The FCA and PRA have announced proposed rules to improve diversity and inclusion in firms will be axed, whilst the FCA issued a further update confirming plans to increase the transparency of enforcement investigations are to be dropped.
FCA Compliance
Firms not doing enough to monitor outcomes and take action to deliver for vulnerable customers, according to FCA report
In a review which examined how firms support customers in vulnerable circumstances, the FCA noted many firms were unable to monitor or act on outcomes for customers and had failed to make sufficient progress on product and service design and training front-line staff.
FCA encourages vulnerable customers to open up to firms to get the right support
The FCA has called on vulnerable customers to open up to firms about their needs so they can receive appropriate support after research commissioned by the regulator revealed only 4 in 10 vulnerable customers disclosed their needs to their financial services provider.
Number of whistleblowing reports to FCA fell in final quarter of 2024
Quarterly FCA whistleblowing data reveals the number of reports received by the regulator in Q4 2024 decreased compared with the previous quarter, but increased compared to the same period in 2023.
FCA bans fraudulent broker who caused client firm to collapse
In a case that serves as stark reminder of the devastating impact of fraud, the FCA has banned David Robert Cooke, former director at Professional Construction Risks Limited, from working in financial services after he committed insurance fraud that led to the collapse of a commercial client’s firm.
FCA scraps Consumer Duty Board Champion requirement as it vows to slow ‘pace of regulatory change’
Following increased scrutiny on the FCA by the government to boost UK economic growth and competition, FCA Nikhil Rathi stated that the regulator is ‘willing to be bold’ in its approach as it looks to cut regulatory burdens and slow the pace of regulatory change.
FCA publishes Research Note exploring the value of explaining AI outputs to consumers
The FCA has published a Research note following an exploration of the relative efficacy of different models for explaining AI outputs to consumers in the context of using AI to determine consumer creditworthiness.
The FCA's approach to Financial Crime: Key considerations for firms
In November 2024, the FCA published a Policy Statement introducing changes to its Financial Crime Guide. It also published Handbook Notice 124, which sets out specific sections in the Guide which were updated. In this article, UKGI Compliance’s Alastair Haughton sets out the changes to the Guide, what they relate to, and key considerations for firms.
FCA publishes 2024 financial promotions data
Almost 20,000 financial promotions were withdrawn or amended in 2024 following FCA intervention—nearly double the number recorded in 2023, highlighting increased regulatory scrutiny over financial promotions and advertisements within the financial services sector.