FIN.

Category - Conduct

FCA issues second IFPR consultation

FCA has published its promised second consultation on the IFPR. The IFPR creates a new regime for solo-regulated MiFID investment firms. The consultation covers: aspects of own funds requirements not previously...

FCA fines and bans unapproved adviser

FCA has banned a financial adviser and fined him £68,300.  Simon Varley was a director and held the (then) CF10 function at Dickinsons Financial Management Limited.  He was also a CF30 customer adviser until 2013, when...

Lender’s duties limited in asset disposal

In a helpful decision for Banks and lenders, the Court of Appeal decision in Morley (trading as Morley Estates) v Royal Bank of Scotland plc [2021] EWCA Civ 338 confirmed the limited extent of the duties a lender owes...

ASA rules on more debt advice service ads

On 7 April, ASA published 2 more rulings on the advertising of debt advice services, this time by Flexible Digital Solutions Ltd (FDS) and TFLI Ltd t/a Wise Old Mary (TFLI). As with their previous rulings, both resulted...

FS Bill continues in Lords

The Financial Services Bill is scheduled to continue its Report stage in the House of Lords next week, with some further amendments being tabled.

FCA gives speech on diversity and inclusion

Georgina Philippou, Senior Adviser to FCA on the Public Sector Equality Duty gave a speech at the launch of a report by the Investment Associate and Eversheds entitled “Building Ethnic Diversity and Inclusion in...

Investment Association reports on diversity

The Investment Association has published a report which sets out steps to improve ethnic diversity and inclusion in investment management. The report found that: 75% of firms currently collect, or have begun work...

FCA updates on duty of care

In its Feedback Statement on duty of care and potential alternative approaches, the FCA committed to reviewing how it applies the regulatory framework and how new or revised Principles for Businesses could strengthen...

Treasury and FCA discuss perimeter report

Treasury and FCA have met to discuss the September 2020 report on the regulatory perimeter. Discussions focused on: high risk investments and the potential need to review the current exemptions that allow marketing to...

PRA corrects MRT definition

PRA has noted a mistake in the Rulebook definition of “higher paid material risk taker” in Rule 1.3 of the Remuneration Part.  The definition currently states that a person will be an HPMRT where: (a) their...

PRA reports on positive iNED meetings

PRA has written a letter to iNEDs, who participated in its pilot programme of virtual meetings. The meetings discussed current challenges, and PRA was pleased that, in principle: iNEDs thought firms had reacted well to...

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 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...

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...

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...

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 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 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...

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...

FCA announces benefits of RegData

RegData is set to replace Gabriel as the FCA’s data collection platform and will offer an enhanced user experience. FCA says the benefits of RegData will include: Increased speed and faster navigation; Improved...

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...

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...

Covid-19 measures weekly summary

It’s been a while since we needed to do a digest of these.  In the light of the new English lockdown and the expiry of various measures, the last week has seen: FCA consultation on updated guidance for consumer...

EBA urges consumers first in POG supervision

EBA has published a report encouraging firms to put consumers’ interests first when they are applying product oversight and governance arrangements. It has found this focus is lacking in many firms. This report...

FCA confirms SMCR extension dates

FCA has confirmed it has extended the date by which all solo-regulated firms must have fully implemented the Certification Regime and Conduct Rules, to 31 March 2021.  This follows Treasury making the statutory...

FCA updates on Directory dates

FCA has updated its information page on the Directory of certified and assessed persons.  It confirms that dual regulated firms must submit their data by 13 November, and it will start to be published from 23 November...

FCA: new webpages on whistleblowing

The FCA has launched two new webpages on whistleblowing. The first webpage sets out the process for reporting concerns of wrongdoing to the FCA in confidence and provides guidance on: Making the decision to speak to the...

PRA consults on CRD V

PRA is consulting on further proposed changes to its rules, supervisory statements and statements of policy to implement elements of CRD V, and also to make changes to the UK framework to take account of parts of CRR II...

FCA skilled persons reports update

In July – September 2020, FCA commissioned 14 skilled persons reports – of which half were on the retail side and half the wholesale side.  3 related to retail banking and payments and 2 to retail lending...

FCA updates on new COVID-19 issues

FCA has updated firms following the most recent Government announcement on COVID-19 restrictions.  It says firms should continue to follow Government advice to work from home, and has updated its statements on...

FCA confirms new mortgages guidance

FCA has finalised its additional guidance to firms in the mortgage markets, setting out how they should provide tailored support to borrowers who have had payment deferrals but continue to struggle, and to those whose...

FCA and PSR publish annual reports

FCA has published its annual report and accounts for 2019/20. The report notes FCa’s key achievements for the year.  Apart from the obvious measures to address the problems caused by Covid-19, it highlights:...

FCA to update mandatory resilience survey

FCA is to repeat the survey it carried out with a sample of firms in June, to assess the changes in firms’ financial positions as a result of the pandemic.  It will be contacting firms between 16-22 September with...

PRA finalises minor rule changes

PRA has published its policy statement on proposals in one of its Occasional Consultations. The changes confirmed will cover: minor updates on liquidity reporting; LIBOR updates for non-Solvency II insurers; other minor...

FCA confirms delay to first F&P assessment

FCA has confirmed that solo-regulated firms will now have until 31 March 2021 to complete their first fitness and propriety assessments on Certified Persons.  Treasury has made a statutory instrument to confirm the...

FCA updates on SMCR and reporting

FCA has reminded solo-regulated firms of the new annual reporting requirement that will oblige them to tell FCA whether they have taken disciplinary action against individuals who are not senior managers for Conduct...

EBA seeks views on Regtech

EBA has published a RegTech industry survey to seek views on how RegTech solutions are being, and could be, used. It wants to understand current activity, raise awareness of it, and have information to inform future...

CMA revokes HSBC directions

The CMA has on 6 August revoked the Directions given to HSBC under the Retail Banking Market Investigation, as the Implementation Trustee confirmed HSBC’s compliance with the Order on App-to-App Redirection...

PRA consults on CRD V

PRA is consulting on changes to its rules, supervisory statements and statements of policy needed to implement parts of CRD V.  This consultation is the first part of PRA’s preparation for implementation, and it...

FCA Guidance on Vulnerable Customers

The FCA has set out new best practice guidance for firms to do more to protect vulnerable customers, and ensure they are receiving positive outcomes. The first phase of the FCA consultation in July 2019 found that some...

FCA consults on more time for SMCR

FCA is consulting on extending the implementation deadlines for parts of the SMCR for solo regulated firms.  It plans that the 9 December 2020 deadline should be extended to 31 March 2021 for: the Conduct Rules taking...

PRA consults on updating SM&CR Forms

The Prudential Regulatory Authority (“PRA“) has issued a consultation paper (“CP“) setting out its proposals to make minor amendments to the PRA Rulebook, the Notifications Form and the Senior...

FCA to reopen TPR

FCA has updated its webpages on the temporary permissions regime, to note it will reopen the TPR windows for inbound passporting EEA firms and funds on 30 September, and will also allow fund managers to update their...

Consumer Panel mulls digital advertising

The Financial Services Consumer Panel has published a discussion paper on digital advertising in financial services.  It is deeply concerned about the use of “adtech” to create detailed profiles of...

FCA updates on SMCR and approved persons

FCA has updated on SMCR implementation periods in the times of Covid-19. It has extended the deadline for solo-regulated firms to have undertaking the first assessment of fitness and propriety of Certified Persons to 31...

Barnier speaks on Brexit

Michel Barnier has spoken at the Eurofi General Assembly on UK/EU relations.  He noted the desire to give the EU/UK negotiations “every chance of succeeding”.  He noted he had rescheduled many other meetings...

FCA makes new rules

FCA has published a Handbook Notice covering the rules it made at its May and June Board meetings. changes to COBs in relation to pension transfers, introducing a ban on contingent charging in respect of most advice on...

FCA updates on Covid-19 delayed activities

FCA has confirmed some further delays to projects and extensions to proposed deadlines, in light of Covid-19. Various deadlines now postponed until later in 2020-or to 2021 include: The Directory of Certified Persons...

Chancellor updates on FS laws and Brexit

Rishi Sunak has made a written statement about the UK’s approach to implementing key financial services reforms before the end of 2020. The statement notes the UK’s policy intention, and the manner in which...

FCA ready with Gabriel replacement

FCA has announced that its new platform, which replaces Gabriel, is called RegData, and that it is preparing to move all firms across to it. It will move firms over in groups, depending on the nature of their reporting...

EBA updates risk taker RTS

EBA has published its final draft RTS on the criteria to define material risk takers for CRD purposes. It has published the revised standards to define and harmonise the criteria across the EU. An individual member of...

Randell speaks on supporting the recovery

Charles Randell has spoken to a virtual roundtable of bank chairs on how the financial services industry can work to support recovery from the Covid-19 pandemic. He noted the great efforts that banks and other market...