on proportionality for the dual-regulated firms code,  and published a set...

FOS consults on 2021/2 plan and budget

FOS is consulting on its plan and budget for next year. Key elements of the plan set out: its expectation to receive 160,000 complaints and resolve 210,000 whether the individual case fee will be £650 or £750 that the...

PRA evaluates SMCR

PRA has published a report that evaluates the SMCR and whether it has met its aims.  In principle, it concludes that it has – it has helped ensure that senior individuals in firms take greater responsibility for...

FCA sets up temporary regime for crypto firms

FCA has set up a temporary registration regime for cryptoasset businesses who have applied for registration with FCA under the MLRs but whose applications FCA is still considering. It is taking FCA longer than hoped to...

EBA pleased at AML college cooperation

EBA has published a report analysing how well AML/CFT supervisory colleges are working.  It is pleased that regulators are putting significant effort into setting up colleges, and has reported on good and poor practice...

FCA updates on complaints data

FCA has published its latest firm-specific and aggregate complaints data from firms for H1 2020.  It specifically notes: the lowest levels of recorded complaints since H2 2016 – firms received 2.96m; the largest...

Treasury makes Brexit financial crime laws

Treasury has made: the Sanctions Regulations (EU Exit) (Commencement) Regulations 2020: these bring into force the sanctions regulations made under SAMLA to set up thematic or country based regimes; and the second...

UK and Singapore announce FTA

The UK and Singapore have announced the signing of a UK-Singapore Free Trade Agreement and negotiations on a UK-Singapore Digital Economy Agreement. For financial services, this means opportunities for UK Qualifying...

FCA makes new rules

At FCA’s latest board meeting, it made a number of Brexit-related instruments, including: general amendments, including amendments to BTS to check they operate effectively in UK law; SMCR and approved person...

FCA consults on proving presence of Covid

FCA is consulting on guidance to help policyholders, insurers and intermediaries to judge how to prove the presence of Covid-19 in a particular area. FCA wants to be able to issue the final guidance as soon as the...

FCA confirms mini-bond marketing ban

FCA has confirmed that it will permanently ban marketing of speculative illiquid securities, including mini-bonds, to retail investors, from 1 January 2021. The permanent rules will also include a ban on listed bonds...

PRA makes CRD V changes

PRA has published a policy statement on further implementation of CRD V .  It has also published its near-final rules which will not be changed, but PRA cannot make the rules until 28 December.  The rules will make...

FCA publishes Brexit FAQs

FCA has created a new page on its website with FAQs on Brexit.   The website draws together questions on:

the TPR
passporting
operating and the TPP and
transaction reporting changes

FCA consults on guidance for IPs

FCA has published a guidance consultation to help insolvency practitioners in their approach to insolvencies of regulated firms – particularly solo-regulated firms.  It is aimed to help minimise the impact of...

Up next from FCA

FCA’s latest policy development update highlights as due before the end of the year consultation on changes to accommodate the Breathing Space Regulations.
Most other consultations are due in the New Year

OFSI says “prepare for Brexit”

OFSI’s latest blog alerts firms to the changes they will see at the end of the transition period. It notes that: SAMLA provides the UK’s autonomous legal framework for its sanctions regime the FCDO has...

FCA publishes RDR and FAMR evaluation

FCA has published an evaluation of the impact of the RDR and FAMR. On the whole, it found a positive impact. It notes that the FAMR has: led to a small increase in the number of adults who receive financial advice, and...

FCA pleased with RTO price cap

FCA has published an evaluation, which it says shows its rent-to-own price cap, which took effect in April 2019 has been effective in reducing the prices RTO firms charge.  It says the prices of the two largest firms in...

FCA reminds firms to be ready for Brexit

FCA has reminded firms they have less than a month before the end of the transition period. It highlights: the changed rules that will apply from 1 January 2021, which are not subject to the Temporary Transitional...

FOS loses judicial review hearing

The Court has found against FOS in a judicial review hearing brought by a forex firm. TF Global Markets (UK) Ltd has suspended a number of accounts, including those of three individuals who subsequently complained to...

PRA confirms CRDV statement date

PRA has issued a statement explaining to firms when they can expect further information on the implementation of CRD V.  PRA issued two separate consultations, the later of which closed on 17 November.  It plans to...

FCA makes new rules

FCA’s latest Handbook Notice confirms it has made the following rules at its last 3 board meetings: changes to reflect the extension of various SMCR deadlines as a result of the pandemic (made in October); the...

Regulators make Brexit reporting statements

ESMA and FCA have published statements on: the impact of the end of the transition period on the trading obligation for derivatives under MiFIR; the reporting of securities financing transactions under the UK SFTR;...

FCA updates on Digital Sandbox

FCA is collaborating with the City of London Corporation on a “digital sandbox” to help innovative firms tackling challenges caused by the pandemic. FCA received 94 applications for 30 spaces on the pilot...

UK publishes retained Blocking Regulation

The DIT has published an information page on the UK Protection of Trading Interests Legislation, which includes the UK retained version of the EU blocking statute.  The laws continue to protect UK persons who trade with...

ESMA speaks on challenges for fund managers

Verena Ross has spoken on the challenges for fund managers.  She spoke briefly of how the sector has responded to the pandemic so far, but focussed on Brexit. She said that firms have now had 4 years to prepare for the...

Ombudsman News looks at trends and stats

The latest edition of Ombudsman News looks at its recently published complaints data (previously featured in  detail in FIN), which saw a rise in complaints from people who borrowed money and then felt the debt was...

NCA gets record SARs

NCA’s 2020 SARs report shows a 20% increase on the previous period and a  total of 573,000 SARs. Of these, nearly 62,500 were DSARs – an increase of 81% on the previous period. NCA also reports £172m as the...

FCA consults on use of FSB Benchmark powers

FCA is consulting on how it proposes to use its new powers under the FS Bill to ensure an orderly wind-down of LIBOR, following the announcement by ICE Benchmark Administrations that it plans to cease its euro...

ABI calls for advice charging overhaul

ABI says that nearly 75% of consumers say they will not pay for financial advice. It says the regulatory environment needs to adapt so that customers can get the advice they want and that is fit for purpose. It carried...

FCA writes supervision letter to PCWs

FCA has written a portfolio supervision letter to CEOs of price comparison websites.  The letter notes the key priority that customers buying products through PCWs should buy products consistent with their demands and...

Regulators update on FS Bill reforms

Treasury, PRA and FCA have updated the industry on the planned timelines for the introduction of the UK Investment Firms Prudential Regime and implementation of remaining Basel 3 reforms.  The targeted implementation...

FOS publishes Q2 information

FOS has published complaints figures for July – September 2020 (Q2 2020). It: received 69,000 complaints in total received over 5,900 Covid-related complaints referred over 9,000 complaints to an Ombudsman upheld...

Government takes equivalence decisions

The Treasury has announced its first set of equivalence decisions for EEA measures.  The decisions relate to parts of EMIR, the CRR, Solvency 2, the CSDR, the Benchmarks Regulation, the CRA Regulation, the SSR and CCPs...

EBA reminds firms to finalise Brexit plans

EBA has reminded firms that, from the end of the transition period, UK firms can no longer provide services to EU customers on a passporting basis. It notes that: UK financial institutions offering services to EU...

Up next from FCA

Before the end of the year, FCA expects to publish:

consultation on amendments to take account of Breathing Space Regulations;
consultation on fees policy; and
feedback on the debt advice levy rate.