The FCA has proposed a range of targeted temporary measures designed to quickly support users of certain consumer credit products who are facing a financial impact due to coronavirus. The package is intended to...
Category - Retail Banking
FIN. TeamParliament Committee seeks equivalence answers
The Third Report of Session of the House of Commons European Scrutiny Committee seeks clarification on the Government’s intentions for negotiations of equivalence arrangements with the EU from the end of the...
Emma RadmoreFOS confirms case fees and releases 2020/21 budget
FCA has confirmed FOS’ 2020/21 budget. Key elements include: continuing to allow 25 “fee” cases for firms outside the group account fee arrangement – so 90% of firms will pay no case fees; 50...
FLA gets firms access to CBIL Scheme
FLA has successfully negotiated with the Government to get access for independent and non-bank lenders to the Coronavirus Business Interruption Loan Scheme. It says this was critical to allow firms to continue to run...
Emma RadmoreIn-action is a breach of duty and amounts to concealment for Limitation defences
In Canada Square Operations Ltd v Mrs Beverley Potter [2020] EWHC 672 (QB) , the High Court heard an appeal by the creditor against the decision of Mr Recorder Rosen QC. In the decision it was found that the creditor...
Regulator Covid-19 Update 26 March
On 26 March: FCA, while confirming its intention to be flexible to allow firms to keep operating, noted that they should also be planning ahead and ensuring sound management of their financial resources. It says buffers...
Government confirms extension of TTP
In a statement to Parliament, Lord Agnew of Oulton, the Minister of State, has noted a statement from Treasury that it expects “in general” the same laws and rules to apply as the transition period ends, it...
Regulator Covid-19 Update 25 March
On 25 March: Treasury, BoE and FCA have written to the CEOs of UK banks on Covid-19 and bank lending. The letter explains how the Covid Corporate Financing Facility will help firms of investment grade or equivalent...
Contactless limit increasing
UK Finance announced today that the card transactional contactless limit will be increasing from £30 to £45 with the roll out starting on 1 April. The changes may take a while for retailers to implement, especially...
CMA varies Santander directions
CMA has varied the Directions to Santander in respect of its Open Banking Release. It had previously varied the directions in January 2019 and considers Santander’s continued failure to comply with the...
FCA issues Covid-19 guidance for consumers
The FCA has explained that is working closely with the Government, the Bank of England, the Payment Systems Regulator and firms to ensure markets continue to work well for consumers. This includes making regular contact...
EU writes to Chancellor on equivalence
Valdis Dombrovskis has written to Rishi Sunak on equivalence assessments. The letter merely notes that both sides should start to assess equivalence as soon as possible, on the basis of the Political Declaration, with a...
Treasury Committee responds on IT failure and economic crime reports
The Treasury Committee has commented on the responses from Government and regulators on: its October report on failures in the IT industry. The report had concluded, among other things, that: regulators need to improve...
Invalidly executed deeds of guarantee still enforceable
In Signature Living Hotel Ltd v Sulyok [2020] EWHC 257 (Ch), the High Court was asked to consider whether two deeds of guarantee were enforceable in circumstances where the signature of the director of the surety had...
Treasury consults on UK/Gibraltar FS access
Treasury is consulting on the post-Brexit market access arrangements between the UK and Gibraltar. Constitutionally, Gibraltar is an Overseas Territory with internal self-government. Responsibility for financial...
Budget 2020: Key notes for Financial Services
The Regulatory update within the 2020 Budget included the following key notes: Financial Services Bill – this will provide long-term market access between the UK and Gibraltar for financial services firms...
Bank of England implements new measures to respond to the economic shock from Covid-19
The Bank of England (“BoE”) has announced a comprehensive and timely package of measures to help UK businesses and households bridge across the economic disruption that is likely to be associated with Covid...
Bank of England slashes interest rate in response to Covid-19
The Bank of England (“BoE”) has reduced the Bank Rate by 50 basis points to 0.25%. The aim of the reduction is to help support business and consumer confidence amidst the Covid-19 outbreak, to bolster the...
The Treasury Committees approves Bailey, but says it will keep an eye on the FCA
The Treasury Committee has today published its report on the appointment of Andrew Bailey as Governor of the Bank of England. Whilst it is satisfied that Mr Bailey has the professional competence and personal...
Up next from FCA
FCA plans the following publications: consultation on exit fees in investment platforms and comparable firms (March); consultation on listing of OEICs (Q1); consultation on changes to DEPP, EG and the financial crime...
PRA writes to chairs on board diversity
PRA has written to the chairs of dual regulated firms reinforcing the importance it places on diversity within boards for improving decision making and providing effective challenge. It reminds firms it expects them to...
Deputy Governor of Financial Stability says “It’s time to talk about money”
Sir Jon Cunliffe delivered a speech on the future of the banking system and of cash payments. He noted that the forms money takes in society change as the structure of economies changes, as the ways in which we transact...
Have a look at our retail banking timeline
In conjunction with the FIN. blog, we have today launched a retail banking timeline over on the Womble Bond Dickinson website. Our timeline highlights key dates, legislation, events and insights relevant to the retail...
APP Scams Interim Funding Extension
UK Finance confirmed on 27 February that the payment service providers who have provided the interim funding arrangement since May last year, have agreed to extend their funding to the end of the year (31/12/20). This...
ECB Speech: Climate Change in FS
Christine Lagarde made a speech on climate change and the financial sector on 27 February 2020. Christine identified both the threat and significant opportunity caused by climate change. She urged central banks to...
More UK/EU policies revealed
The Government has published a policy paper on its approach to the future relationship with the EU. It sets out the Government’s suite of proposals, based around the desire for a comprehensive Free Trade...
Mental Health: Practical Guide
The Money and Mental Health Policy Institute and the Money Advice Trust have jointly created a practical guide to understanding and evidencing customers’ mental health problems. The guide is aimed primarily at...
LSB: Access to Banking Standard Summary Report
The LSB published its Access to Banking Standard Summary Report on 24 February 2020. The report sets out the LSB’s findings following its latest review of relevant firms’ compliance with the Access To...
Barnier to be EU negotiator on post-Brexit issues
The Council of the EU has adopted a decision authorising negotiations between the EU and UK towards a new partnership and authorising the European Commission, in the person of Michel Barnier, as the EU negotiator. The...
Dormant Assets Scheme Consultation
This morning, HM Treasury published a consultation document setting out its proposals for expanding the dormant assets scheme. The consultation discusses the background to the current scheme and then sets out proposals...
FSB priorities published
The FSB published a letter addressed to all G20 Finance Ministers and Central Bank Governors on 18 February 2020. The letter sets out the areas that the FSB are focusing their efforts on. All of the measures are to...
Financial services after Brexit updates
The EU Financial Affairs Sub-committee has opened an inquiry into financial services after Brexit and has been taking evidence. Most recently it has been questioning the BoE and FCA. They largely discussed the key...
Latest current account data released
The FCA has today published the latest table of data provided to them by current account providers (both business and personal). The data allows consumers and small businesses to compare the services provided by each...
FCA publishes annual sector views
The FCA has just published its annual sector views report which comprises a state of the nation in terms of the financial services industry. The report sets out the drivers for change in each financial services sector...
FCA speech on penalties, remediation and General Principles
On 12 February, Mark Steward, Executive Director of Enforcement and Market Oversight made a speech at an event on Investigations and Enforcement: A Guide to Managing Regulatory Action. Key takeaways from the speech...
ESMA Chair delivers speech on sustainable finance issues
On 12 February, Steven Maijoor delivered a keynote speech on sustainable financial markets at the European Financial Forum in Dublin. In his speech, Mr Maijoor discussed the role of regulatory authorities in tackling...
EP publishes negotiating mandate with UK
The European Parliament has published its proposed mandate for a new partnership with the UK. The declaration acknowledges that the “close relationship” that will subsist and which, according to the...
FCA Update: Basic Bank Accounts
The FCA has published their findings today (11/02/20) following a review of how 5 of the 9 banks, who provide Basic Bank Accounts (BBAs), give information about them to their customers. The object was to understand how...
Regulators warn firms on selling personal data
The FCA, ICO and FSCS have warned regulated firms and insolvency practitioners of the need to be responsible when dealing with personal data. The regulators have become aware of sales of client data to CMCs either...
ESMA outlines sustainable finance strategy
On 6 February, ESMA published its sustainable finance strategy which sets out how ESMA plans to focus on sustainability. ESMA’s key priorities include: completing the regulatory framework on transparency...
CMA writes to Nationwide
The CMA has written to Nationwide setting out the CMA’s understanding of the action that has been taken by Nationwide since they breached Part 6 of the Retail Banking Market Investigation Order 2017. Nationwide...
Open Banking Implementation Entity (OBIE) proposes changes to the Agreed Timetable and Project Plan
Following a two-month consultation with stakeholders interested in Open Banking, on 3 February, the Implementation Trustee of the OBIE presented his proposed revised Agreed Timetable and Project Plan to the CMA. The...
FCA updates on skilled persons figures
FCA has published its latest figures on the numbers of skilled persons reports it has commissioned. During Q3 of 2019/2020 it commissioned 10 – of which 5 related to wholesale financial markets, 2 each to retail...
EBA begins 2020 EU-wide stress test
The stress test is designed to provide banks, supervisors and other market participants with a common analytical framework to consistently assess and compare the resilience of EU banks to economic shocks. As in previous...
FCA writes strategy letter to platforms
FCA’s latest portfolio strategy letter to CEOs has been sent to platforms. It starts by making the point that it expects firms will have used the SMCR to ensure clear accountability within senior management and...
FCA updates further on post-Brexit issues
FCA has further updated its website with information on Brexit and Temporary Directions. It explains how: It will not need to use the Temporary Transitional Power it had previously made directions under, as the...
FCA: Overdraft Pricing Request
The FCA has written to firms today requesting details about how they have reached their overdraft prices and the measures firms have put in place to protect consumers. In particular the FCA is asking all firms to...
DExEU updates on FS equivalence post-Brexit
The Department for Exiting the EU has published an updated communication from the European Commission on equivalence in the area of financial services. The documentation notes that temporary equivalence decisions are...
PRA publishes Pillar 2 policy statement
PRA has published its feedback to its consultation on updating the Pillar 2 capital framework in respect of capital buffers, and updated Statements of Policy and Supervisory Statements to include the changes. The...
Dear CEO letter re FSA047/048 returns
Given the progress of the UK Withdrawal Bill, the PRA has confirmed through a Dear CEO letter that relevant financial institutions no longer need to submit FSA047/048 returns after 22 January 2020. This return had been...
EBA updates its guidelines on fraud reporting under PSD2
The European Banking Authority (EBA) has published amendments to its 2018 guidelines on fraud reporting under the revised Payment Services Directive (PSD2). The amendments: introduce two new data fields for reporting...
CMA publishes update on loyalty penalty progress
Following the Citizens Advice super-complaint to the CMA about the loyalty penalty (when companies charge longstanding customers more than new customers or those who renegotiate their deal), the CMA identified a...
Financial institutions raise concerns about PRIIPs RTS review
Insurance Europe, AMICE, the EBF and EFAMA (the Group) have raised concerns about The Joint Committee of the European Supervisory Authorities (the ESA’s) consultation on potential changes to the regulatory technical...
EBA discusses future changes to the EU-wide stress test
The EBA has published a Discussion Paper On the future changes to the EU-wide stress test. Since the global financial crisis, the stress test has become a widely used tool for supervisors to assess the resilience of...
FSCS announces Plan and Budget
FSCS has published its full Plan and Budget for 2020/2021. As well as the indicative levy of £635m (£87m more than the current year, mainly because of a rise in SIPP operator claims) and management expenses budget of...
FCA outlines plan to simplify cash savings market
The FCA’s 2015 Cash Savings Market Study found that the cash savings market is not operating effectively for many consumers, especially those with easy access cash savings accounts or easy access cash ISAs. The...
UK Finance explains COP
UK Finance has updated its website to explain how banks are introducing Confirmation of Payee over the next few months, to give customers greater assurance that they are sending payments to the right recipient. UK...
Queen’s Speech highlights Brexit free trade hopes
The Queen’s Speech, as expected, highlighted Brexit, noting the priority to deliver it on 31 January, and thereafter to seek a free trade agreement with the EU and other leading global economies. The accompanying...
EVENT: Retail Banking Mixer
Bringing together professionals in the insurance, banking and other financial services sectors, we will be hosting the first of our quarterly RETAIL BANKING MIXERS at our Edinburgh office on 9th January from 4pm –...
Europe reaches agreement on ‘green taxonomy’ regulation
Negotiations between the European Parliament and Council have reached agreement on environmental objectives for determining the sustainability of an economic activity. The Commission proposal for a ‘taxonomy...
FPC publishes latest Financial Stability Report
In its latest Financial Stability Report, the FPC has published its latest stress testing results and current view on the stability and state of the UK financial system. In addition to its comments on open-ended funds...
FOS consults on plans and budget
FOS has published its consultation on its strategic plans and budget for 2020/2021. Next year, it expects to receive 245,000 complaints and resolve 290,000 (just under half in each case relating to PPI). It expects to...
Basel Framework published
BIS has published a consolidated version of the standards prepared by the Basel Committee on Banking Supervision. The resulting Basel Framework pulls together the 14 standards and also includes current, historic and...
BIS considering prudential treatment for crypto-assets
BIS is inviting responses to a discussion paper on the design of a prudential treatment for crypto-assets, in recognition of the growth in these types of products and related services, and consequential and resulting...
EPC notes key payment threats
The European Payments Council has published its third annual Payment Threats and Fraud Trends report. The report discusses the risks and trends, including those caused by: social engineering; malware; “advanced...
Extension of the Senior Managers and Certification Regime comes into force
The FCA has extended the Senior Managers and Certification Regime (SM&CR) to solo-regulated firms, including senior managers and certification staff in those firms. The SM&CR already applies to the banking and...
Up next from FCA
FCA’s latest Policy Development Update indicates several key publications scheduled for Q1 2020, including: potential policy statement on general insurance value measures reporting; consultation or discussion...
Regulators develop work on Operational Resilience
The BoE, the PRA and the FCA have developed a joint policy summary setting out new requirements for operational resilience for regulated firms and financial market infrastructures (FMI). The work is spearheaded by...
PRA to modernise outsourcing and risk management expectations
In the light of the development of various European Guidelines regarding outsourcing requirements, as well as recent practical ‘failures’ such as IT systems going down, the PRA is consulting on proposals to...
CMA confirms amendment of Retail Banking Market Investigation Order 2017
Following the CMA’s consultation on amending the Retail Banking Market Investigation Order 2017, the CMA has confirmed the removal of the provisions in and related to Part 6 that are effectively duplicative of new...
Mark Carney named UN’s Special Envoy for Climate Action and Finance
On 1 December 2019 the United Nations Secretary-General António Guterres announced the appointment of the Governor of the Bank of England, Mark Carney, as UN Special Envoy for Climate Action and Finance. Mark Carney...
APP scams voluntary Code extended to March 2020
In May 2019 UK Finance launched a voluntary industry Code which set new standards for the prevention of authorised push payment (APP) scams, where victims are tricked into sending money to a fraudster. Victims who are...
Banks told to refund customers after CMA action
The CMA has taken action against HSBC and Santander after they broke an Order requiring them to send customers text alerts before banks charge them for going into an unarranged overdraft, giving them time to take action...
PRA fines banks £43.9m for regulatory reporting failures
The PRA has announced that a combined penalty has been imposed on three Citi entities of £43.9 million. The penalty arises from failings in their internal controls and governance arrangements, resulting in incomplete...
FCA publishes ‘approving financial promotions’ webpage
In the light of its new temporary restrictions on the financial promotion of ‘mini-bonds’, the FCA has provided guidance for firms approving the financial promotions of unauthorised persons. The new page on...
FCA: New Form (cyber resilience questionnaire)
The FCA has published a new cyber resilience questionnaire. The questionnaire must be completed by competent parties and signed-off at board level as a “true and accurate reflection of the firm’s cyber...
Financial Inclusion
On Tuesday night, we hosted our first ever Talking Money event in partnership with the Scotsman newspaper in our Edinburgh office. The event focused on the topic of tackling financial exclusion in Scotland. The...
BIS report on Open Banking and APIs
BIS has published a report that looks at the growing trend in many jurisdictions towards an open banking. In particular, the report focuses on those aspects relating to customer-permissioned data sharing, ie where...
FCA addresses LIBOR transition issues
As part of its work on the transition from LIBOR from 2021, the FCA has published a webpage covering conduct risks arising from the transition. The matters covered are set out in question and answer format, addressing...
Reserve your place: Tackling Financial Exclusion
Join our expert industry panel for an evening of networking and discussion focused on delivering an inclusive financial sector for Scotland. Help shape the conversation as we discuss: Are we too obsessed with a cashless...
Up next from FCA
FCA’s latest Policy Development Update promises a number of publications before the end of the year, including: feedback on the Investment Platforms Market Study remedies; consultation on policy proposals for next...
FCA makes new rules
FCA’s latest Handbook Notice summarises various instruments made at the end of September and October: the Overdrafts (Information and Tools) Instrument 2019 takes effect on various dates to 6 April 2020, and...
FCA warning to CMCs – ‘play fair with PPI claims’
The FCA has issued its latest ‘Dear CEO‘ letter, this time to CMCs in relation to PPI complaints. The FCA has recognised that lenders are facing very significant operational challenges in being able to deal...
UK Finance responds to IT failures in the financial services sector
UK Finance has responded to the Treasury Committee’s report into IT failures in the financial services sector. The Treasury Committee criticised the unacceptably high level of failures and called on regulators to...
FCA confirms TPR extension
FCA has confirmed that: firms no longer need to implement their Brexit emergency plans for 31 October; and the TPR window will be open for notifications from fund managers until 15 January 2020 to let FCA know if they...
EBA reports on potential barriers to cross-border banking and payment services
The EBA has published a report identifying potential impediments to the cross-border provision of banking and payment services in the EU. The report was developed under the EBA’s FinTech Roadmap, and calls on the...
FCA speaks on future of regulation
Nausicaa Delfas spoke on the future of UK financial regulation post-Brexit. She said FCA continued to prepare for Brexit, whatever form it takes and whenever it happens, and referenced its preparations for a no-deal...
EBA recommends enhanced online disclosure requirements
The EBA has issued an Opinion directed to the EC, setting out recommendations to revise the scope and consistency of disclosure requirements in EU law to take account of the increasing use of digital marketing channels...
SRB consults on banks resolvability best practice
The Single Resolution Board has opened a public consultation on its proposed ‘Expectations for Banks’, which sets out at a general level the capabilities banks will be expected to demonstrate in order to...
FCA outlines five steps to drive the future of regulation
Christopher Woolard, Executive Director of Strategy and Competition at the FCA, recently spoke about the FCA’s thoughts on how it approaches the future of regulation. He commented that the FCA will be issuing an...
ESMA to examine reporting issues in annual financial reports
ESMA has set out the matters it will prioritise when looking at the 2019 annual financial reports of listed companies. Among the specific areas of focus, ESMA has underlined the importance of the inclusion of...
EU and Japan hold first joint financial regulatory forum
The Joint EU-Japan financial regulatory forum has held its inaugural meeting. Topics covered at the meeting included: the regulatory cooperation framework under the Japan-EU Economic Partnership Agreement, and the...
FCA publishes feedback statement on climate change disclosures
The FCA has published its proposals for its future work on climate change and green finance, following responses to its Discussion Paper in 2018 . In its work, the FCA will be focusing on three outcomes: Issuers provide...
FCA updates change in control pages
FCA has updated its guidance on how to submit an application for change in control. The page now includes useful tips on what FCA needs to know to deal with the application quickly, and links to all the required forms.
FCA provides Brexit preparations update for firms
The FCA has published an update on the steps firms will be expected to take in the event that there is a hard Brexit. In particular, the FCA reminds EEA passporting firms of the need to notify the FCA by 30 October if...
Payment Systems Regulator invites comments on LINK Specific Direction 8
The PSR is asking for views to be submitted on the operation of Specific Direction 8. This was given to LINK at the end of last year, and is focused on the maintenance of a broad geographic spread of free-to-use ATMs...
Queen’s Speech suggests post-Brexit FS Bill
Among the list of legislative proposals referred to in the Queen’s Speech is laws that will provide “certainty, stability and new opportunities” for the financial services sector through a Financial...
BoE to stress test for climate change risks
The Governor of the BoE addressed the inaugural Task Force on Climate-related Financial Disclosures (TCFD) summit in Tokyo yesterday. In his speech, Mr Carney warned of the growing challenges climate change brings, and...
European Banking Authority publishes Communication on preparation for Brexit
The European Banking Authority (EBA) has published a Communication on the remaining issues for financial institutions ahead of the UK’s departure from the EU. In its Communication the EBA urges continued progress...
Government publishes No-Deal Readiness Report
The Government has published its “No-Deal Readiness Report” detailing the UK’s preparedness ahead of Brexit on 31 October. The Report contains a section on financial services which, amongst other...