The Government presented the European Union (Withdrawal) Bill to Parliament on 13 July for its first reading. The Bill seeks to repeal the European Communities Act 1972 on the day when the UK leaves the European Union...
Category - Regulated Mortgages
FIN. TeamBoE publishes its Annual Report and Accounts for 2016/2017
BoE’s has published its Annual Report and Accounts for 2016/2017 which sets out its main achievements for the year, including: Its One Bank strategy which aims to create a single, unified, institution across all...
FCA publishes annual report
FCA’s Annual Report and accounts for 2016/17 sets out its highlights from the past year, and includes specific sectoral reports for competition, enforcement, AML and diversity. FCA regards the year’s...
Emma RadmoreTreasury publishes financial guidance responses
Treasury has published the responses it received to its consultation on creating a single financial guidance body. The new body has now been legislated for under the Financial Guidance and Claims Bill and will: be a non...
Creditworthiness Assessment Bill starts parliamentary process
The Creditworthiness Assessment Bill is making its way through Parliament. The Bill requires certain matters to be taken into account when assessing a borrower’s creditworthiness by mandating that FCA rules oblige...
FCA updates on FAMR
FCA has announced the names of the 17 firms who have to date participated in its advice unit . There have been two cohorts of firms, representing deposit-takers, pension firms, IFAs and wealth managers and has included...
FCA speaks on retail banking regulation
Andrew Bailey has spoken at BBA’s retail banking conference on FCA’s perspective on retail banking. He highlighted 3 points: the importance of understanding business models, in the light of Northern Rock...
PRA amends IRB approach statement
PRA has published a policy statement on risk weights in the residential mortgages sector (PS13/17). The statement applies to banks and building societies who use an internal rating based (IRB) method to calculate...
John Griffith – Jones leaving the FCA
John Griffith – Jones has confirmed that he will leave both the FCA and the PSR at the end of his term of office on 31 March 2018.
BOE speaks on effects of ring-fencing for customers
In a speech by James Proudman (Executive Director, UK Deposit Takers Supervision, Prudential Regulation Authority, Bank of England), it was discussed that the key component of the ring-fence is to provide...
FCA updates on sandbox
FCA has updated information on its regulatory sandbox. It says the sandbox’s popularity is increasing and larger numbers of firms both applied for and were accepted for testing in cohort 2. FCA has named the 24...
FOS publishes annual review
FOS has published its annual review for 2016/17, a period which it described as ‘immensely demanding’. Similarly to previous years, FOS reported that much of its activity focused on PPI...
FCA publishes quarterly consultation
FCA’s latest quarterly consultation proposes changes to: TC to update the list of appropriate qualifications; SUP to clarify how the requirement to have a client assets report applies to loan-based crowdfunding...
ECON publishes draft retail FS plan
The EP has published a draft report on the Action Plan for retail financial services. The report: says the EU retail financial services market is still underdeveloped and fragmented, but recognises that such a market...
Up next from FCA
FCA’s latest Policy Development Newsletter promises only a policy statement on enhancing COB rules for firms providing CFDs to retail clients following before the end of June. Many other papers are due later in...
FCA publishes first new-form complaints data
FCA has published the first set of complaints data (covering the second half of 2016) that firms have reported since last year’s rule changes that give firms 3 days to address a complaint to a consumer’s...
FCA finalises mortgage payment shortfall guidance
FCA has finalised its guidance on the treatment of customers with mortgage payment shortfalls. The guidance addresses how firms should remediate for customer who may have suffered because of the way some firms calculate...
FCA publishes Mission Statement and Business Plan
FCA’s latest Mission and Business Plan contain few surprises, but indicate a lot of work in diverse areas. The Mission, which takes into account stakeholder views, seeks to explain to firms how and why FCA...
FCA looks at consumer behaviour and advertising
FCA has published an occasional paper that looks at the behaviour of consumers and the consequences it has on their reaction to financial promotions. The paper considers: how consumers will look for and find promotions...
FSCS confirms £363m levy for 2017/18
FSCS has announced its levy for 2017/18. The £363m is less than forecast in the FSCS’ 2017/18 Plan and Budget in January, but more than the 2016/17 levy. The 2017/18 levy includes: no change to the £100m levy on...
fca issues Financial Advice Market Review progress report
FCA has published the Progress Report reporting on the progress towards implementing the FAMR recommendations. The FAMR final report set out 28 recommendations which are addressed in the progress report. The Financial...
FCA speaks on the next phase of Project Innovate
On 10 April 2017, Christopher Woolard, the FCA’s Executive Director of Strategy and Competition delivered a speech at the Innovate Finance Global Summit in London. The speech considers the work of the FCA’s...
FCA publishes discussion paper on distributed ledger technology
The FCA has published a discussion paper on distributed ledger technology (DLT). The discussion paper describes DLT and acknowledges blockchain as a type of DLT. The FCA invites a discussion on two sets of issues: What...
FOS updates on plans and caseload
FOS’ latest Ombudsman news highlights its plans for the year ahead and current statistics. Its case updates focus on complaints where mistakes or misunderstandings led to consumer loss, and where financial...
FCA makes new rules
FCA made several changes to its rulebook at its Board Meeting on 30 March. Key changes include: changes to fees relating to the FOS and periodic fees for exchanges and benchmark administrators; changes to the FSCS...
Super trade body gets a name
The new trade body, which will be formed from the merger of the BBA, CML, Payments UK, the UK Cards Association, the Asset Based Finance Association and Financial Fraud Action UK, is to be called UK Finance. Bog Wigley...
NUMBER OF CONSUMER COMPLAINTS MADE TO REGULATORS RISES – BONDS AND OTHER DEBT SECURITIES NOW MOST COMPLAINED ABOUT
ESMA’s recent report on trends, risks and vulnerabilities (TRV) reveals that the total number of complaints reported across the EU was 7,026 in 1H16 compared to 5,152 in 2H15. The three most common causes among...
European Commission releases public consultation on FinTech as part of Consumer Financial Services Action Plan
In a statement released today, the European Commission has presented an Action Plan that sets out ways to provide European consumers with greater choice and better access to financial services across the EU. At its...
FCA publishes quarterly consultation
FCA’s latest quarterly consultation, quarterly consultation no.16 proposes changes to: DEPP and EG reflecting the FCA’s powers following the Bank Recovery and Resolution Order 2016: these would set out the...
Regulators publish LTI guidance
PRA and FCA have published a policy statement and finalised guidance respectively on loan to income (LTI) ratios in mortgage lending with immediate effect. In June 2014, the Financial Policy Committee issued a...
FCA to consult on SMR extension
FCA is to consult on the extension of the SMR to all authorised firms during the second quarter of 2017.
CML supports borrower guardian bill
CML has given its support to the Guardianship (Missing Persons) Bill. It says the Bill would help lenders make pragmatic arrangements with guardians of missing borrowers to act in the best interests of those borrowers...
NEW TRADE BODY FOR FINANCE SECTOR
A new body is to launch later in 2017, designed to be the authoritative voice for the finance sector in the UK. The name and brand of the body is to be announced in summer 2017. Bob Wigley will oversee the appointment...
Emma RadmoreMiFID 2 application guide
We’ve written an article on FCA’s recent MiFID 2 application and notification guide.
FCA invites views on website
If you, like us, have views on FCA’s recently revamped website, you have a chance to let FCA know. It has invited views, in an online survey.
Court should examine all terms for fairness
A recent case heard in the ECJ states that courts have a duty under the Unfair Terms in Consumer Contracts Directive to assess all terms in a contract for fairness, even if one specific term has already been considered...
FOS focuses on complainant age
The latest edition of Ombudsman News looks at the types of complaints FOS addresses from people under 25. PPI is not a concern for them, with the majority of “millennial and post millennial” complaints...
Government publishes Brexit White Paper
The Government has published its White Paper on building a new relationship with the EU after Brexit. The paper looks at the basis on which the Government wants to address the 12 principles Theresa May set out on 17...
FCA updates on skilled persons reviews
FCA has published the figures showing the number of skilled persons reviews it initiated in Q3 2016. Of the 15 reviews, 5 concerned asset management and 5 concerned insurers/
FCA publishes Regulation Round-up
FCA’s latest “Regulation Round up” focuses on: some big issues FCA plans to address in 2017, such as the progress of the FAMR, the extension of the SMR and the closure of lending reviews; the interim...
May confirms Brexit Plan
Industry has reacted to Theresa May’s speech of 17 January, when she confirmed Britain would leave the single market. In her speech, the Prime Minister reiterated that it is for the Government alone to invoke...
PRA and FCA consult on FSCS levy limit
FCA and PRA have issued a joint consultation paper on the management expenses levy limit (MELL) for the FSCS for 2017/18. The MELL provides the FSCS with adequate resources to process compensation claims resulting from...
Brexit Committee calls for Parliamentary vote on Brexit deal
The first report of the committee on exiting the EU calls for the Government to publish its Brexit plan by mid-February, and says that plan should set out the Government’s position on membership of the single...
House of Commons looks at legislating for Brexit
The House of Commons Library has published a report looking at how many EU laws are directly applicable in the UK (around 5,000), and will therefore cease to apply in the UK once the European Communities Act 1972 is...
FCA’s Future Mission: key themes from feedback
FCA has published initial feedback from the consultation process into its proposed mission statement. Key themes include: a desire for a clearer rationale for FCA decisions, and what FCA chooses to do and not to do;...
Parliament urges FS transition after Brexit
The EU Financial Affairs Sub-Committee has published its report on Brexit and financial services. The report says it is critical to agree a transitional period for financial services to avoid a “cliff edge”...
FOS consults on plan and budget
FOS is consulting on its plan and budget for the year ahead. It expects record numbers of PPI complaints, with a steady level of complaints in the banking, insurance and investment sectors. It plans to keep the case...
FCA consults on FSCS changes
FCA is consulting on changes to FSCS rules and funding. It is considering introducing mandatory terms to make PII more effective for firms that FCA requires to hold it, and also exploring introducing new levy categories...
FCA publishes arrears management review
FCA has published its thematic review report on early arrears management in unsecured lending. The report sets out how the FCA conducted the review, its findings and, where relevant, how firms are currently meeting the...
EP publishes Brexit briefing
The European Parliament has published a briefing on the impact of Brexit on the financial services industry. The briefing describes the prominent role of the UK in the single market for financial services and highlights...
FCA launches market study on competition in the mortgage sector
FCA has launched a market study on whether competition in the mortgage sector is working in the interests of borrowers. The purpose of the study is to help the FCA understand whether consumers have enough information to...
FOS looks at mental health and complaints
The latest issue of Ombudsman News focuses on complaints firms have received in respect of customers with mental health issues.
FCA explains RMAR
FCA has published a summary of why it collects data for the RMAR and how it uses it. Its key purpose is to help it supervise firms in a way to minimise poor consumer outcomes in the retail investment market. The data...
FCA consults on regulatory fees and levies
FCA is consulting on policy proposals for regulatory fees and levies in 2017/18. The main areas in which it proposes to increase its fees are to cover its costs of tackling illegal money laundering and of implementing...
PRA and FCA consult on LTI ratios
PRA is consulting on changes to its rules and FCA is consulting on guidance to take account of the FPC recommendations on loan-to-income ratios in mortgage lending. The FPC had asked the regulators to ensure mortgage...
FinTech bridge to China agreed
Announced as part of the 8th annual UK-China Economic and Financial Dialogue at Lancaster House in London this month, the FCA has signed a Co-operation Agreement with the People’s Bank of China in a bid to share...
FPC to acquire powers to address systemic risks in the BTL mortgage market
The Financial Policy Committee of the Bank of England is to be given powers to address lending practices in the buy-to-let mortgage sector from early 2017. This move follows the FPC’s acquisition of such powers in...
BBA announces update to Access to Banking Protocol
The BBA has said that it will update the Access to Banking Protocol in response to an independent review into the effectiveness of the Protocol one year after implementation. The Protocol was put in place in May 2015 to...
FCA summarises financial services under WTO
Andrew Bailey has written to the Treasury Committee outlining what the regulatory landscape for financial services would be if the UK were a “third country” in respect of the remaining EU27, with access...
FCA sets out its mission
FCA has started a discussion on its “future mission”. It sets out how it thinks it should prioritise its energies and resources in terms of ensuring the smooth functioning of markets, protection of...
FCA consults on mortgage arrears calculation guidance
FCA is consulting on remedies for customers who have gone into arrears on their mortgages, and have been disadvantaged because of the way lenders have calculated their balances. Some firms have automatically included...
Treasury confirms new advice body
Treasury has confirmed it is to set up a new public body offering debt advice, money and pensions guidance to replace the MAS and bring together the existing pensions advisory bodies. The body has not yet been designed...
FCA updates on smarter communications
FCA has updated its guidance on smarter communications with customers. It has removed some ineffective disclosure requirements from its rules, and published feedback on its discussion paper, looking at how firms can...
Removal of ineffective disclosure requirements from FCA Handbook
The FCA’s policy statement PS16/23 follows its consultation paper CP15/32 which contained its proposals to remove certain disclosure requirements from the Handbook. The policy statement confirms the removal of...
CML updates on lender/intermediary responsibilities
CML and other mortgage industry associations have published updated guidance for mortgage lenders and intermediaries, clarifying their accountabilities and responsibilities in relation to mortgage sales and servicing...
LSB reports on outsourcing
LSB has published a report on how 7 members and key third parties control outsourcing of business covered by the Lending Code. It concludes the sample showed good controls. We think the report has some useful checklists...