During the first day of Report stage in the House of Lords on the FSMB, the sessions debated key matters including: amendments in relation to the revocation of retained EU law to require meaningful Parliamentary...
Author - Emma Radmore
Emma Radmore
Treasury makes crypto FPO amendments
The FSMA (Financial Promotion)(Amendment) Order 2023 has been made and takes effect on 7 October (but on 8 June in respect of FCA powers to make rules and guidance). The changes reflect changes to the exemptions to the...
BBRS publishes 2022 Annual Report
The 2022 Annual Report of the BBRS highlights that the scheme did grow in its second year but case volumes were still lower than anticipated. However, the Board is satisfied that it did all it could to find cases and is...
PSR confirms new APP scam reimbursement rules
PSR has confirmed new rules following its proposals to bring in measures to clarify how mandatory reimbursement for APP scams will work in practice. It says the requirements will prompt a “step change” in...
JROC sets out open banking programme
The Joint Regulatory Oversight Committee has published its programme of work to take forward recommendations for the next phase of open banking. Its proposals include creating 2 regulator-led working groups to develop...
NCA publishes updated SARs guidance
NCA has updated its guidance on submitting better quality SARs. As a reminder, the guidance: explains how to make online SARs and the advantages of SAR online; notes when reports should be made to other agencies;...
FSMB Report stage in Lords to start on 6 June
The Report stage of the FSM Bill is to start in the Lords on 6 June. As previously reported, 3 days of sittings have been scheduled so far. On the first day, amendments to be debated include those on protecting the...
FCA consults on clarifications to high-risk investment retail ban
FCA’s latest quarterly consultation makes corrections and clarifications to various rules, and, also consults on clarifying the scope of the ban on offering retail clients incentives to invest in high risk...
FCA takes action against 3 more firms for BSPS settlement offers
FCA has taken action against Alpha Financial Services, QED Financial Associates and Harvest Associates, all of whom had made unsolicited offers of between £50 and £300 to over 90% of their clients, who had not yet...
FCA fines ED&F Man for cum-ex trading oversight failings
FCA has fined ED&F Man Capital Markets Ltd £17.2m for serious failings in its oversight of cum-ex trading which allowed it to collect fees to trading strategies that were designed to enable its clients to...
FOS highlights Morses Club scheme of arrangement
FOS has updated its website to reflect the court’s approval for a scheme of arrangement between Morses Club and its creditors. Morses Club was the UK’s largest doorstep lender, which had increasingly faced...
FCA bans debt packager referral fees
FCA has made its final rules banning debt packager firms from operating a business model that incentivises them to recommend options that make them more money rather than those that are in their customer’s best...
FCA publishes information on APRC calculations
FCA has published information on its website relating to the calculation of the Annual Percentage Rate of Charge (APRC) which lenders use for disclosing associated costs of a mortgage contract to borrowers. The figure...
FCA urges “do the right thing”
Therese Chambers has spoken on the importance of people in the financial services sector doing the right thing on a day to day basis, and how well run firms will achieve better outcomes for their clients. She noted some...
FOS blogs on escape of water claims
A blog from FOS looks at the increase it has seen in queries from insurers about “escape of water” claims in unoccupied properties. FOS notes that key points to check are: how the policy describes...
API enters Special Administration
FCA has announced that Monneo Ltd, an authorised payments institution, has entered special administration under the Payment and Electronic Money Institution Insolvency Regulations 2021.
FCA updates on USD LIBOR
FCA has reminded firms that the US Dollar LIBOR panel ends on 30 June. It is warning market participants to be aware that the overnight and 12-month settings will cease after final publication on 30 June. It has...
FCA updates on changes for credit unions
FCA has published a new website page on the changes the FSM Bill proposes for credit unions. It highlights to credit unions that, if the changes come into law, any firm wanting to take advantage of them will need to...
Should you have a chief AI officer?
Read our article about what is a Chief AI officer, and whether you should have one.
Legal considerations for tech outsourcing: LexisNexis Webinar
LexisNexis subscribers can listen to a webinar presented by WBD’s Alastair Mitton, with Tom Porter of Natura&Co, on trends and challenges in tech outsourcing.
FCA updates information on WealthTek administration
FCA has updated its website with details of the progress of the investigations into WealthTek LLP and its principal partner, John Dance. FCA continues its regulatory and criminal investigation into both, including into...
JMLSG consults on discrepancy reporting changes
JMLSG is consulting on changes to Part I of its Guidance to: take account of amendments to the law relating to discrepancy reporting: the changes include specifying information firms should obtain and sets out a risk...
FCA updates authorisation pages
FCA has updated its website to create a new page on applying for authorisation, and has updated existing pages on the authorisation process, preparing the financial information required and application fees.
FCA takes action on redress for borrowers
FCA has updated on its work with nearly 100 lenders on how they treat borrowers in financial difficulties. It identified a number of failings, including failure to tailor support to the circumstances of relevant...
New podcast on APP fraud
In the second of Rashmita Roy Chowdhury and Stephen Dilley’s podcasts on APP fraud, they look at recent judgements where the Quincecare duty and banks’ liaiblity under it are being put in the limelight.
LSB looks at access for d/Deaf customers
LSB has published a report looking at how better to drive inclusion for d/Deaf customers in the banking and credit sector. The report highlights the challenges these customers face, and LSB hopes it will enable firms to...
CMA finds provisional breach in bond information sharing
CMA has provisionally found that Citi, Deutsche Bank, HSBC, Morgan Stanley and Royal Bank of Canada each unlawfully shared competitively sensitive information in one-to-one Bloomberg chatrooms. It found the breaches...
FCA consults on dormant assets rule changes
FCA is consulting on changes to its rules to reflect the further expansion of the Dormant Assets Scheme. Its rules facilitating the first phase of expansion, covering insurance, pensions and securities assets, took...
FCA publishes authorisations metrics Q4 2022/23
FCA has published its authorisations metrics for the quarter ended March 2023. The metrics show that FCA is continuing to make progress towards meeting its targets, and that it has improved on the significant delays...
UK and EU publish draft MoU on FS cooperation
The UK and EU Commission have published their draft MoU on regulatory cooperation in financial services. The draft is still subject to the internal processes of the EU, but both parties intend to sign it shortly. The...
FCA takes further action on BSPS advice and offers
FCA has taken action against a third firm that had made unsolicited offers to clients who had been BSPS members. David Stock & Co offered £50 to clients who had not yet complained. FCA has imposed requirements on...
Treasury concludes FSF review
Treasury has formally concluded the FSF review, following the publication of its December policy statement. FCA has updated its website to reflect what it will be doing to help deliver on the changes, including how it...
ASA rejects complaint on Over 50s ad
The ASA has not upheld complaints about 2 advertisements for Cover Today over 50s insurance. The ads both featured statements that Cover Today is “the only over 50s life insurer with no waiting period, unlike...
FCA gets distribution orders on investor scams
FCA has obtained 2 orders that will return over £130,000 to victims of unauthorised business scams: in relation to an unauthorised collective investment scheme set up and operated by Synergy Lands Group Limited between...
PRA speaks on use of data
Rebecca Jackson of PRA has spoken on how it uses supervisory and firm data. She explained the major shift in PRA strategy which started to coincide with Brexit. She noted that PRA makes use of structured, quantitative...
FSMB: Lords report stage scheduled for 6 June
The report stage in the Lords for the FSM Bill will start on 6 June. There is no set length of time for it to last, although further sittings have already been scheduled for 8 and 13 June.
FOS publishes discrimination complaints guidance
FOS has published an information page for firms dealing with complaints relating to discrimination. Complaints include: that financial services providers have not made reasonable adjustments to take account of a...
Treasury Committee calls for crypto trading regulation
A report from the Treasury Committee calls for consumer trading in unbacked crypto to be regulated as gambling. The Committee says these currencies have no intrinsic value and serve no useful social purpose, yet they...
FCA speaks on regulatory response and changing threats
Sarah Pritchard has spoken on the future of non-financial risk and control across the 3 Lines of Defence. She discussed: FCA’s campaign to warn finfluencers against promoting illegal or inappropriately risky...
FCA speaks on NBFI and essential data
Ashley Alder, FCA Chair, has spoken to the Managed Fund Association’s summit. He spoke on the role of the diverse investment and funding markets which are not banks – all of which share the feature of not...
FCA issues public censure to firm over pension transfer advice failings
FCA has issued a public censure to Lighthouse Advisory Services Limited following a finding of serious failings in relation to defined benefit pension transfer advice, especially in relation to BSPS. It found several...
Judicial review application dismissed on timeshares and CCA deemed agency
The High Court has handed down its judgment on the regulatory environment surrounding the sale of timeshares. FOS receives many complaints about misselling of fractional ownership of timeshares and selected two cases to...
FCA warns on approaching Consumer Duty
Sheldon Mills has reminded firms there are fewer than 90 days before the start of the Consumer Duty. He said firms that don’t meet the Duty’s requirements and who most put consumers at risk can expect swift...
FCA and police act on more illegal crypto ATMs
Following previous initiatives, FCA and relevant police units have inspected sites in Exeter, Nottingham and Sheffield suspected of housing illegal crypto ATMs.
FCA publishes Q1 fin proms data
The Financial Promotions data from Q1 2023 shows that 2235 promotions were amended or withdrawn as a result of FCA intervention. Nearly half of these were identified by FCA’s own proactive monitoring and almost...
FCA publishes Decision Notices on bank and employees
FCA has published Decision Notices in respect of Banque Havilland and 3 of its employees for acting without integrity by creating and disseminating a document which contained manipulative trading strategies aimed at...
Parliament debates FPO amendments
The House of Lords has been debating the draft statutory instrument amending the FPO to bring promotions of crypto assets within scope. The proposal, which includes extending appropriate exemptions to crypto-promotions...
Home Office publishes Economic Crime Survey 2020
The Home Office has published its findings from the 2020 Economic Crime Survey. It surveyed businesses in selected sectors and found that around 1 in 5 businesses had been a victim of fraud in the 3 years running up to...
Home Office publishes fraud strategy
The Government has announced the creation of a new National Fraud Squad as part of the Fraud Strategy. The strategy includes: new measures to ban cold calls on all financial products; working with Ofcom to further clamp...
FCA updates on markets review
FCA has issued: a consultation on improving the effectiveness of primary markets: the proposals look to streamline current listing rules to make them easier to understand and less onerous. Among the proposals are to...
FCA consults on resilience data
FCA is consulting on a proposal to bring all full permission consumer credit firms within the scope of firms who need to provide it with baseline financial resilience data. This follows its new final rules on FIN073...
Lords Committee debates “failure to prevent fraud”
The Lords Committee has debated the Government amendment to create a new “failure to prevent fraud” offence. Lord Sharpe said the offence would drive change and facilitate prosecutions without duplicating...
Tribunal finds against FCA on individual fine/ban
The Upper Tribunal has published its decision in Markos Markou v FCA. FCA had decided to fine Mr Markou £25,000 and ban him. Mr Markou was sole director of a small mortgage and insurance intermediary (FSE). After a...
FCA warns firms on overseas referrals
FCA has warned firms of the risks to consumers when overseas firms refer DB scheme members living overseas to UK firms for pension transfer advice. The overseas adviser is usually wanting the scheme member to transfer...
FCA speaks on credit markets
Roma Pearson of FCA spoke on the importance of a well functioning credit market and the need for firms to understand the impact on consumers of changing pressures and to offer appropriate support. She noted that good...
FCA publishes aggregate complaints data for H2 2022
FCA has published its overview of complaints in the second half of 2022. Overall it found: a decrease of 6% in complaints compared to H1, largely due to decreases in complaints about banking and credit cards, insurance...
PRA Occasional Consultation April 2023
PRA’s latest Occasional Consultation Paper covers minor proposed changes to: PRA’s approach to publishing Solvency II technical information group supervision in relation to Solvency II firms and Lloyds and...
FCA speaks on regulation and Fintech
Emily Shepperd spoke at City Week on how the FCA, and regulation generally, can help firms innovate and embrace Fintech. She spoke of challenges to the traditional banking model and what banks had done to address them...
Market Watch reports on CFD market abuse review
FCA’s latest edition of Market Watch looks at the results of FCA’s market abuse peer review into firms that offer CFDs and spread bets. These products are particularly vulnerable to being used for insider...
Asset Management Task force takes shape again
5 new members have joined the Asset Management Taskforce in the wake of the Edinburgh Reforms announcements. The Economic Secretary has also launched a new Technology Working Group to look at the impact of technology on...
Treasury Committee publishes exchange of letters with FCA
The Treasury Committee has published its request to FCA to provide it with information on key elements of its regulation following Nikhil Rathi’s appearance before it in early March, and FCA’s response. The...
FCA speaks on regulating digital assets
Sarah Pritchard has spoken at the City Week conference on the risks of crypto and the extent to which regulation can help mitigate the risks. She noted that regulation cannot stop all risk. However, the UK regulators...
FCA updates LDI guidance
FCA has updated its guidance for Liability Driven Investment managers to enhance resilience of the sector. Previous reviews showed deficiencies in risk management, communications and client servicing and in operational...
FCA sets out measures to reduce cash money laundering risks
FCA has worked with other organisations such as the National Economic Crime Centre, to work on a package of guidance for banks to strengthen controls against the risk of criminals looking to launder money through the...
FCA warns on “asset protection” trust mismanagement
FCA has published a consumer warning, setting out the dangers it has seen when firms seriously mismanage trusts. It notes the scope for misuse of consumer money where trustees are not competent or are not acting n the...
FCA updates BSPS redress calculation tools
FCA has updated its website resources for firms needing to calculate redress due to former BSPS members. FCA says its redress calculator will make calculations more consistent, ensure consumers get fair and quicker...
FCA consults on multi-occupancy leasehold insurance reforms
FCA has published a set of proposals designed to improve transparency in the multi-occupancy leasehold buildings insurance market. It plans to define leaseholders as “customers” of buildings insurance, and...
Raconteur feature on crypto exchanges – see our thoughts
WBD’s Andrew Parsons has been featured in a Raconteur article looking at the evolving risks of crypto exchanges and approaches to regulation.
FCA responds on savings rates
FCA has responded to the Treasury Committee’s enquiries on what analysis it had done on on whether banks were making disproportionate profit by increasing mortgage rates more quickly than savings rates...
FCA announces Woodford redress plans
FCA has announced that Link Fund Solutions has agreed a redress payment to investors in the LF Woodford Equity Income Fund of up to approximately £235m. The Link Administration Group will make a material contribution to...
OFSI publishes high value dealer guidance
OFSI has updated its suite of guidance materials to include specific guidance for high value dealers, luxury goods markets and art market participants. The guidance includes information on popular circumvention...
PSR speaks on payments priorities
Kate Fitzgerald has spoken on the next evolution planned for UK payment systems. She focussed on open banking, which currently has over 7 million active users in the UK, and the next steps outlined by the JROC. She...
FCA speaks on green mortgages
David Geale has spoken on FCA’s view of green mortgages. He said that every part of the housing chain has a role to play, and that lenders are risking missing their decarbonisation targets if they do not evolve...
EP ready for discussion with Council on new AML measures
The European Parliament and Council are about to open talks on reforms to EU AML legislation and the creation of a new AML Authority. Talks on the package that includes a Directive and Regulation on updating AML and CDD...
BoE CFO speaks on DEI and the financial sector
Afua Kyei spoke on how she became one of the first ethnic minority women to have a top job within the BoE, the incorporation of DEI in advertising campaigns, and the benefits in having women and diversity in leadership...
FOS updates on wider implications framework
FOS has updated its website on how it works with other organisations to assess issues that can have a wider impact across the financial services industry. The members are FOS, FCA, FSCS, The Pensions Regulator and MaPS...
FCA pleased with overdraft rules effect
FCA says customers have saved £1bn as a result of its improved rules on overdrafts which have reduced high fees for unarranged borrowing, have removed complex charging structures and required firms to help struggling...
Regulators set out views for next phase of Open Banking
The Joint Regulatory Oversight Committee has published its recommendations for the next phase of open banking. Its priorities for the next 5 years cover: levelling up availability and performance mitigating the risks of...
Wolfsberg Group publishes ABC guidance
The Wolfsberg Group has published updated ABC Compliance Programme Guidance. The guidance updates the 2017 version and sets out the critical elements to a good compliance programme to mitigate ABC risks. The update...
Government outlines new FTP offence
The Government has finally set out its proposals and published a fact sheet about its proposals for the new “failure to prevent” offence. It will be introduced in the Economic Crime and Corporate...
Regulators publish “critical third parties” survey
BoE, PRA and FCA have published a survey to help their analysis into the costs and benefits of a potential critical third party regime. The survey asks for information about implementing and complying with potential...
FCA to lead GFIN Greenwashing TechSprint
FCA is inviting all UK firms interested in participating in the GFIN’s first ever greenwashing TechSprint to apply for it. FCA is leading the initiative involving 13 regulators and 80 international organisations...
Court considers time limits for PPI referrals
In the case of the Official Receiver and Shop Direct Finance Company Limited the Court of Appeal considered the time limit for referring complaints to FOS in respect of missold PPI, in particular where a person to whom...
FCA updates Consumer Duty letters with CFD provider letter
FCA has published its portfolio letter to CFD providers on preparing for the Consumer Duty. As with the other letters, it reminds firms of the implementation timeline and key elements of the duty, with details of the...
FCA and ASA partner with Love Islander to educate fin-fluencers
FCA and ASA have teamed up with former Love Island contestant Sharon Gaffka to help educate fin-fluencers about the risks of promoting financial products. The regulators have previously issued warnings to fin-fluencers...
FCA consults on fees and levies for 2023/4
FCA is consulting on rates for its regulatory fees and levies for the next financial year. In terms of the AFR allocation, most firms will see an increase of between 8-10%. Most periodic fees will see a small increase...
FCA publishes Business Plan
FCA has published its Business Plan for 2023/24. It plans to accelerate its work in 4 areas: putting consumers’ needs first; preparing financial services for the future; strengthening the UK’s position in...
FCA places restrictions on senior manager
FCA has imposed several conditions on Lisa Campbell as senior manager of Campbell & Associates Independent Financial Advice Limited. Mrs Campbell had failed to comply with restrictions FCA imposed on the firm in...
PRA censures Wyelands Bank for governance failings
PRA has censured Wyelands Bank Plc for wide-ranging and significant failings in its governance, controls and risk management procedures over a period from the end of 2016 to mid 2020. The failings related to: large...
FCA publishes MoU on Immigration Act support
FCA has published a MoU with Synectics Solutions Limited, which replaces a 2014 MoU with CIFAS and addresses how the two organisations will work together in relation to the provision of information in relation to the...
FCA makes new rules
FCA’s latest Handbook Notice confirms: changes to the FSCS MELL effective from 1 April; amendments to Consumer Duty rules: these changes result from questions FCA has received. The key clarifications confirm how...
FCA updates on pension transfer redress calculations
FCA has updated its rules and guidance on calculating pension transfer redress, both to correct an error in the CPI stated and to clarify its rules on consequential losses and the valuation date.
PSR publishes Annual Plan
PSR’s Annual Plan for 2023/24 sets an ambitious work programme, building on existing initiatives. One priority will be shaping the delivery of the New Payments Architecture. The PSR says it needs to evolve its...
Government publishes Economic Crime Plan 2
The Home Office and Treasury have published “Economic Crime Plan 2“, a 3 year plan to build on existing and create new initiatives in fighting economic crime. Key initiatives and plans include: getting 475...
Government updates green finance strategy
The Government has published its promised updated Green Finance Strategy, updating the previous 2019 strategy. It aims to reinforce and expand the UK’s position as a world leader on green finance and investment...
Government consults on ESG rating providers regulation
Treasury is consulting on a future regulatory regime for ESG ratings providers. The consultation follows the announcement as part of the Edinburgh reforms that Treasury wants to ensure improved transparency and good...
Treasury and regulators consult on SMCR
Treasury has published a call for evidence and PRA and FCA have published a discussion paper on the effectiveness of the SMCR. The papers, which result from the announcement of the Edinburgh Reform package, seek views...
FCA updates on SDR and labels consultation
FCA’s consultation on SDR and investment labels closed on 25 January 2023. It received around 240 responses, which were largely supportive. FCA intends to publish its Policy Statement during Q3. It notes that it...
Government publishes AI white paper
The Government has published a white paper setting out a new approach to regulating AI in such a way as to build public trust in new technologies. The paper proposes 5 principles to guide the use of AI in the UK and...
FPC highlights NBFI resilience
The headlines from the FPC’s March report are: that overseas bank failures have increased investor caution; UK banks are resilient and are strong enough to support households and businesses; UK household and...