PRA notes FCA “long-term absence” consultation

PRA has drawn the attention of firms to a joint chapter in FCA’s latest quarterly consultation on clarifying regulatory expectations for temporary long-term absences. The regulators plan to clarify what they expect firms to do when a senior manager takes temporary leave for more then 12 weeks.  The regulators plan to clarify that if the role-holder is expected to return, firms do not need to notify the regulator that the individual’s approval should be removed. FCA is proposing to amend Form D to allow firms to notify it when individuals are away from, or returning to, their role. FCA asked for responses by 4 February 2021.

Among the other changes FCA proposes are:

  • to abolish bearer certificates in collective investment schemes;
  • to narrow the scope of the application of COBS rules on communication of benchmark information in respect of CIS;
  • to update references to required minimum levels of PII cover for insurance distributors;
  • to amend the form required for applications to cancel permissions;
  • transposing into FCA rules the provision of BRRD 2 that places restrictions on the sale of subordinated eligible liabilities to retail clients; and
  • to recognise the Global Precious Metals Code;

Emma Radmore