FCA updates regulatory failure review policy

The FCA has reviewed its policy on investigating and reporting on regulatory failure, which was originally published in 2013. It has concluded the policy is still fit for purpose, making only one substantive change, to revised the monetary thresholds for assessing whether consumer detriment is significant.

The policy addresses what the FCA must do when:

• something happens that suggests significant failure to ensure appropriate consumer protection or where the event could have had a significant adverse effect on the FCA’s objectives; and
• the events might not have happened at all, or their effects might have been reduced, if it had not been for a serious failure in the FSMA regime.