FIN.

Category - Supervision

ECB consults on “fit and proper”

ECB has issued a consultation draft of its requirements when assessing members of management boards and those holding key functions within regulated institutions as “fit and proper”. It asks for comment by ...

PRA updates on TPR timetable

PRA has updated on authorisations under the TPR.  It has reminded that it has up to the end of 2023 to process applications from firms falling under it. Currently, it is seeing a high volume of applications of varying...

Up next from FCA

FCA’s latest Policy Development Update highlights: a policy statement in July on regulation of funeral plans, and consultation on resolution and FSCS protection rules for the funeral plans sector consultations on...

FCA takes 13 firms into new sandbox cohort

FCA has accepted 13 firms into cohort 7 of the regulatory sandbox. It received 58 applications, mainly from firms in the retail investment and retail lending sectors. FCA was interested in proposals that saw more...

FS Act 2021 starts to come into force

The first commencement order for the FS Act 2021 bring into force: on 9 June, sections 3-5 and Schedule 3 on prudential regulation of credit institutions by PRA on 26 June, section 7 and part of Schedule 4 on amendments...

UK takes over G7 presidency

The International Regulatory Strategy Group has published a paper on the financial services priorities for the UK’s G7 Presidency.  The UK took over the Presidency in January and the IRSG now says it should focus...

Market Watch looks at use of orderbook data

The latest edition of Market Watch explains how FCA uses orderbook data to help conduct surveillance to identify suspected market manipulation.  It uses its own data combined the STORs and other notifications it...

FCA intervenes on high risk CFDs

FCA has stopped ICC Intercertus, a Cypriot firm operating under the TPR, from conducting any regulated or marketing activities in the UK. The firm’s wider group traded as “EverFX” and used the...

FCA confirms role in RLS

FCA has confirmed its approach to regulating firms in relation to the Government Recovery Loan Scheme that was launched by the British Business Bank on 6 April to replace the BBLs and CBILS which are now closed to new...

FCA orders firm to terminate AR agreements

FCA has published a first supervisory notice to Marshall Sterling Investment Management Limited, requiring it to terminate its relationships with 2 appointed representative firms within 14 days of the notice, and with a...

PRA publishes results of 2020 feedback survey

PRA has published the results of its 2020 firm feedback survey. The survey asked questions aiming to understand whether firms consider that PRA understands the firm and its business and the it has appropriate access to...

FCA Call for Input: Pensions Consumer Journey

The FCA has launched a call for input, to better understand consumer behaviour at key points in the pension saving journey. The FCA acknowledged that the pensions and retirement income markets have evolved significantly...

FCA writes to CEOs of EMIs on client money

FCA has written a Dear CEO letter asking e-money firms to write to their customers to explain how their money is protected. It is worried that these firms’ promotions to customers give the impression that their...

FCA launches consultation on CMC phoenixing

The FCA has announced proposals to stop the practice of ‘claims management phoenixing’ by banning claims management companies (CMCs) from managing FSCS claims where they have a relevant connection to the claim. Claims...

FCA consults on new Consumer Duty

The FCA has set out plans for a new Consumer Duty which will set clearer and higher expectations for firms’ standards of care towards consumers. It is hoped that the proposals will drive a shift in culture and behaviour...

FSCS confirms 2021/22 levy forecast

FSCS has confirmed its levy forecast for 2021/22 at £833m.  This is slightly lower than the indicative levy announced in January, partly because extensions of government support are likely to mean some firms will...

Up next from FCA

The latest Policy Development Update from FCA heralds: a consultation on a new ESG sourcebook for enhancing climate-related disclosure requirements, coming in June; and a consultation on exit fees in investment...

FCA publishes H2 2020 complaints data

FCA’s most recent complaints data report shows: a significant drop in complaints over the H1 2020 figure; a large decrease in insurance and pure protection complaints – with the largest being in PPI...

FS Bill gets Royal Assent

The final stages of the FS Bill’s passage through Parliament have been completed, with the Lords agreeing on the Commons amendments to the duty of care provisions, and not insisting on following through with the...

Debate over FS Bill continues

The House of Commons has not agreed with some of the Lords amendments to the FS Bill. In particular: they reject the addition of the requirement on FCA to make rules on the duty of care to take effect by 6 April 2022...

FCA speaks to FLA on post-Covid regulation

Charles Randell, Chair of FCA and PSR has given a speech to the Finance & Leasing Association in which he outlined the ways in which the financial services sector has changed post-Covid and how FCA must adapt to...

FCA publishes Authorisations Quarterly KPIs

The FCA has published its Authorisations Quarterly Key Performance Indicators (KPIs), providing key metrics on the performance of the FCA’s Authorisations Division. KPIs are provided for: Authorisations; Cancellations;...

FCA delivers speech on black inclusion

Sheldon Mills – Executive Director, Consumers and Competition at the FCA – gave a speech at the Accelerating Black Inclusion research launch on why black inclusion matters to the FCA. Highlights include: There is a lack...

FCA delays Business Plan

FCA will publish its 2021/22 Business Plan in July rather than the usual April. The publication will come alongside its accounts and will include detail on its plans for transforming the organisation.

Financial Services Bill passed by Lords

Following day three of its Report stage, the House of Lords has passed the Financial Services Bill with amendments. The final amendments to be agreed by the Lords include: an amendment that, in certain circumstances...

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...

Nausicaa Delfas to join FOS

FOS has announced that Nausciaa Delfas will take up the post of Interim Chief Executive and Chief Ombudsman from mid-May. Meanwhile, Stephanie Cohen will take up the permanent role of FCA COO in June.

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.

ESAs publish report on complaints-handling

The Joint Committee of three European Supervisory Authorities (EBA, EIOPA and ESMA) (ESAs) have published a report on the application of their guidelines on complaints-handling. The report assesses how the guidelines...

FCA responds to Treasury Committee on LCF

Andrew Bailey has responded to the Treasury Committee on aspects of its supervision in respect of the LCF investigation. Key elements of the response looked at: the need for the report to separate accountability with...

CMA publishes annual plan for 2021/2022

Following consultation, the CMA has now published its annual plan for 2021-2022. The CMA has identified four key themes on which it intends to concentrate: protecting consumers and driving recovery during and after the...

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...

EBA consults on AML guideline change

EBA is consulting on changes to its guidance on risk-based supervision for AML/CFT purposes.  It plans to include practical step-by-step approaches to help regulators understand some of the aspects of supervision they...

PRA confirms holding company fees

PRA has confirmed its position on holding company regulatory fees, and will impose a fee of £2,500 for an application for approval or exemption as a holding company under s192Q FSMA with effect from 19 March.

Up next from FCA

FCA’s latest Policy Development update heralds the annual consultation on fees in April, and the proposed consultation on exit fees in investment platforms and comparable firms at some stage this year.

FOS head to step down

Caroline Wayman is to step down as Chief Ombudsman and Chief Executive at FOS. FOS will now start the search for her successor.

FCA consults on minor handbook changes

FCA’s latest quarterly consultation paper proposes: changes to COMP to clarify the application of FSCS; and changes to TC to extend the scope of notification requirements, update the appropriate qualifications...

FCA announcements on the end of LIBOR

FCA has confirmed that all LIBOR settings will either cease to be provided by any administrator or no longer be representative: immediately after 31 December 2021, in the case of all sterling, euro, Swiss franc and...

FCA updates TPR pages

FCA has updated its website to help firms in the TPR understand what is coming next. Among other things, it has started to email firms about their landing slots.  It cautions that firms should not apply before their...

Budget 2021: Chancellor outlines BoE remit

Rishi Sunak has written to BoE Governor, Andrew Bailey, outlining the remit and recommendations for the Financial Policy Committee (FPC) for 2021. The FPC should: support the government in maintaining the resilience and...

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...

FSB writes to G20 on 2021 work programme

FSB has published its work programme for 2021, which focuses on: addressing vulnerabilities resulting from the pandemic; increasing the resilience of non-bank financial intermediation; improving efficiency and access in...

FCA appoints new executives

FCA has appointed four new members of its executive team to help drive its transformation: Stephanie Cohen as the COO Jessica Rusu as Chief Data, Information and Intelligence Officer Sarah Pritchard as Executive...

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 clarifies credit risk approach

PRA has clarified its approach to published EBA Guidelines and EU RTS in relation to credit risk following the end of the Brexit transition period.  PRA had thought that the RTS on economic downturn would have been made...

BoE updates on data collection

The Bank of England has published its paper and the way forward for data collection. As more data than ever is created and captured, and expectations on regulators become greater, current systems of collection have been...

FCA finalises vulnerability guidance

FCA has finalised its guidance on its expectations of firms in respect of vulnerable customers. The guidance stresses that FCA expects firms to ensure consumers have the appropriate degree of protection, and that key to...

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 consults on Basel implementation

PRA is proposing a new CRR rule instrument to implement part of the Basel standards that still need to be implemented in the UK.  The consultation forms part of a wider exercise to transfer the text of existing rules...