The FCA has announced it will analyse the fair value assessments provided to it by 9 banks and building societies. This follows the introduction of the Consumer Duty and the 14-point action plan published by FCA in July...
Author - Lucy Hadrill
Lucy Hadrill
FCA announces Direct Line pricing review
Direct Line Group has agreed to carry out a review after it found it had charged some existing home and motor customers more for their renewal than would have been charged to new customers. The review will identify all...
OFSI uses disclosure power for first time
OFSI has used its disclosure enforcement power for the first time to highlight a breach of the Russia (Sanctions) EU Exit Regulations 2019. This power allows OFSI to publish notices of breaches where it has decided not...
JMLSG publishes crypto transfer guidance
JMLSG has published its final revisions to Section 22 (Cryptoasset providers and custodian wallet providers) in Part II of its AML/CTF guidance. The update includes a new Annex 1 on crypto transfers which relates to the...
FCA updates on wholesale data market study
The FCA has published an update report on its wholesale data market study. As a reminder, the FCA launched its market study in March 2023 to investigate competition problems in the markets for benchmarks, credit ratings...
FCA launches webpage on supporting customers with pension transfers
The FCA has published a new webpage which sets out information and guidance for firms on how to support vulnerable customers when providing pension transfer advice. Firms should be alert to potential indicators of...
FCA cancels unused permissions
The FCA has used its power to cancel consumer credit permissions which were not used for 2 years. Mr Roche was authorised by the FCA in January 2015 and held consumer credit permissions of: agreeing to carry on a...
FCA reminds firms to keep their details up to date
The FCA has updated its website to remind dual regulated firms that, from 1 December 2023, they must check, amend (if required) and confirm their firm details at least annually via Connect. From this date, firms that...
FCA launches webpage on the Wider Implications Framework
The FCA has published updated terms of reference for the Wider Implications Framework. The framework provides a structure for its members to collaborate on issues that could have a wide-reaching effect across the...
FCA updates on operation of the MiFID transparency regime
The FCA has published an updated version of its statements of policy on the operation of the MiFID transparency regime. The updates are to reflect amendments made to UK MiFIR by FSMA 2023, including the deletion of...
FCA updates on UK MiFIR obligations
The FCA has published a direction on the revocation of its transitional direction for the share trading obligation (STO) under UK MiFIR. The direction specifies that the STO was revoked on 29 August 2023 by the...
Ombudsman News looks at financial difficulties relating to mortgage debt
The latest edition of Ombudsman News highlights new guidance published by the FOS which explains its approach to complaints about financial difficulties in relation to mortgage debt. The guidance is outlined in two new...
Barclays granted permission to appeal to Supreme Court in APP fraud case
Barclays Bank UK plc has been granted permission to appeal to the Supreme Court in the case of Philipp v Barclays Bank UK plc [2022] EWCA Civ 318. As a reminder, Mrs Philipp issued a claim against Barclays Bank seeking...
Consumer Duty events
The FCA has announced it will be hosting a series of live and local events on the Consumer Duty across the UK between February and June 2023. The paid for events are aimed at retail investment and mortgage firms, and...
FSM Bill report stage
As scheduled, the FSM Bill had its report stage on 7 December and, eventually, at nearly 7pm, the Third Reading of the Bill took place and was agreed to. The Bill now moves to the Lords. While we still await the new...
New AR rules take effect
The FCA’s reforms to the appointed representative regime have come into force and the FCA has published a new webpage setting out information on the s165 requests it will be sending to principal firms. As a...
FCA consults on mortgage support guidance
The FCA is consulting on draft guidance explaining how firms can support their mortgage customers impacted by the cost-of-living crisis, including varying a contract for forbearance purposes. The draft guidance will...
PSR updates on CoP progress
The PSR has written to the Chair of the Treasury Select Committee to update her on the progress of CoP Phase 2 implementation. As a reminder, the aim of Phase 2 is to extend CoP to include PSPs who do not use the widely...
FCA and Pensions Regulator update on joint strategy
The FCA and The Pensions Regulator have provided an update on their 2018 joint regulatory strategy for the pensions and retirement income sector. The statement explains the regulators’ progress since 2018 and...
FCA bans bond traders for market manipulation
The FCA has published Decision Notices banning Diego Urra, Jorge Lopez Gonzalez and Poojan Sheth from performing any functions in relation to regulated activity. The FCA considers that the traders placed large...
FSB holds Basel plenary
The FSB Plenary met in Basel to review vulnerabilities in the global financial system and to discuss policy work in several areas including crypto. The Plenary also agreed its work programme for 2023. Financial...
FCA consults on fin proms gateway
Following Treasury’s 2020 consultation, the FCA has launched its own consultation on the introduction of a gateway for firms who wish to approve financial promotions on behalf of unauthorised persons. The paper...
Dear CEO letter outlines strategy for financial advisers
The FCA has published a portfolio letter which sets out its supervisory strategy for financial advisers and intermediaries. The letter confirms that financial advisers are a key priority for the FCA and outlines the...
FCA updates on debt packager proposals
Following its November 2021 consultation on plans to ban debt packagers from receiving referral fees from debt solution providers, the FCA has provided an update on its proposals. The FCA will set out its proposed next...
FSMB amendment paper published
In advance of the FSM Bill starting its report stage on 7 December, the House of Commons has published an updated version of the amendment paper which lists all amendments tabled to the Bill together with any withdrawn...
SCA amendments to apply from 25 July 2023
Commission Delegated Regulation (EU) 2022/2360, which amends the regulatory technical standards (RTS) for strong customer authentication under PSD2, has been published in the OJEU. As a reminder, the amendments to the...
FOS updates webpage on BSPS complaints
Following the publication of the FCA’s final BSPS redress scheme rules, FOS has published a press release and has updated its webpage on complaints relating to financial advice received in respect of transferring...
FCA consults on fees and levies for 2023/24
The FCA is consulting on proposals for changes to its policy on how it raises regulatory fees and levies. The consultation paper covers: the fees for principal firms of ARs; options for redefining fees calculations for...
FCA bans individual
The FCA has banned Carlo Palombo from performing any regulated activity. Mr Palombo was convicted of conspiracy to defraud in respect of fixing EURIBOR whilst an employee of Barclays and was sentenced to 4 years’...
ABI publishes strategy to improve diversity in insurance sector
The Association of British Insurers (ABI) has published an ambitious Blueprint which sets out a multi-year strategy to improve diversity, equality and inclusion (DEI) across the insurance industry. The Blueprint splits...
Regulators respond to MP on HBOS investigation queries
Sam Woods (PRA) and Nikhil Rathi (FCA) have written to Kevin Hollinrake MP on behalf of the APPG on Fair Business Banking. The regulators have responded to Mr Hollinrake’s questions following the closure of...
FCA seeks views on competition impacts of Big Tech
The FCA has published a discussion paper on the potential competition impacts that may arise from Big Tech firms’ entry and expansion into retail financial services sectors. It is seeking views on the emerging...
FCA launches new webpage on Consumer Duty
The FCA has published a new webpage containing information on the Consumer Duty. The webpage, which will be kept up to date, currently contains guidance for firms on: implementation plans and the FCA’s...
FCA speech: Consumer Duty
Sheldon Mills (Executive Director, Consumers and Competition at the FCA) has delivered a speech on what firms and customers can expect from the Consumer Duty. Mr Mills stressed that, whilst the Duty is not yet in force...
Consumer Duty: FCA update and events
The FCA has published a new webpage on Consumer Duty, which outs out the timeline and key milestones for implementation and contains links to register for FCA webinars and email updates. You can also register to attend...
PRA sets out changes for credit unions
The PRA is consulting on proposed amendments to the regulatory regime for credit unions, including: changes to the Credit Union Part of the PRA Rulebook – these include extending the range of products available for...
CMA issues directions to NatWest for bundling breaches
The CMA has issued directions to NatWest following the bank’s breach of undertakings which prohibited it from requiring SME customers which held certain bank loans to also hold business current accounts (BCAs)...
Consumer Duty: building an implementation plan
UK Finance has outlined four key elements firms should be focussing on when building their Consumer Duty implementation plans. These are: definition of the target end state as an input to the gap assessment – to define...
FCA consults on widening access to the LTAF
The FCA has outlined proposals to market the Long Term Asset Fund (LTAF) to a wider group of retail investors and pension schemes, whilst also introducing enhanced investor protections. Highlights include plans to:...
FCA publishes final rules on Consumer Duty
Following two consultations on its proposals, the FCA has confirmed its plans for a new Consumer Duty which will require firms to put their customers’ needs first. The FCA has a parliamentary mandate, via the...
PRA and FSCS update MoU
The PRA and FSCS have published an updated Memorandum of Understanding which replaces the existing version implemented in 2019. The MoU outlines the framework agreed by the PRA and FSCS on how they will work together in...
FCA updates on Credit Information Market Study
Following a pause during the Covid-19 pandemic, the FCA restarted its work on the Credit Information Market Study in July 2021. The FCA has now provided an update on the timeline for the publication of its interim...
ECB speaks on using tech to tackle financial crime
Elizabeth McCaul, Member of the Supervisory Board of the ECB, has delivered a speech on how technology (particularly AI) can be used in the fight against financial crime. Ms McCaul discussed the relationship between...
Treasury Committee launches inquiry into cryptoassets
The Treasury Committee has launched a new inquiry into cryptoassets. The inquiry will cover the opportunities and risks that cryptoassets may bring to consumers, businesses and the government. It will also examine the...
BoE speech: lessons from the “crypto winter”
Sir Jon Cunliffe, BoE Deputy Governor – Financial Stability, has delivered a speech in which he set out what he thinks are the lessons from the recent instability and losses in crypto markets (also known as the...
PRA consults on approach to authorising and supervising insurance SPVs
The PRA is consulting on proposed changes to its approach to authorising and supervising insurance SPVs. The proposed changes include: changing the legal opinion expectation for non-English law governed contracts; and...
FCA publishes findings of SME collections and recoveries review
The FCA has set out the findings of its review on how retail banks treat SME customers who are in collections and recoveries. The FCA reviewed 11 retail banks which provide SME lending services, including BBLS, and...
FSB updates on international regulation and supervision of crypto activities
The FSB has published a statement on international regulation and supervision of cryptoassets activities. Highlights include: the FSB will continue to facilitate cross-border and cross-sectoral cooperation amongst...
ESMA consults on the DLT Pilot Regime
Following its call for evidence earlier this year, ESMA is consulting on draft guidelines on standard forms, formats and templates to apply for permission to operate a DLT market infrastructure. The proposed draft...
EIOPA consults on differential pricing practices in non-life insurance business
EIOPA is consulting a draft supervisory statement (SS) on differential pricing practices in non-life insurance lines of business. Differential pricing practices are those pricing techniques where consumers with a...
Upper Tribunal finds failings with crypto trader’s AML compliance
The Upper Tribunal (Tax and Chancery Chamber) has published its decision in Vladimir Consulting Ltd (VCL) v Financial Conduct Authority, in which it has analysed whether VCL’s approach to business was compliant...
PRA speaks on matching adjustment reforms under Solvency II
Sam Woods, Deputy Governor for Prudential Regulation and PRA CEO, has delivered a speech on the reforms to the regulation of insurance providers. Mr Woods considered the industry reaction to the PRA’s discussion...
Treasury appoints new FCA Chair
Following its recruitment campaign, HM Treasury has announced the appointment of Ashley Alder as the new FCA Chair for a 5 year term. Mr Alder is currently Chief Executive Officer of the Securities and Futures...
PRA makes final rules on definition of insurance holding company
Following its consultation last autumn, the PRA has published a policy statement which sets out its approach to interpreting and applying the definition of “insurance holding company” for the purposes of the...
Draft Financial Services (Miscellaneous Amendments) (EU Exit) Regulations 2022 published
Treasury has published a draft version of the Financial Services (Miscellaneous Amendments) (EU Exit) Regulations 2022, which make a variety of amendments to allow retained EU legislation to operate effectively after...
FCA publishes rules to protect investors in authorised funds following the invasion of Ukraine
Following its consultation earlier this year, the FCA has published final rules and guidance to allow authorised fund managers to create side pockets for retail investment funds affected by the Russian invasion of...
FCA board discusses Consumer Duty
The FCA has published the minutes of a board meeting held on 26 May 2022 at which, amongst other items, the board discussed the new Consumer Duty. Highlights include: feedback from external stakeholders on the proposed...
FCA appoints 6 new directors
The FCA has appointed six new directors to a mixture of existing and newly created senior roles: Director of Consumer Finance – Roma Pearson will take up her position in July and will be responsible for the supervision...
PRA sets fees and levies for 2022/23
Following its consultation in the spring, the PRA has published a policy statement to confirm the final regulated fees and levies rates for 2022/23. The rates meet the PRA’s annual funding requirement for the...
PSR updates on card-acquiring market review
Following its initial consultation, the PSR has now published its provisional decision in relation to remedies for the card-acquiring market review. The PSR has launched a second consultation on proposals for three...
FOS publishes annual complaints data for 2021/22
FOS has published its annual complaints data for April 2021 – March 2022. Highlights include: FOS received 165,263 new complaints which is a decrease on the previous year (279,146). Of these, there were 5,369 PPI...
FCA publishes regulated fees and levies for 2022/23
The FCA has published its final periodic regulatory fees and levies for 2022/23 including feedback on CP22/07. The FCA will invoice fee-payers from July 2022 onwards for their 2022/23 periodic fees and levies.
Update: the future of UK financial services regulation
The Treasury Committee has published a report outlining its plans to launch a new Sub-Committee to scrutinise regulatory proposals for financial services. The Sub-Committee will be chaired by the Rt. Hon. Mel Stride MP...
FCA seeks retrial in insider dealing case
Following the Court’s decision to discharge the jury after they were unable to reach a verdict following an 8-week trial, the FCA has announced that it will pursue a retrial of Stuart Bayes and Jonathan Swann for...
EU Council agrees position on proposed changes to Solvency II
The Council of the EU has agreed its position on the proposed amendments to the Solvency II Directive. The agreed position: should ensure a balanced review of the SII prudential framework in terms of capital...
PRA speech: competition, productive investment and Solvency II Review
Charlotte Gerken, PRA Executive Director – Insurance, has delivered a speech on the goals of competitiveness and productive investment and their role in the Solvency II Review. Highlights include: investment flexibility...
Law Commission sets out proposals for corporate criminal liability reform
Following a request by the government to carry out a review of the law on corporate criminal liability, the Law Commission has now published ten options for reforming how companies are convicted of criminal offences...
FCA publishes quarterly consultation
The FCA’s latest quarterly consultation covers: a minor amendment to DEPP to reflect changes to the FCA’s decision-making processes implemented on 26 November 2021; amendments to the Compensation rules relating to...
Solvency II review updates
The PRA has launched the 2022 data collection exercise for the Solvency II review, primarily in support of the matching adjustment (MA) and fundamental spread (FS) calibration reforms. The exercise will cover three main...
FCA proposes further reforms to the listing regime
FCA has published the feedback to its discussion paper on proposed reforms to improve the effectiveness of UK primary markets and the listing regime. In a second discussion paper, published alongside this feedback, the...
PSR sets out proposals for further participation in CoP
In continuation of its delivery of Confirmation of Payee (CoP), the PSR is consulting on proposals to require a further c.400 PSPs to offer CoP to their customers (both as payers and payees). The PSR is proposing that...
Update: Measuring value for money in DC pension schemes
The FCA and the Pensions Regulator (TPR) have published the feedback they have received following their joint discussion paper on developing a framework for measuring value for money (VFM) in defined contribution (DC)...
FCA speaks on regulating finance in the UK
Charles Randell, FCA and PSR Chair, has delivered a speech on regulating finance for the whole of the UK. Highlights include: Importance of partnerships and policy coherence – the FCA recognises the continued importance...
FOS launches webpage on vehicle breakdown cover
FOS has published a new webpage which sets out information for firms on handling and resolving complaints about vehicle breakdown cover. The webpage explains the types of complaint FOS sees, provides a summary of how...
PSR takes action against banks for non-compliance with the IFR
PSR has taken action against NatWest, RBS, Ulster Bank and Coutts for failing to comply with the Interchange Fee Regulation. The banks incorrectly treated a number of cards as being ‘commercial’ when they should have...
FCA highlights the risks of investing in crypto
The FCA has issued a statement following some recent social media posts regarding cryptoassets and NFTs. Whilst it cannot comment on individual products, it has warned consumers that there are no consumer protections...
TPT launches consultation on climate transition plans
The Transition Plan Taskforce (TPT) has launched a call for evidence on a sector-neutral framework for private sector transition plans. The framework will inform UK regulations for certain financial sector firms and...
Government sets out approach to APP scam reimbursements
HM Treasury has published a policy paper outlining how the government and PSR intend to improve the reimbursement of APP scam victims. The government intends to legislate in the Financial Services and Markets Bill to...
FMSB is changing its name
FMSB has announced that it is changing its name from the FICC Markets Standards Board to the Financial Markets Standards Board. It will continue to use “FMSB”. FMSB says the change will help support...
FCA launches new IFPR webpage
The FCA has launched a new webpage which sets out how to submit MIFIDPRU applications and notifications. It also includes information for IFPR firms about MIF returns.
FCA warns firms to stop using misleading credit ads
The FCA has written to c.28,000 consumer credit firms warning them not to use terms such as ‘no credit check loans’, ‘loan guaranteed’, ‘pre-approved’ or ‘no credit...
FCA publishes investment platforms market study findings
As part of its Investment Platforms Market Study in 2019, the FCA said it would keep the role of platforms in helping consumers understand their investment costs under review. The FCA has now published a new webpage...
Treasury consults on reforms to Solvency II
HM Treasury has published its consultation on post-Brexit reforms to the Solvency II regime which it hopes will unlock investment, increase market access for new insurers and offer greater consumer choice. The reforms...
Government sets out approach to protecting wholesale cash infrastructure
HM Treasury has published its policy statement on protecting UK wholesale cash infrastructure. The government intends to create an oversight regime which will: give the BoE oversight over, and the ability to regulate...
PRA poses alternative approach to bank capital requirements
PRA CEO, Sam Woods, delivered a speech at City Week 2022 in which he set out “a radical, alternative approach” to bank capital requirements. The proposed approach would involve: a single capital buffer...
Funeral plans update: RAO amendments made
The FSMA (Regulated Activities) (Amendment) Order 2022 has been published, together with an explanatory memorandum. It makes several amendments to FSMA and secondary legislation, primarily the RAO, in preparation for...
PRA updates on Gibraltar passporting
The PRA has confirmed that the transitional passporting rules will continue for firms operating between the UK and Gibraltar until 31 December 2022. These transitional arrangements can be further extended until the...
FOS publishes complaints data from H2 2021
Between 1 July and 31 December 2021, FOS received a total of c.73,200 complaints of which 37% were upheld.
FOS has also published its latest half-yearly data on the number of complaints received about CMCs.
Regulators provide update on joint transformation programme
BoE and FCA are working to transform data collection from the UK financial sector through the joint transformation programme that has been set up with industry. The regulators have provided an update on the...
PRA updates on capital arbitrage transactions approach
The PRA has issued a statement acknowledging that some PRA-regulated firms have conducted (or may be considering doing so) deficit reduction transactions with their defined benefit pension schemes that are structured to...
Chancellor outlines climate change recommendations for the regulators
Rishi Sunak has written to the FCA and the BoE setting out recommendations in relation to the government’s commitment to achieve net zero by 2050 to supplement those outlined in his letters of March 2021. The...
Lords Committee writes to Treasury on commercial insurance and reinsurance regulation
Lord Hollick, Chair of the Industry and Regulators Committee, has written to John Glen following Mr Glen giving evidence to the Committee’s inquiry into commercial insurance and reinsurance regulation. Amongst...
UK gearing up to be a global cryptoasset technology hub
Alongside Treasury’s decision to regulate stablecoins, the government has announced wider plans to make the UK a global hub for cryptoasset technology and investment. In a speech delivered at the Innovate Finance...
FSCP backs FCA’s plans to strengthen fin prom rules for high risk investments
The Financial Services Consumer Panel (FSCP) has published its response to the FCA’s consultation on how to improve its financial promotion rules for high risk investments, which closed on 23 March. The FSCP...
MEPs vote on draft crypto legislation
MEPs from ECON and the Committee on Civil Liberties have voted to adopt their position on draft crypto legislation which forms part of the EU’s wider package of measures aimed at strengthening AML/CFT rules in the...
Ombudsman News looks at storm damage
The latest edition of Ombudsman News from FOS covers not only its plan and budget for 2022/23 (which FIN has covered separately) but also guidance for consumers about storm damage complaints. The guidance contains...
FOS outlines strategic plans for 2022/23
FOS has published its plans and budget for 2022/23. In the coming year, FOS: expects to receive 177,000 complaints and resolve 220,500 complaints; will continue to ensure it is equipped to respond to complexity and...
FCA confirms changes to PRIIPs regulation
Following its consultation in 2021, the FCA has confirmed it is making changes to the PRIIPs regulation to: clarify the scope of the PRIIPs regulation for corporate bonds, making it clearer that certain common features...
ESMA extends recognition decisions for UK CCPs
ESMA has announced that it has decided to extend the application of the recognition decisions under Article 25 of EMIR for three CCPs established in the UK. As such, the recognition and tiering decisions in relation to...
ASA cracks down on misleading crypto ads
ASA has issued an Enforcement Notice to over 50 firms which advertise cryptocurrencies, instructing them to review their ads and to ensure they understand and are complying with the rules so that consumers are treated...