Emma RadmoreIn June 2022, FCA’s consultation CP22/11 sought information on US dollar LIBOR exposures. Having considered these in its latest consultation, FCA considers that there is a case for: requiring publication of the 1...
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Harshil Patel
FCA worried about trading app design
FCA is concerned that certain stock trading apps include game-like elements which risk prompting consumers to take actions beyond their risk appetite and not in their interests. It has highlighted practices which...
Emma RadmoreRegulators respond to MP on HBOS investigation queries
Sam Woods (PRA) and Nikhil Rathi (FCA) have written to Kevin Hollinrake MP on behalf of the APPG on Fair Business Banking. The regulators have responded to Mr Hollinrake’s questions following the closure of...
Lucy HadrillFCA speaks on “rolling regulation forwards”
Nikhil Rathi spoke to UK Finance on three key developments which he said will drive regulation forwards: the Consumer Duty: he discussed FCA’s reasons for introducing the Duty, and how FCA would be looking to...
New FSMB Amendments published
The House of Commons has published an amendment paper for the FSM Bill, tabling two new additional clauses. The new clauses relate to stewardship reporting requirements for OPS and for large institutional investors...
Law Commission consults on DAOs
The Law Commission has published a call for evidence, seeking information about how decentralised autonomous organisations (DAOs) should be characterised and how the laws of England and Wales might accommodate them in...
FOS feeds back on future funding
FOS has published feedback following its discussion paper on its future funding. Following comments, it will not take forward some of the options on which it sought views, such as charging professional representatives...
Financial Services Culture Board reveals 2022 employee survey results
The FSCB survey shows that, over the seven years since it started, firms have shown steady improvement overall in scores related to leadership, taking responsibility and speaking up and being open to challenge. ...
FCA gets judgment against unauthorised mortgage broker
FCA has obtained a judgment against a company, its parent, their director and his father. It found they arranged high-interest, unaffordable bridging loans for vulnerable consumers who were about to be evicted from...
LSB and PSR sign MoU
The LSB and PSR have signed and published a memorandum of understanding. setting out how the bodies will co-operate and communicate. The accompanying press release note who LSB champions the CRM Code and wants to work...
FCA reacts to FTX failure
FCA has noted that UK customers of FTX may be alarmed following its provisional liquidation in the Bahamas and filing for bankruptcy in the US. It had previously warned customers that FTX is not regulated in the UK and...
Lords Committee disappointed with UK fraud response
The House of Lords Fraud Act 2006 and Digital Fraud Committee has published a report called “fighting fraud: breaking the chain”, which expresses its disappointment at how the UK is reacting to the...
FCA bans director
FCA has banned Ashkan Zahedian, former sole director of an authorised consumer credit firm, following his conviction for serious, violent offences that took place while he was an approved person. FCA said the offences...
FCA updates ARs page
FCA has updated its website page on Appointed Representatives, to reflect the changes coming in on 8 December. Among other things, the page reminds firms of: the s165 information request that principals will receive...
CMA acts for further breaches of Retail Banking Order
CMA has published updates of its actions against Nationwide, Danske Bank and NatWest for breaches of the Retail Banking Order. It found that: Nationwide had published inaccurate information through its Open Data APIs on...
PRA’s observations post-administration of the Arena Holdings Group of companies
Following the administration of Arena Holdings Group of companies, the PRA asked banks to provide details of lessons learnt from that event. The PRA has conducted a cross-firm review of banks’ lessons learnt and...
FCA places requirements on firm that gave misleading information
FCA has issued two supervisory notices against Samweb (UK) Limited, a claims management company, following concerns that its communications could mislead customers. FCA was concerned the firm had: breached various...
EU agrees plan to implement Basel III reforms
The Council has reached an agreed position on the implementation of the Basel III reforms designed to boost the resilience of banks operating within the EU and strengthen their supervision and risk management. The...
CMA writes to Barclays on PPI breaches
The CMA has written a public letter to Barclays because the bank failed to send reminders to up to 1,306 customers about their payment protection insurance (PPI) policies. This meant a breach of Article 4 of the Payment...
FCA updates on DB pension redress calculations
The FCA has received information that a number of firms are not calculating defined benefit pension redress correctly. The information which suggests that these firms are not considering ongoing fund costs and/or fully...
Principals to respond to AR requests by 28 February 2023
Following confirmation that it will be sending principal firms that have ARs a s165 information request in December, the FCA has updated its webpage to let firms know that they should expect to receive this via Connect...
Commission publishes amendments to Crowdfunding Regulation
The European Commission has published amendments and supplemental legislation to the Regulation on European crowdfunding service providers for business ((EU) 2020/1503) (Crowdfunding Regulation) in the Official Journal...
FCA updates on mortgage switching
Following its update earlier this year, the FCA has published a technical note on switching in the mortgage market which includes more in-depth analysis. Key findings include: since the mortgage market study (MMS) (H2...
TPT launches ‘gold standard’ for climate transition plans
The Transition Plan Taskforce (TPT) has published its Disclosure Framework and accompanying Implementation Guidance. The Framework makes recommendations for companies and financial institutions to develop gold-standard...
PRA consults on Solvency II reporting requirements
The PRA has published a consultation paper setting out its plans to streamline various Solvency II reporting and disclosure requirements for insurers. To achieve this, PRA intends to revoke retained EU Technical...
Final day of FSMB debate published
In the morning and afternoon of the final day of the Public Bills Committee debate on the FSM Bill, the remaining tabled new clauses were discussed: that the Chair of the PSR should be a member of the FCA board: this...
Borrowers in financial difficulty post-pandemic
FCA’s Borrowers in Financial Difficulty (BiFD) project was launched in March 2021 to monitor how firms support borrowers and intervene where necessary, particularly in relation to the financial effects of the...
LSB reports on progress of CRM code in tackling APP scams
The LSB has published a review of the progress that has been made by signatories to the Contingent Reimbursement Model Code (CRM Code) in tackling APP scams. The LSB concluded that the firms which have signed up to the...
FOS publishes latest complaints data
The latest quarterly complaints data from FOS reveals: 38,470 new complaints from July – September 2022 (Q2), an increase of 3,000 on Q1; nearly 6,000 complaints about current accounts (up by 500) nearly 3,400...
FCA asks consumer credit firms for credit data
FCA is asking several consumer credit firms to provide it with data on their credit activities, to enable it to monitor and assess the impact of the rising cost of living. It is not making a formal information request...
FOS blog looks at holiday insurance complaints
FOS has published a blog looking at complaints involving holiday cancellations because of positive or delayed Covid test results. It has suggested some tactics insurers might apply which may prevent complaints. These...
BBRS publishes reports on customer satisfaction and complaints
The Business Banking Resolution Service (BBRS) has published its Customer Satisfaction Report, reporting customer journey feedback for the 2 months to late August. 72% of customers said they were able to complete the...
Andrew Griffith letters on FSMB
The House of Commons has published a letter from Andrew Griffith on the FSM Bill dated 10 October to Tulip Siddiq and Abena Oppong-Asare. The letter followed the second reading of the Bill and addresses: the...
FCA publishes final rules on pensions dashboards
Following its consultation earlier in the year, the FCA has published its final rules and guidance (PS22/12) requiring pension providers to provide and enable information about personal and stakeholder pensions to...
FCA prosecutes individuals for investment fraud
Following FCA application, there will be a trial of 4 defendants in February 2023 for alleged investment fraud. FCA alleges the 4 individuals were involved with a London-based company called Bespoke Markets Group...
OFSI updates Russian sanctions guidance
The FCDO, OFSI and the ECJU have updated its guidance on the scope of the sanctions against Russia and when a licence might be available. The update caters for the most recent regulations (Amendment number 15), which...
Economic Crime and Corporate Transparency Bill continues Committee stage
The Economic Crime and Corporate Transparency Bill has had its 3rd, 4th and 5th sittings in the Public Bill Committee. It heard evidence from several regulators, industry organisations, financial institutions and...
FCA makes new rules
FCA’s latest Handbook Notice confirms changes to SUP 16 to reflect requirements on firms subject to IPRU(INV) 5. The changes take effect from 31 December and mainly amend form FSA035 for affected firms.
FSMB debate discusses crypto, net zero and regulatory independence
The debate on the FSM Bill resumed on 27 October. The Committee discussed, in the morning and afternoon sessions: Clause 21: the proposals for regulating stablecoins. The main question came from Tulip Siddiq who queried...
Wolfsberg Correspondent Banking Principles updated
The Wolfsberg Group has published its finalised updated financial crime principles for correspondent banking. The update from the 2014 version: looks at the differences between correspondent relationships and...
PRA speaks on growth and competitiveness
Sam Woods has spoken at Mansion House on how prudential regulation can contribute to the competitiveness of the UK as a financial centre, and to economic growth. He confirmed PRA’s support for the FSM Bill...
PSR publishes final card market review terms
The PSR has published the final terms of reference for its reviews into: card scheme and processing fees: PSR has set an ambitious timetable to conclude a review of the levels, structure and types of scheme and...
Economic Crime and Corporate Transparency Bill starts Committee stage
The Economic Crime and Corporate Transparency Bill has started its Committee stage in Parliament. On 25 October, it heard from a number of witnesses including UK Finance and the BVCA, the NCA and Companies House. The...
Highlights of FSMB debates from 25 October
The 3rd and 4th sittings of the Public Bill Committee debate on the FSM Bill took place on 25 October. After the evidence sessions from witnesses on 19 October, the line-by-line scrutiny of the Bill has now started...
FATF consults on BO guidance
FTAF is consulting on updates to its guidance on Recommendation 24, following the amendments to the Recommendation that it adopted in March. The draft guidance explains the purpose of gathering beneficial ownership...
Court finds mortgage adviser had no duty to investigate underlying investment
The High Court has ruled on a case brought by investment fraud victims in a clarification of mortgage advisers’ duties. The judgment in Taylor & Anor v Legal and General Partnership Services Ltd [2022] EWHC...
Nicola RadfordFCA seeks views on competition impacts of Big Tech
The FCA has published a discussion paper on the potential competition impacts that may arise from Big Tech firms’ entry and expansion into retail financial services sectors. It is seeking views on the emerging...
FCA consults on anti-greenwashing rules
FCA is consulting on new rules to tackle greenwashing. Following its commitment in its ESG strategy and business plan, FCA is now addressing the concerns that the increasing exaggerated, misleading or unsubstantiated...
Further FSMB revisions released
Parliament has published the latest raft of proposed amendments to the FSM Bill. These include: a change to the very first sub-clause, replacing the revocation of the EU and EU-derived legislation in the schedule so...
“Financial Lives” shows millions of Britons struggling
FCA has published a snapshot of the latest edition of its Financial Lives survey, carried out between February and June 2002. It found: 7.8m people are finding keeping up with bills a heavy burden – around 2.5m...
FCA decides to fine Barclays for disclosure failings
FCA has published decision notices against Barclays plc and Barclays Bank plc, proposing a fine of £50m in relation to failure to disclose certain arrangements with Qatari entities as part of capital raising in 2008...
Call for evidence on Economic Crime Bill
The Public Bill Committee has invited written evidence on the Economic Crime and Corporate Transparency Bill, which is due to start its scrutiny in the Public Bill Committee on 25 October, and to conclude by 24 November...
FCA publishes H1 complaints data
FCA has published the complaints data for H1 2022, which shows: a 1% increase in complaints from the previous period (1.88m complaints) the biggest increase was in the decumulation and pensions group (15%) with a 5%...
PRA fines MS Amlin for governance failings
PRA has fined MS Amlin Underwriting Limited nearly £10m for failings in its governance, controls and risk management. The failings lasted for over 5 years and related to the governance and oversight of underwriting...
Pay.uk reports on account switching progress
Pay.uk has reported on the first 9 years of CASS. Among its key findings are: the PCA markets in 2021 was 21% less concentrated than in 2010, and there has been significant product innovation and improvement...
Government responds on access to cash in Scotland
The Government has responded to the Scottish Affairs Committee’s report on access to cash in Scotland, published in July. It notes, of course, that since the report, the FSMB, with its proposals for protecting...
Jonny WilliamsML threshold amount to be increased to £1000
A draft statutory instrument has proposed the increase of the “threshold amount” above which banks suspicious of money laundering cannot deal without appropriate consent from the current £250 to £1000. The...
First day of FSMB Committee hearing
As scheduled, the Public Bill Committee scrutinising the FSM Bill had its first day of scheduled evidence sessions on 19 October, and an updated amendment paper was published. The Committee heard in the morning from...
Claimant permitted to apply for judicial review of FOS ‘fairness’ decision
The High Court have granted a Claimant permission to make an application for judicial review in respect of a decision of the Financial Ombudsman Service (FOS) against the Claimant in respect of the provision of credit...
Duncan ScottASA finds HSBC sustainability-focused adverts misleading
The UK advertising watchdog, the ASA, held that HSBC misled consumers with two advertising posters, which were displayed in the run up to COP26, focused upon sustainability commitments. The posters made claims about the...
Ashley BorthwickOFSI and OFCA announce enhanced partnership
OFSI and OFAC held a multi-day technical exchange designed to aid collaboration between the agencies in future. In practice, this means that OFAC and OFSI officials will more often exchange best practices and pool...
LMA publishes managing agent Consumer Duty guidance
The LMA has published guidance for managing agents on the implementation of the Consumer Duty. It notes (as FCA did in its insurance-focussed webinar) that the insurance industry should be well prepared for the...
Mark Steward to step down as FCA Enforcement chief
Mark Steward is to step down as FCA’s executive director of enforcement and market oversight after 7 years. He will leave FCA in Spring 2023. In addition to leading many key precedent-setting cases, Mr Steward...
FCA updates on Consumer Investments Strategy
FCA has published an update on its Consumer Investments Strategy, tracking what has happened in the past year. Highlights are that FCA has: prevented 1 in 5 applicants wanting to enter the consumer investments market...
FCA allows Amigo to re-start lending in pilot
FCA has published a letter sent to Amigo Loans which approves its request to start lending again on a pilot basis. In 2020, following a large number of customer complaints, Amigo paused new lending and announced that it...
High Court declines to extend debtor-creditor-supplier arrangements
The High Court has ruled in favour of NatWest in its judgment of 10 October 2022 in the case of Steiner v National Westminster Bank plc [2022] EWHC 2519 (KB). Mr and Ms Steiner had paid for a timeshare agreement with Mr...
Scott NodderFSMB Committee stage timetable published
Following the announcement that the Committee stage in the Commons will begin on 19 October, a timetable for the sessions has now been published. Key witnesses scheduled to appear on that day include BoE, PRA, FCA and...
PRA writes to credit unions with annual assessment
PRA has written to credit unions setting out its conclusions from its annual assessment of the sector. Key messages, for both large and small credit unions are: that the likelihood of market conditions in the lending...
FCA fines Gatehouse Bank for AML failings
FCA has fined Gatehouse Bank £1.5m (after a 30% reduction for early settlement) for significant weaknesses in its AML controls which lasted for 3 years to July 2017. It found the bank generally failed to conduct...
FSMB Committee stage scheduled for 19 October
An update to the Parliament website shows the Committee stage for the Financial Services and Markets Bill will start on 19 October. After the line by line debate is complete, the Bill will be republished for report...
BoE stress test finds UK CCPs resilient to stresses
BoE has published the results of its first supervisory stress-test of UK central counterparties. The exercise involved all UK CCPs, ICE Clear Europe Limited, LCH Limited and LME Clear Limited. The CCPs showed...
FATF publishes timetable for 4th round evaluations
FATF has published its procedures for the fourth round of mutual evaluations. The procedures include details of the notice periods and the manner in which the evaluations will take place, and the publication of reports...
LSB speaks on customer outcomes in outsourcing
Emma Lovell, Chief Executive of the LSB, has spoken on the top risks LSB sees in outsourcing and the steps that firms can take to achieve fair outcomes for customers. She focused on: due diligence and oversight: she...
FSB consults on regulation of crypto assets and markets
The Financial Stability Board has published a consultative report including some high level recommendations aimed at promoting consistent and comprehensive treatment of crypto-asset activities and markets. The 9...
FCA finalises branch closure guidance
FCA has published new, updated guidance for banks, setting additional expectations on them when they are considering closing branches or ATMs. FCA has seen some good practices develop since it originally published...
BoE consults on AI discussion paper
The BoE is consulting on its discussion paper about how artificial intelligence (AI) may affect financial regulation. The discussion paper looks at how the current regulatory framework applies to AI; it considers how...
PSR issues direction expanding ‘confirmation of payee’
The Payment Services Regulator (PSR) has issued ‘Specific Direction 17: Expanding Confirmation of Payee‘ (CoP) which is intended to ensure that more of those who make use of CHAPS or Faster Payments benefit...
TI says LLPs abused “on industrial scale” for financial crime
A Transparency International report claims that 14% of all LLPs ever incorporated (21,000) show money laundering red flags. Its report comes as the Economic Crime and Corporate Transparency Bill nears its parliamentary...
FCA fines and bans for market abuse reporting failures
FCA has fined Sigma Broking Limited and has banned and fined its former directors. The firm failed to make reports, or accurate reports, on 56,000 CfDs over a period of just over 18 months to August 2016, and also...
FCA portfolio letter to high-cost lenders
FCA has published its portfolio supervision letter in relation to high-cost lending products. The letter sets out the risks FCA believes high-cost firms pose to their customers and the markets in which they operate and...
FCA updates Whistleblowing data
FCA has published data on whistleblowing reports received between April and June 2022. It received 243 new reports containing 474 allegations, mainly through its online reporting form, but a sizeable number by email or...
FCA launches new webpage on Consumer Duty
The FCA has published a new webpage containing information on the Consumer Duty. The webpage, which will be kept up to date, currently contains guidance for firms on: implementation plans and the FCA’s...
FCA publishes review of BI insurance claims handling
FCA has published a review of how insurers have been handling claims under business interruption insurance policies. It has welcomed insurers making quick interim payments and proactively communicating with...
Market Watch focuses on transaction reporting
The latest edition of Market Watch looks at how many firms have accessed FCA’s Market Data Processor Entity Portal over the past 4 years – and there has been a gradual increase. There has however been a...
FCA consults on creating baseline financial resilience return
FCA is consulting on a proposed replacement for the Financial Resilience Survey. It plans to create a new return for solo-regulated firms, which it hopes will both reduce the burden of ad hoc surveys and increase the...
LMA launches Charter to support improvement in market culture
The Lloyds Market Association has launched its Charter which was unanimously approved by the LMA Board in July 2022. The Charter is aligned with the LMA’s five values – inclusive, trusted, passionate, bold and...
New Russian sanctions in place from 30 September
In response to the illegal annexation of 4 Ukrainian regions, the Government has imposed sweeping new sanctions the effect of which is to deny Russia access to key services including IT consultancy, architectural...
FCA revamps Digital Sandbox page
FCA has updated its support page on its website relating to the Digital Sandbox to explain more clearly what it offers and how to apply (although it is currently closed for applications)
FCA confirms cessation of 1 and 6 month synthetic sterling LIBOR at end-March 2023
FCA required IBA to continue its publication of 1-, 3- and 6-month sterling and yen LIBOR settings for an additional year after end-2021. Following FCA’s consultation earlier this year, the majority of respondents...
FCA speech: Consumer Duty
Sheldon Mills (Executive Director, Consumers and Competition at the FCA) has delivered a speech on what firms and customers can expect from the Consumer Duty. Mr Mills stressed that, whilst the Duty is not yet in force...
PSR sets out APP scam protection proposals
PSR is consulting on how to increase consumer support for APP scams. Following the initiatives it has taken to date, the new measures will: require reimbursement in all but exceptional cases; improve and make...
FCA warns insurers about cover during cost of living crisis
FCA has written to the CEOs of insurers and brokers following concerns that customers may look to cut back on the insurance they hold as the cost of living crisis continues. FCA wants to be sure that customers are...
Ombudsman News and new FOS UCIS pages
The latest edition of Ombudsman News highlights the recent complaints data we’ve previously reported on, and gives guidance on complaints relating to UCIS. FOS is seeing increasing complaints about advice to...
BoE speaks on technical innovation from crypto to real
Sir Jon Cunliffe has spoken on innovation, and specifically the risks and opportunities of crypto-assets, in post trade services. He noted the importance of bringing crypto-assets and activities within regulation...
OFSI fines for sanctions breach
OFSI has published details of a monetary penalty imposed on Hong Kong International Wine and Spirits Competition Ltd. The fine, of £30,000 related to 3 payments and 78 wine bottles the company had received from a...
Consumer Duty: FCA update and events
The FCA has published a new webpage on Consumer Duty, which outs out the timeline and key milestones for implementation and contains links to register for FCA webinars and email updates. You can also register to attend...
Court dismisses JR application on FOS decision
The High Court has refused a renewed application by Charles Street Securities Europe LLP for permission to apply for judicial review of a FOS decision made in February 2021. The dispute focused on whether Mr R, a client...
FCA speaks on role of regulation in growth
Sarah Pritchard, Executive Director at FCA, has spoken on the regulator’s role in encouraging growth. Key points in her wide-ranging speech included: FCA’s commitment to showing speed and agility, providing...
FCA updates on insurance pricing
FCA has updated its website on general insurance pricing practices, to include information on application of PROD to products distributed through distributors based outside the UK and intended for non-UK customers. FCA...
FCA publishes insurance broker wind-down plan study
FCA has published the results of its review of how well general insurance brokers assess the adequacy of their liquidity for orderly wind-down. During early 2022, it conducted a review of 10 insurance brokers, mainly...
FCA confirms SMCR Covid guidance no longer current
FCA has updated its website in relation to the SMCR to confirm that its Covid-related guidance on workplace arrangements and work-related travel and its expectations on firms is no longer current.
Economic Crime and Corporate Transparency Bill heralds Companies House reform
The Economic Crime and Corporate Transparency Bill has started its parliamentary passage. The Bill aims to crack down on money laundering and other crimes, primarily through: the long-promised Companies House reforms...
FOS publishes H1 complaints data
FOS has published its regular half-yearly update on complaints data relating to individual businesses. 212 businesses feature, with an average uphold rate of 37% (the same as the previous period). FOS has also reported...
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