Regulator clarifies that existing FCA rules will continue to apply but will also reflect the evolving landscape of financial promotions on social media. By Nicola Higgs, Stuart Davis, Fiona Maclean, Gabriel Lakeman, and Gary Whitehead On 17 July 2023, the FCA published a guidance consultation (GC23/2) relating to financial promotions on social media. Acknowledging that … Continue Reading
With the implementation deadline looming, the FCA has set out some additional guidance for firms. By Nicola Higgs, Becky Critchley, Effie Stathaki, and Charlotte Collins With one month to go until the Consumer Duty (Duty) implementation deadline of 31 July 2023 (for new and existing products and services that are open for sale or renewal), … Continue Reading
By David Berman, Nicola Higgs, Rob Moulton, and Beck Critchley With the Consumer Duty application date of 31 July 2023 fast approaching, this briefing reviews the ongoing obligations that apply to the boards of FCA-regulated firms under the Consumer Duty, including (1) embedding good customer outcomes, (2) ongoing monitoring, and (3) the annual assessment. Authored … Continue Reading
The FCA has published the findings from its review of firms’ fair value assessment frameworks and set out implementation priorities for firms. By David Berman, Nicola Higgs, Rob Moulton, Becky Critchley, and Charlotte Collins On 10 May 2023, the FCA published a speech by Sheldon Mills, FCA Executive Director, Consumers and Competition, on the countdown … Continue Reading
The Consumer Duty applies to firms that materially influence consumer outcomes. By Becky Critchley and Effie Stathaki The Consumer Duty (Duty) (as set out in the FCA’s Policy Statement PS22/9 and guidance document FG22/5) will come into force at the end of July 2023. The Duty applies across the distribution chain – namely, to all … Continue Reading
The Future Regulatory Framework and Consumer Duty will be key areas of focus for the coming year. By Rob Moulton, Nicola Higgs, David Berman, Becky Critchley, and Charlotte Collins On 5 April 2023, the FCA published its Business Plan for 2023/24. The Business Plan sets out a number of priority areas for the regulator, tied … Continue Reading
The letters ask senior management to prioritise implementing the Duty. By David Berman, Nicola Higgs, Rob Moulton, Becky Critchley, Ella McGinn, Jaime O’Connell, and Dianne Bell On 3 February 2023, the FCA published Dear CEO/Director letters underscoring the immediate (i.e., during the implementation period up until 31 July 2023) and longer-term expectations, priorities, and demands under the Consumer Duty. For further information, see Latham’s … Continue Reading
The FCA has reviewed firms’ progress to embed the Duty into their businesses, providing good and poor practice examples for firms to improve and direct their implementation work. By Nicola Higgs, Becky Critchley, Jaime O’Connell, and Dianne Bell The Consumer Duty (Duty) rules (as set out under the FCA’s Policy Paper (PS22/9) and guidance document FG22/5) come into force at … Continue Reading
Monitoring the progress of the Financial Services and Markets Bill and regulatory divergence between the UK and the EU will continue as a key theme in 2023. The Financial Services and Markets Bill leaves a significant amount of the essential regulatory detail to be developed later by HM Treasury (through regulations), followed by development of … Continue Reading
As the FCA’s remit continues to grow, the regulator pledges flexibility in the face of global financial and geopolitical headwinds. By Rob Moulton, Anne Mainwaring, Jaime O’Connell, and Dianne Bell On 7 April 2022, the FCA released its new Business Plan as part of a package including a three-year strategy document setting out the outcomes … Continue Reading
This annual publication outlines some of the primary focus areas in 2022 for UK-regulated financial services firms. There has been a marked shift away from dealing with immediate post-Brexit priorities to more fundamental consideration of the direction of travel of UK financial services regulation, and this is borne out across many of the topics covered … Continue Reading
FCA makes clear that it expects a cultural shift in how firms focus on consumers. By David Berman, Nicola Higgs, Rob Moulton, and Charlotte Collins On 7 December 2021, the FCA published its second Consultation Paper (CP21/36) on introducing a new Consumer Duty. This follows an earlier consultation in May 2021, which set out high-level … Continue Reading
The FCA is proposing to set higher expectations for firms operating in retail markets. By Andrea Monks, David Berman, Jon Holland and Charlotte Collins On 14 May 2021, the FCA published a Consultation Paper (CP21/13) on introducing a new Consumer Duty. This consultation is intended to fulfil the FCA’s new statutory obligation to consult on … Continue Reading
