Welcome to the UKGI weekly regulation update service for Aviva ABC brokers

Link(s):Consumer Duty: The next steps - FCA Webinars Context The Consumer Duty came into force on 31 July 2023, setting a higher standard of consumer protection in financial services.  The FCA hosting a webinar on 6th December 2023 to help firms understand its...

Link(s):N/A Context We are aware that the FCA has started to write to Principal firms in relation to overseas ARs, and that the FCA had written to the London & International Insurance Brokers’ Association (LIIBA) in relation to actions the FCA is proposing to take...

Link(s):Review of rules extending SME access to the Financial Ombudsman Service | FCA FS23/5: Review of rules extending SME access to the Financial Ombudsman Service | FCA FS23/5: Findings of review of rules extending SME access to the Financial Ombudsman Service...

Link(s):Collaborate to compete: why we must all embrace a growth mindset | FCA Context The FCA has published a speech by Nikhil Rathi, FCA Chief Executive, titled “Collaborate to compete: why we must all embrace a growth mindset” Key points to note Key points made in...

Link(s):The deterrence effects of the Financial Conduct Authority's authorisations activities (fca.org.uk) Context The FCA has published a report, written for the FCA, from London Economics about the deterrence effect of the FCA’s authorisation activities (its...

Link(s):Complaints data | FCA    About our complaints data | FCA    Aggregate complaints data: 2023 H1 | FCA    Firm specific complaints data | FCA Opened complaints | FCA    Closed complaints | FCA    Complaints upheld | FCA    Redress paid | FCA Context The FCA has...

Link(s):Skilled person reviews | FCA Number of skilled persons reports commissioned in Q1 2023/24 (April – June 2023) (fca.org.uk) Number of skilled persons reports commissioned in Q2 2023/24 (July – September 2023) (fca.org.uk) Context The FCA has published a web...

Link(s):https://www.fca.org.uk/data/whistleblowing-quarterly-data-2023-q2 Context The data shows the number of new whistleblowing reports the FCA received between April and June 2023 and how the information was received. Key points to note In 2023 Q2 (April – June),...

Link(s):https://www.fca.org.uk/news/press-releases/fca-censures-london-capital-finance-plc https://www.fca.org.uk/publication/final-notices/london-capital-and-finance-plc-2023.pdf Context The Financial Conduct Authority (FCA) has censured London Capital & Finance...

Link(s):https://www.fca.org.uk/news/press-releases/equifax-ltd-fine-cyber-security-breach https://www.fca.org.uk/publication/final-notices/equifax-limited-2023.pdf Context The FCA has fined Equifax Ltd (Equifax) £11,164,400 for failing to manage and monitor the...

Link(s):FCA decides to fine and ban James Staley | FCA Context The FCA has decided to fine former CEO of Barclays, James Staley, £1.8 million and ban him from holding a senior management or significant influence function in the financial services industry.  The FCA...

Link(s):How we are making form filling easier for applicants | FCA Context In a blog by Emily Shepherd, FCA Authorisations Chief Operating Officer and Executive Director, she explains that for firms to gain authorisation or registration, applicants must fill out the...

Link(s):AI: Flipping the coin in financial services | FCA Context The FCA has published a speech, delivered by Jessica Rusu, FCA Chief Data, Information and Intelligence Officer, at the City and Financial Global AI Regulation Summit 2023.  Titled “AI: Flipping...

Link(s):Review of terminal illness benefits within life insurance protection products | FCA Context The FCA has published the results of a review it has conducted into insurance companies’ approaches to terminal illness benefits, and has made recommendations for...

Link(s):Changes to application forms accessed via Connect | FCA Context The FCA has launched the new Form A to the subset of firms which have been helping the FCA to test it, and the FCA will begin rolling the new Form out to more firms this week.  The...

Link(s):Improving the Appointed Representatives regime through greater use of data | FCA Context The FCA set out its commitment to improving the AR regime within its Business Plan and Strategy and, in December 2022, introduced rules and guidance to improve how...

Link(s):Handbook Notice 112 (fca.org.uk) Context This Handbook Notice describes the changes to the FCA Handbook and other material made by the FCA Board under its legislative and other statutory powers on 28th September 2023. Key points to note The only significant...

Link(s):FCA takes action against Darren Reynolds and Andrew Deeney of Active Wealth for dishonest pension transfer advice | FCADecision Notice 2023: Darren Antony Reynolds (fca.org.uk)Final Notice 2023: Andrew John Deeney (fca.org.uk) Context The FCA has decided to...

Link(s):CP23/21: Consumer credit – Product Sales Data Reporting | FCACP23/21: Consumer Credit – Product Sales Data Reporting (fca.org.uk) Context This new FAC requirement will be relevant to any Insurance Intermediaries that provides its own lending facilities for...

Link(s):The FCA and PRA propose measures to boost diversity and inclusion in financial services   | FCA CP23/20: Diversity and inclusion in the financial sector – working together to drive change | FCA Context The FCA has published a consultation paper, the aim of...

Link(s):Financial Resilience Survey | FCA Context The FCA has updated its Financial Resilience Survey web page to indicate that it is to issue another round of surveys. Key points to note The FCA is asking a number of firms to complete the survey, which helps the FCA...

Link(s):Personal and commercial lines insurance portfolio letter: insurance market priorities 2023-2025 (fca.org.uk) Wholesale insurance portfolio letter: insurance market priorities 2023-2025 (fca.org.uk) Context The FCA has set out its priorities for the insurance...

Link(s):FCA calls on insurers to take action as it publishes latest fair value data | FCA General insurance value measures data 2022 | FCA gi-value-measures-data-2022.xlsx (live.com) Context In the FCA’s latest data, and from its ongoing interactions with firms, there...

Link(s):The post-Brexit Handbook: a collective opportunity | FCA Repeal and replacement of retained EU law | FCA Context The FCA and other regulators have been given the ability to set out what a UK financial services rulebook outside of the EU is going to look like....

Link(s):Improving Form A: video transcript (fca.org.uk) Context The FCA has published a transcript of a video talking about the improvements the FCA is making to the Form A. Key points to note The transcript sets out the main changes that are being made, including a...

Link(s):FCA RegData : Login Context The FCA is aware some users’ period end dates are incorrect. The reports have been incorrectly scheduled with the period end 28/08/2023 instead of 31/08/2023, the FCA are looking to implement a fix as soon as possible. Also Data...

Link(s):New screening checks required to approve financial adverts | FCA PS23:/13: Introducing a gateway for firms who (fca.org.uk) PS23/13: Introducing a gateway for firms who approve financial promotions | FCA Context The FCA is introducing new screening checks for...

Link(s):Sanctions systems and controls: firms’ response to increased sanctions due to Russia’s invasion of Ukraine | FCA Context The FCA has published a new webpage – Sanctions systems and controls: firms’ response to increased sanctions due to Russia’s invasion of...

Link(s):CP23/19: Future Regulatory Framework - The Insurance Distribution Directive | FCACP23/19: Future Regulatory Framework The Insurance Distribution Directive (fca.org.uk) Context The UK fully implemented the Insurance Distribution Directive (IDD) in 2018. Most of...

Link(s):CP23/18: Quarterly Consultation Paper No. 41 | FCACP23/18: Quarterly Consultation Paper No. 41 (fca.org.uk) Context Once a quarter, the FCA consults on proposed miscellaneous amendments to its Handbook. Key points to note Changes to the employers’ liability...

Link(s):Calibrating controls to build confident markets | FCA Context Speech by Sarah Pritchard, FCA Executive Director of Markets and International, which focuses on financial crime and why it is a key focus of the FCA.  While the speech is primarily focused on...

Link(s):FCA launches review of treatment of Politically Exposed Persons | FCA Context FCA has set out issues it will consider as part of a review of the treatment of domestic Politically Exposed Persons (PEPs) by financial services firms.  Key points to note The FCA’s...

Link(s):Wider Implications Framework issues log – March 2023 (fca.org.uk)Terms of Reference for the Wider Implications Framework (fca.org.uk) Context The FCA has published its updated Wider Implication Framework and Issues as of March 2023. The FCA, through the...

Link(s):Direct Line to carry out a past business review relating to the FCA's pricing rules | FCA Context Direct Line Group has agreed a voluntary requirement having charged some existing home and motor customers more for their renewal than they would have...

Link(s):Inside FCA Podcast: Fighting fraud and financial crime | FCA Inside FCA Podcast transcript: Interview with Emad Aladhal on fighting fraud and financial crime Context The FCA has published a podcast interview and a transcript with Ozge Ibrahim and Emad Aladhal....

Link(s):Verex Insurance Services Limited enters administration | FCA Context Verex Insurance Services Limited (Verex) is an insurance broker that sold motor insurance products from a range of insurers. The Directors of the company applied to place the firm in...

Link(s):We invite Politically Exposed Persons to share their experiences | FCALetter to MPs, peers and other interested parties (fca.org.uk) Context The FCA is currently reviewing how financial services firms have applied the PEPs regime and whether changes to its...

Link(s):Helping firms provide more support to customers making investment decisions | FCA Context The Government announced in 2022, plans to fundamentally review how the boundary between advice and guidance on investments is operating. This review will be carried out...

Link(s):FCA Authorisations operating service metrics 2023/24 Q1 | FCAAuthorisations operating service metrics 2023/24 Q1 (fca.org.uk) Context The FCA has published its authorisations metrics covering the period from April to June 2023. Key points to note The data...

Link(s):Financial promotions quarterly data 2023 Q2 | FCA Context The FCA has published a summary of data generated between 1 April 2023 and 30 June 2023 from its actions against firms breaching financial promotion rules, and referrals and investigations into...

Link(s):The retail intermediary market data 2022 | FCARetail intermediary market interactive analysis 2022 | FCAretail-intermediary-market-2022-underlying-data.xlsx Context Each year (since 2016) the FCA publishes the information firms have provided about their...

Link(s):Consumer Duty – information for firms | FCA Context The FCA has updated its ‘Consumer Duty – information for firms’ page to remind firms about data protection law and customer communications.  Under the Consumer Understanding outcome, the FCA expects...

Link(s):Consumer Duty sets higher standards for financial services customers | FCA Context The FCA has published a brief web page, apparently customer-focussed, announcing the new Consumer Duty. Key points to note Alongside the new Consumer Duty page, the FCA has also...

Link(s):Handbook Notice 111 (fca.org.uk) Context Handbook Notice 111 has been published, confirming a number of updates to the Handbook. Key points to note SUP 16.30, and SUP 16 Annex 54G, have been updated to come into force on 1st January, introducing the new FIN073...

Link(s):Regulators finalise clearer, more transparent Complaints Scheme | FCAPS23/12: Complaints against the Regulators | FCAComplain about us, the PRA or the Bank of England (the regulators) | FCA Context The FCA, the Prudential Regulation Authority (PRA) and the...

Link(s):Financial Lives 2022 survey - Key findings from the May 2022 survey: Executive summary | FCA Financial Lives survey highlights importance of the FCA’s Consumer Duty | FCA Context Approximately every 2 years, the FCA conduct a survey which is designed to...

Link(s):Changes to application forms accessed via Connect | FCA Context The FCA has published a webpage that describes the changes being made to the Form A in more detail. The FCA intend to make changes to other application forms once their work on Form A is...

Link(s):Our Annual Report and Accounts 2022/23 | FCA Context The FCA has announced the publication of its 2022/23 Annual Report and Accounts, alongside a raft of associated documents and reports.  The Annual Report and Accounts sets out the FCA’s progress in the...

Link(s):Our Perimeter Report | FCA Context The FCA’s perimeter sets out what it does and doesn’t regulate. This latest Perimeter Report describes specific issues the FCA sees around the perimeter and action it is taking in response.  The report is detailed in...

Link(s):MCE Insurance Limited enters administration | FCA MCE Insurance - Sabre Insurance Company Ltd Context It has been confirmed that Motorbike broking specialist, MCE Insurance Limited were placed into administration on 17th July 2023. Key points to note MCE...

Link(s):Professional indemnity insurance | FCA Context The FCA has published a reminder to Principal firms in relation to including their ARs under their PII policies.  Professional indemnity insurance is liability insurance that covers firms when a third-party...

Link(s):Social media guidance set for revamp | FCA Context The FCA’s press release introduces proposals for new social media guidance (Guidance Consultation GC 23/2) to modernise the information firms should use when promoting financial products and services...

Link(s):Regulatory Initiatives Grid – Update from the co-chairs July 2023 (fca.org.uk) Context The FCA has updated its web page in relation to the Regulatory Initiatives Grid, and has published a brief update from the co-Chairs Nikhil Rathi (FCA CEO) and Sam Woods...

Link(s):Repeal and replacement of retained EU law | FCA Context The FCA has published a web page outlining its approach to the repeal and replacement, under the Financial Services and Markets Act 2023, of retained EU law with its rules, including commentary on key...

Link(s):Our Rule Review Framework | FCA Context Linked to the published details in relation to the repeal and replacement of retained EU law with its rules, the FCA has published a web page a new Rule Review Framework.  The Framework includes an Annex. Key points...

Link(s):FS23/4: Potential competition impacts of Big Tech entry and expansion in retail financial services  | FCA Context The FCA has published a Feedback Statement FS23/4 in relation to the competition impact of Big Tech entry and expansion in the retail...

Context The FCA has commenced a second wave of product oversight and governance thematic review work to understand whether the product reviews, including fair value assessments and product distribution reviews, are being undertaken in line with the FCA’s expectations...

Link(s):Regulatory hosting services | FCA How to report Appointed Representatives data – information for principal firms | FCA Context The FCA has published two new web pages in relation to ARs, one of which provides information for Principal firms operating as...

Context The FCA has written to Principal firms in relation to their PII cover, setting out its requirements for the inclusion of a Principal firm’s ARs within the PII contract terms.  The FCA confirms that it has increased its engagement with Principal firms and...

Link(s):FSCS Levy Calculation Notes 2023/24 Final Rates (fca.org.uk) Context The FCA has published a Calculation Notes document in relation to the 2023/24 FSCS levy rates. Key points to note Following its Policy Statement PS23/10 confirming the regulatory fees &...

Link(s):Changes to FCA Firm Reference Numbers (FRNs) and Product Reference Numbers (PRNs) | FCA Context The FCA has confirmed to the Association of Professional Compliance Consultants that it is likely to reach the six-digit limit (999999) for FRNs and Product...

Link(s):PS23/10: FCA regulated fees and levies 2023/24: with feedback on CP23/07 and ‘made rules Context The FCA has published its Policy Statement confirming the regulatory fees & levies for 2023/24. Key points to note The FCA’s total Annual Funding...