Emma RadmoreThe FCA is proposing changes to several modules of the Handbook to implement the Berne Financial Services Agreement.
The changes would:
- amend GEN to provide that a person will not be subject to the Handbook in circumstances that would be contrary to the Agreement and include a list of provisions that would not apply in these situations;
- amend COBS so that (contrary to the normal “deference” rule that GEN will implement) UK product intervention measures will apply to Swiss firms exercising their rights under the Agreement, and also setting disclosure requirements for UK firms supplying services to Swiss clients under the Agreement;
- amend ICOBs in respect of required disclosures by UK firms providing services into Switzerland under the Agreement;
- amend SUP to implement the requirement that firms providing investment services into Switzerland through advisers must notify the FCA of that fact;
- introduce a new “Berne Financial Services Agreement Guide”; and
- amend PERG to give guidance on the effect of the amendments to legislation to give effect to the Agreement.
Treasury has laid before Parliament a draft Statutory Instrument, intended to take effect on 1 January 2026, setting out how the reciprocal arrangements will work, including a requirement on the FCA to keep a register of all relevant Swiss suppliers and amendments to the RAO and to the overseas persons exclusion to allow permitted Swiss entities, and giving the regulators information gathering and enforcement powers.
The FCA asks for comment by 15 October.