Laura WilesThe FCA is consulting on simplifying the remuneration regime for solo-regulated firms.
Key proposals include:
- Replacing the existing AIGM, UCITS and MiFIDPRU remuneration codes with a single consolidated code;
- Moving from prescriptive remuneration requirements to an outcomes-focused framework;
- Focusing rules on those material risk takers whose activities materially affect risk, investor outcomes and regulatory compliancel
- Removing small and non-interconnected investment firms from the detailed regime;
- Removing mandatory requirements for deferral, malus and clawback;
- Removing mandatory remuneration committees and annual independent remuneration reviews; and
- Removing certain reporting and disclosure requirements.
The consultation closes on 16 September 2026.
The FCA is also consulting on overhauling the AIFM regime and consolidating the reporting regime for asset managers.