| Link(s): | Highlights of the FCA’s approach in 2022 | FCA; Temporary permissions removed if firms failing to apply for authorisation | FCA |
Context
The FCA set out a three-year strategy in April 2022 designed to improve outcomes for consumers and markets.
Key points to note
The FCA’s strategy focuses on 3 areas – reducing and preventing serious harm, setting and testing higher standards, and promoting competition and positive change. In response to this strategy the FCA has:
- Removed or amended over 8000 potentially misleading adverts in 2022, 14 times more than in 2021
- Cancelled the authorisation of 201 firms for failing to meet minimum standards. This reflects the FCA’s increasingly data led and assertive approach, which enables the regulator to find and deal with problem firms and misleading adverts quickly.
In addition, the FCA has revoked the temporary permissions of Lyonnaise de Banque meaning that the firm can no longer conduct regulated activity in the UK. This is the first time that a firm in the Temporary Permissions Regime (TPR) has lost its permissions for missing its landing slot and failing to apply for authorisation in a timely manner.
At the start of the year, the FCA stated its expectations of firms in the TPR and that if they missed their landing slots, or do not apply by 31 December 2022, the FCA expects them to voluntarily cancel their temporary permissions. If this does not happen, the FCA will take swift action to cancel permissions as the TPR should only be used by firms who want to operate in the UK in the long-term and meet the standards to do so.
Next actions
None – for information and awareness.