The FCA has charged Olumide Osunkoya with unlawfully running multiple crypto ATMs without registration under the MLRs. The ATMs in question processed £2.6m in crypto transactions during a period of just under 2 years...
Category - Topics
Emma RadmoreFCA allows temporary flexibility against sustainability “name and shame”
The FCA is allowing firms temporary flexibility to comply with its “naming and shaming” rules in respect of sustainability disclosures. The rules take effect from 2 December and firms should be taking all...
CMA says Open Banking Roadmap complete
The CMA has updated its website on Open Banking to confirm that all the “CMA9” banking providers required to complete the Open Banking Roadmap have now completed the implementation phase. AIB and Bank of...
FCA takes action for reckless pension transfer model
The FCA has published decisions against 3 individuals and fined and banned a fourth in relation to a pension transfer advice model that the FCA consider put guaranteed retirement benefits at risk. Its action relates to...
FCA consults on “reasonable grounds” for delaying payments
The FCA is consulting on updating its guidance in its “approach” document for payment services and e-money firms to support proposed amendments to the PSRs that will allow PSPs to delay making payment...
PSR publishes Annual Report
The PSR annual report for 2023/24 unsurprisingly highlights the regulator’s activities in relation to APP fraud and open banking. It notes: publication of the first set of APP fraud statistics; steps to...
FCA bans individual after criminal conviction
The FCA has banned an individual from performing regulated activities after he was convicted of involvement in a criminal conspiracy to commit fraud by false representation. Luke Williams was involved in the activities...
FCA publishes enforcement data
As part of the Annual Report for the 2023/24 year, the FCA has published data on how it has used its enforcement powers during the year. Key data includes: 98% of cases were opened against firms, as opposed to...
FCA updates on whistleblower reports
The FCA has reported on whistleblowing disclosures made to it in the year to 31 March 2024 under the Prescribed Persons Regulations 2017. During the year it received 1,125 new reports (having seen a gradual increase...
PSR confirms CHAPS APP reimbursement direction
Following consultation, the PSR has published a tracked and final version Specific Direction 21 which now applies to all PSPs participating in CHAPS that provide relevant accounts – which are defined as all...
FCA wants improvement in AR supervision
The FCA has reviewed how principals are supervising their Appointed Representatives and has concluded that supervision has improved, but that firms could do more. It saw many principals keeping clear records of how they...
FCA publishes Annual Report
The FCA Annual Report and Accounts shows how the FCA has improved its operating statistics for authorisations over the past year. It now meets its statutory deadlines for determining applications in 98% of cases. Other...
FCA reminds firms of LIBOR deadline
The FCA has reminded firms that the 1-,3- and 6-month synthetic USD LIBOR settings will cease permanently after their final publication on 30 September.
FCA speaks on approach to tackling financial crime
Sarah Pritchard has spoken on the importance of working together and sharing intelligence as a key part of tackling financial crime. She spoke of using a targeted approach to spot outliers and issues. She discussed how...
PSR proposes reduction in APP reimbursement max
The PSR is consulting urgently on a proposal to lower the maximum level of reimbursement for Faster Payments APP scam claims to £85,000. This is a significant reduction, bringing it down from the previously agreed...
Tribunal backs FCA refusal of authorisation application on fit and proper grounds
The Upper Tribunal made its decision on the reference to it in respect of the FCA’s decision that the only proposed financial adviser of a firm did not meet the ‘fit and proper’ test, such that the...
Laura WilesFOS highlights record fraud and scam complaints
We previously reported on the last quarter’s record complaints figures to the FOS. It has followed up this data with details of fraud and scam complaints, which are at their highest ever quarterly level. In the...
FCA seeks views on EMIR reporting
The FCA is asking for views on its guidance for UK Trade Repositories on guidance on the changes to the derivative reporting framework under EMIR. Most of the new requirements take effect from 30 September, and the new...
FCA publishes steps to improve access to bank accounts
In a report concerning its findings from follow-up work on payment account access and closures, the FCA has set out its expectations of firms, and next steps encouraging account providers to provide more support to...
FCA releases latest skilled persons stats
In the quarter to end March 2024, the FCA commissioned 27 skilled persons reports. 10 related to retail investments, 7 to wholesale financial markets and 5 to retail banking and payments. 12 related to controls and risk...
Latest Financial Services and Markets Act 2023 Commencement Regulations published
Treasury has published the latest commencement regulations bringing into force provisions of the Financial Services and Markets Act 2023. In particular, the Financial Services and Markets Act 2023 (Commencement No. 7)...
CMA writes to Starling on Retail Banking Order breach
The CMA has written a letter to Starling regarding its breach of the Retail Banking Market Investigation Order (Order) in relation to the Service Quality Indicator (SQI) remedy. Part 3 of the Order requires Business...
Force majeure and “reasonable endeavours”
Read our article on the recent Supreme Court findings on what “reasonable endeavours” should mean in the context of force majeure clauses.
FOS publishes quarterly data
FOS has published complaints data covering Q1 2024/5 (April – June 2024). Highlights include: over 76,000 new complaints – an increase of 70% from the same period last year; credit cards were the most...
AI in the retail sector
Listen to some of our employment partners talking about the use of AI and its impact on staffing.
FCA to investigate pure protection market
The FCA is concerned that competition is not working well in the pure protection sector and is to start a market study into how pure protection products are sold. These products are mainly sold through intermediaries...
Tribunal backs FCA on Saranac/Kalaris decision
The Upper Tribunal has made its decision on the reference to it by Saranac Partners Limited in respect of the FCA’s decision not to approve its application for Thomas Kalaris to be its CEO and an executive...
CMA writes to banks on Retail Banking Order breaches
The CMA has published details of breaches of the Retail Banking Market Investigation Order by both Barclays and Santander. Santander had failed to keep information published through Open Banking up to date and in some...
FCA publishes GI value measures data
The FCA has published its general insurance value measures data for 2023 – the second full year of reporting. The latest data continues to highlight products that do not appear to be delivering fair value in the...
FCA tells insurers to do better on proving value and customer outcomes
The FCA has published a thematic review that looked at governance and oversight of insurance products. It has found that the industry has made progress in improving how products are designed, managed, reviewed and...
FCA adds sustainability labels to website guidance
The FCA has updated its website page on the sustainability disclosure and labelling regime to include downloadable labels for firms to use.
PSR responds on VRP expansion
The PSR has followed up on its December call for views on how it could support expansion of Variable Recurring Payments to regulated financial and utilities services and to local and central government. Generally, there...
FCA fines auditor for failing to report suspected fraud
The FCA has fined PwC £15m for failing to report suspicions of fraud that arose during its 2016 audit into London Capital & Finance. As PwC had been carrying out the audit, it had been faced with aggression from a...
CMA updates banking satisfaction surveys
The results of the latest banking satisfaction surveys released by the CMA show: Monzo and Starling are the top of both personal and business current account providers; and RBS and the Co-operative Bank scoring badly on...
FCA censures auditor for client asset report failings
The FCA has censured audit firm Macintyre Hudson LLP, which over a 4 year period did not prepare 4 client asset reports relating to 2 firms to the required standard. The reports did not report 25 rule breaches, which...
FCA fines and bans individual for dishonest and reckless conduct
The FCA has banned Martin Sarl from working in the financial services industry for acting without honesty and integrity. The regulator has also fined Mr Sarl £5,021. The FCA’s investigation found that between...
Harry WellsFCA fines CFD firm for unfair customer treatment
The FCA has fined Forex TB Limited (FXTB), a Cypriot contract for differences (CFD) firm, £276,100 for failing to treat its customers fairly and for providing investment advice without authorisation. The FCA found that...
NCA publishes new SARs reporter booklet
The NCA has published a new version of its SARs Reporter Booklet. The latest version focuses on DAMLs that were refused for further investigation and includes case studies including a request for a DAML to return funds...
Companies House plans ECCTA actions
The latest Companies House business plan includes details of its plans relating to ECCTA compliance over the next year. These include: prioritising removing inaccurate information on registers, including querying and...
FCA consults on enhancing the National Storage Mechanism
Following the announcement earlier this year that it would be refreshing the National Storage Mechanism (NSM), the FCA is now consulting on proposals to change the requirements for submitting regulated information to...
UK Finance responds on MLRs
The UK Finance response to the Treasury consultation on improving the effectiveness of the MLRs notes that there are some parts of the existing regulations that are unhelpful in that they: drive tick box compliance; or...
FCA consults on workplace pensions value for money
The FCA, DWP and the Pensions Regulator are planning a joint framework that pension providers and adviser could use to see more transparently how schemes are performing. They propose to compare schemes based on public...
FCA updates on operating metrics
The FCA quarterly authorisations metrics for the quarter to June 2024 shows 12 green, 4 amber and 1 red metric. The FCA says 98% of all applications were determined within the statutory deadline and that the red metric...
Asset manager to pay €250m to investors in high risk investments
The FCA has announced that H2O AM LLP is to pay €250m to investors who have been unable to access their funds for 4 years after the firm failed to carry out proper due diligence on certain introduced investments...
FCA publishes Q2 fin proms data
The FCA has published its financial promotions data for Q2 2024 on its actions against firms breaching financial promotion rules, and referrals and investigations into unregulated activity. During the period: 3,273...
FCA updates on crypto fin prom compliance
The FCA has published the findings of its review into how crypto firms have complied with financial promotion rules introduced in October 2023. In particular, the FCA analysed the application of ‘back end’...
BoE publishes second resolvability assessment of major UK banks
The BoE has published its second assessment of the resolvability of the eight major UK banks, finding that the banks have made significant progress in preparation for resolution, and have addressed issues outstanding...
Investment Association reports on climate and nature policy
The Investment Association has published its latest “Financing Transition” report, which outlines its approach to climate change and nature-related policy. Key commitments include: supporting credit...
Unauthorised mortgage broker to pay £4m
The FCA has secured an order of £4m in the High Court against two firms under the directorship of one individual, which respectively arranged mortgages and bought properties and rented them back to the sellers. Neither...
FSR Committee restarts and reopens inquiries
The House of Lords has reappointed the Financial Services Regulation Committee which had originally been created in 2024. The reappointed Committee will now continue the inquiries that were ongoing before the election...
FCA refuses application on fit and proper concerns
The FCA has published a decision notice setting out its intention to refuse to authorise an applicant firm Ancean Limited, whose sole director and proposed sole approved person would be an individual who was previously...
New sanctions list search function
The FCDO has launched a new search function which allows users to more easily find information relating to designated persons on the UK sanctions list. The search function does not remove an individual or entity’s...
FCA publishes final rules for Dormant Assets Scheme
The FCA has published a policy statement setting out its final rules for the second stage of the Dormant Assets Scheme. The scheme provides for banks and building societies to pay dormant monies into an authorised...
PSR publishes APP scams performance report
The PSR has published the APP scams performance report for 2023. Highlights from the report show: over 250,000 reports were made in 2023, with scams totalling over £340m; reimbursement rates have increased while fraud...
PSR publishes APP scams reimbursement information sheet
The PSR has published an information sheet to support firms’ compliance with Specific Direction 20 – the requirement for sending PSPs to inform consumers of their rights under the reimbursement requirement...
New FCA webpage on UK UCITS ManCo applications
The FCA has launched a new webpage setting out how firms can apply to become a management company (ManCo) for a UK UCITS. The webpage contains information on permissions, prudential requirements, and application fees...
The challenges facing low-value data breach claims
We have written an article on the case of Farley v Paymaster, which looks at how the courts are increasingly viewing exaggerated data breach claims brought for alleged distress.
FCA speech: 1 year on from the Consumer Duty
Sheldon Mills, Executive Director of Consumers & Competition at the FCA, has delivered a speech reflecting on the Consumer Duty a year on from its implementation. The speech welcomed the improvements demonstrated by...
IEO makes recommendations on new PRA competitiveness and growth objective
The BoE’s Independent Evaluation Office (IEO) has published its evaluation of the PRA’s approach to its new secondary competitiveness and growth objective (SCGO). The IEO is pleased that the PRA has invested...
Law Commission publishes draft “third category” proposals
The Law Commission has published a supplemental report on digital assets as personal property, and a draft Bill to confirm the existence of a third category of personal property into which certain digital and other...
BoE and PRA publish whistleblowing figures
The BoE and PRA have published their annual report on whistleblowing in the last year (to end March 2024). During that period they received 240 disclosures of which 228 could properly be categorised as protected...
BoE and PRA consult on updates to international banking supervision
The BoE and PRA have launched a consultation on proposed updates to international banking branch and subsidiary supervision to reflect changes since introducing the PRA’s SS5/21. The proposed changes include:...
BoE and PRA set up CBA panel
The PRA and BoE have set up a cost benefit analysis panel (CBA Panel) to advise on the preparation of cost benefit analyses when the two bodies put forward new regulatory proposals. The CBA Panel is also able to...
Bank of England outlines approach to innovation in money and payments
The Bank of England (BoE) has issued a discussion paper inviting views on its approach to innovation in money and payments. In the paper, the BoE notes that to date it has: enhanced its capability to supply wholesale...
Stephen WilsonFCA to extend DCA complaint “pause” period
The FCA plans to extend the “pause” to the time firms have to respond to complaints about motor finance involving discretionary commission arrangements., to 4 December 2025. It says it has taken longer than...
FCA reports on secondary objective progress
The FCA has published the required metrics on the success of its secondary international competitiveness and growth objective. It has split the metrics into the themes of: authorisations and operational efficiency:...
NCA and banks launch data sharing project
The NCA has announced a partnership with 7 banks under which the banks will provide the NCA with account data that could suggest criminality. The banks and investigators will analyse the data to help inform both the...
PRA publishes Policy Statement on omnibus reserve rules
The PRA has published its final policy on leverage ratio treatment of omnibus account reserves and amendments to the leverage ratio framework, as well as feedback to responses from its consultation earlier this year...
PSR publishes second Annual Review of Specific Direction 12
The PSR has published it second annual review of Specific Direction 12 (SD12), designed to ensure that LINK has a broad geographic spread of free to use ATMs and meets service user needs. The regulator has concluded...
FCA calls for input on retail conduct rules post-Consumer Duty
The FCA is calling for views on whether it can simplify its retail conduct rules and guidance following the introduction of the Consumer Duty. The regulator is seeking feedback specifically on any areas of retail...
FCA publishes policy statement on Cost Benefit Analyses
The FCA has published a policy statement on its approach to cost benefit analysis (CBA). Designed to assess the costs and benefits of policies introduced by the regulator, it aims to quantify the likeliest impact of...
FCA seeks views on insurance regulation
The FCA has published a discussion paper on the regulation of commercial and bespoke insurance business. It is seeking views on whether its current rules for commercial insurance products strike the right balance...
FCA announces raft of measures for UK wholesale markets
The FCA has announced a variety of measures with the aim of strengthening the UK’s capital markets. 1. New public offers and admissions to trading regime A key aspect of the package includes proposals (CP24/12) to...
PRA finalises expectations on funded reinsurance
Following its consultation, the PRA has finalised its expectations in respect of insurers entering into or holding funded reinsurance (FundedRe) arrangements as cedants (SS5/24). The PRA has also issued a Dear CEO...
Court clarifies extent of POCA “adequate consideration” defence
The Court of Appeal has overturned a High Court ruling on the ongoing effects of using the “adequate consideration” defence when acquiring the proceeds of crime. The World Uyghur Congress had challenged a...
PRA publishes PS on approach to rule permissions and waivers
The PRA has published the final version of its SoP on its approach to rule permissions and waivers. It received 4 responses to its consultation, but has not made any change to the consultation draft following these...
CMA takes action under Retail Banking Order
The CMA has taken action against 4 banks for breach of the requirements of the Retail Banking Market Investigation Order 2017. HSBC, Lloyds, TSB and AIB failed to make correct data on their products and services...
FCA fines E-money firm £3.5m
The FCA has fined CB Payments Limited, an EMI which is part of the Coinbase Group, £3.5m for repeated breach of a requirement restricting it from offering services to high risk customers. The firm does not itself...
UK Finance says one third of UK adults use mobile contactless payments
UK Finance’s Payment Markets Report for 2023 shows an increase in payments of 5%, with 38% of all payments being contactless, and with one third of UK adults using mobile contactless payments at least once a month...
PSR finalises exemptions and extensions guidance
The PSR has finalised its guidance on how it makes decisions on whether to grant extensions and exemptions to specific directions or requirements. Among the things the PSR will consider when it receives a request are:...
Regulators update on BSPS actions
The FCA, FOS and FSCS have published a report looking at the actions taken and results from the BSPS Redress Scheme exercise, as it comes to an end. Overall: £8.7m has been paid out by firms or the FSCS (significantly...
FCA publishes final rules on protecting access to cash
In December, the FCA used its powers under FSMA 2023 to consult on new rules to require designated banks and building societies to assess gaps in access to cash and act to fill them. The FCA has now published the...
FOS publishes ADR annual activity report
The FOS has published the annual figures for reports it received in the year to 8 July, It notes the figures don’t include complaints brought by businesses but may include some brought by charities and trustees...
Bond administrator enters liquidation
The FCA has announced the liquidation of London Court Limited, a bond administrator and ISA manager. The firm had been restricted from doing any new business since August 2023 after the FCA determined that the firm had...
FCA updates whistleblowing data
The latest whistleblowing data from the FCA, covering the quarter to end June 2024, shows: 253 new reports received (fewer than the corresponding period last year and the last quarter), with nearly half of reports made...
Court considers “reasonable cause to suspect” for sanctions purposes
The High Court has considered what would be “reasonable cause” to suspect in the context of funds or economic resources being owned or controlled by a designated person for the purposes of the financial...
FRC announces Stewardship Code changes
The FRC has announced major revisions to the UK Stewardship Code. It is making 5 immediate changes and has committed to a wider review. The key changes: will remove the “context” reporting expectations...
Government responds on Special Resolution Regime enhancements
The Government has published its response following its consultation on enhancing the Special Resolution Regime and the Bank Resolution (Recapitalisation) Bill has now started its Parliamentary Passage. Respondents were...
PSR consults on draft guidance on identifying APP scams
The PSR is consulting on draft guidance on distinguishing between APP scams and civil disputes, after engagement with industry. The draft guidance aims to support Payment Service Providers (PSPs) with identifying...
FCA consults on updates to PEPs guidance
Following recent changes to the MLRs and its PEP review, the FCA is consulting on changes to its guidance for firms on applying a proportionate and risk-based approach to UK PEPs, their relatives and close associates...
King’s Speech 2024 outlines pensions and banking resolution measures
Among the list of legislative proposals referred to in the King’s Speech are bills designed to strengthen pension investment and enhance the UK’s banking resolution regime. The Pension Schemes Bill aims to...
FMLC asks HM Treasury to clarify MLRs 2017
The Financial Markets Law Committee (FMLC) has written to HM Treasury asking it to clarify areas of legal uncertainty relating to the MLRs 2017. The FMLC considers that the continued reference to the EU CRD Annex 1...
FCA publishes policy statement on Overseas Funds Regime
Following feedback to its consultation, the FCA has confirmed in its policy statement the final rules and guidance for implementing the Overseas Funds Regime (OFR). The new rules set out its requirements for determining...
FSB consults on data flows and regulation in cross-border payments
The FSB has launched a consultation on its recommendations regarding increased alignment in data flows and greater consistency in the regulation and supervision of bank and non-bank payment service providers (PSPs) with...
Travel insurance complaints at highest level since Covid
The FOS has announced that it received 4,466 complaints about travel insurance in the financial year 2023/24, a 19% increase on the previous year. The only time that figure has been higher in the last 10 years was when...
PSR and FCA call for information on big tech and digital wallets
The PSR and FCA are seeking information and evidence on the benefits and risks posed by digital wallets to people and businesses. In particular, the regulators want to gather information on: the different benefits that...
PRA updates on dynamic insurance stress test
The PRA has published a statement setting out further information on the dynamic general insurance stress test (DyGIST) that it intends to run in 2025. As a reminder, the objectives of DyGIST are to: assess the UK...
FCA bans individual knowingly concerned in FSMA breach
The FCA has published a final notice banning Clive Harris Mongelard from performing regulated activities. Following civil proceedings in the High Court, Mr Mongelard was found to be knowingly concerned in multiple...