Iain Hawthorn

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The Consumer Duty series: Post-Implementation Plan approval – Key issues for firms

In this episode, following the FCA’s interim 31st October deadline, Jonathan Herbst, Matthew Gregory, Joe Bamford and Iain Hawthorn focus on where firm’s should be now, and the key things they need to consider in taking forward their implementation plans for the new Consumer Duty. The discussion includes the steps that firms need to take … Continue Reading

FCA publishes policy statement on new Consumer Duty

On 27 July 2022, the FCA published Policy Statement 22/9 ‘A new Consumer Duty – Feedback to CP21/36 and final rules’ (PS22/9). This was accompanied by the FCA’s ‘Final non-Handbook Guidance for firms on the Consumer Duty’ (FG22/5). PS22/9 follows Consultation Papers 21/36 and 21/13 on the new Consumer Duty, which the FCA published in … Continue Reading

FCA publishes webpage on competency and capability of MLROs and heads of compliance

On 28 January, the FCA published a webpage where it set out its expectations regarding the competence and capability of MLROs and heads of compliance at authorised and registered firms. The FCA’s webpage contains a number of points that firms can use to determine whether or not an individual is suitable to perform the MLRO … Continue Reading

The future of the UK retail investment market: a post-Brexit and COVID-19 outlook

8 September 2021 | 08:50 AM – 09:30 AM BST In retail – the front line of the financial sector – things have moved on significantly since the start of the COVID-19 pandemic with the introduction of new technology and investment opportunities. With these changes new risks have emerged, increasing vulnerability among consumers – particularly younger consumers … Continue Reading

FOS board commission independent review

The commissioning of independent reviews is something the board of the Financial Ombudsman Service (FOS) undertakes periodically. On 23 July, the FOS website published a press release stating that another independent review had been commissioned into whether the FOS can continue to meet the needs of its customers, both businesses and consumers. The review will … Continue Reading

Good governance: lessons from the pandemic and key considerations as lockdown eases – recording now available

On 9 June we hosted the latest in our monthly briefing series, which focussed on good governance in a pandemic and post pandemic context. Within this, the session covered the following topics: Senior Managers and Certification Regime: How this has evolved through the pandemic FCA key areas of focus Governance hot topics Culture, diversity and … Continue Reading

Webinar | Good governance: lessons from the pandemic and key considerations as lockdown eases

Date: 9th June 2021 Time: 08:50am – 09:30am GMT The COVID-19 pandemic has led to many challenges for businesses, including large-scale remote working, staff lay-offs, increased use of online services and more vulnerable customers. In light of this, good governance has never been more important with company boards under close scrutiny from all stakeholders including … Continue Reading

Building your sustainable finance proposition: an initial checklist

On 1 July 2020, the Prudential Regulation Authority (PRA) published a “Dear CEO letter”, which stated that firms (i.e. UK-incorporated entities) need to have fully embedded their approaches to managing climate related financial risks by the end of 2021.  The end of 2021 deadline represents more than two and a half years since the PRA … Continue Reading

Regulation Tomorrow Plus – The Conduct Healthcheck

The first episode of our new spin-off podcast – Regulation Tomorrow Plus – is out now. Regulation Tomorrow Plus will be released outside of the usual monthly schedule for the Regulation Tomorrow Podcast, and will be reacting to a single issue, piece of news or publication in as timely a manner as possible. These episodes … Continue Reading

Conduct Healthcheck | Find out more in our latest video

Last week our Risk Consulting team launched the Conduct Healthcheck, a new product which will provide retail financial institutions with practical insights, analysis and guidance, helping them to navigate the conduct challenges and risks they are facing in respect of the pandemic. To find out more about the Conduct Healthcheck, watch our short video in which … Continue Reading

Conduct Healthcheck | Take our questionnaire

The global pandemic has brought the importance of good conduct and fair customer outcomes firmly into the spotlight. Whilst this principle is clear, how to interpret it effectively across different sectors, customer service arrangements and delivery models can be challenging. Businesses have also had to rapidly adapt to the broad and growing range of guidance … Continue Reading

October 40 Minute Briefing recording – Learning lessons: Proactive governance in the autumn

The recording from the October 40 Minute Briefing, Learning lessons: Proactive governance in the autumn, is now available here. In the October edition of the webinar we focussed on “lessons learned” reviews, examining how such reviews can be successfully conducted so that they are valuable exercises. The webinar also considered skilled persons reviews, focussing in … Continue Reading

Hot topics in risk and regulation: Consumer vulnerability in retail finance services

In this new video series, our Risk Consulting team provide their insights on hot topics in the world of risk and regulation. In the first video John Coley and Iain Hawthorn discuss consumer vulnerability in retail financial services, a topic which has been brought into even sharper focus with the onset of the COVID-19 pandemic.… Continue Reading

Risk Consulting Hot Topic Series: Retail conduct and Fair Customer Treatment

The COVID-19 pandemic has impacted the lives of every individual across the country and brought the fair treatment of customers into even sharper focus. As the virus began to unfold, the regulator took swift action to publish various guidance outlining its expectations as to how firms should treat customers who are impacted by it to … Continue Reading

‘Messages from the Engine Room’ 5 Conduct Questions – Industry Feedback for 2019/20 Wholesale Banking Supervision

On 4 September 2020, the FCA issued its 2019/20 report covering engagement work for the 5 Conduct Questions Programme. Due to prioritising COVID-19 work, the FCA is publishing the report later than usual. This latest report reflects the FCA’s widening engagement. It hosted conduct roundtable sessions with 18 wholesale banks, each represented by a group … Continue Reading

SI delaying the deadline for solo-regulated firms to undertake their first assessment of the fitness and propriety of certified persons

On 2 September 2020, there was published on legislation.gov.uk The Bank of England and Financial Services Act 2016 (Commencement No. 6 and Transitional Provisions) (Amendment) Regulations 2020. The statutory instrument amends the Bank of England and Financial Services Act 2016 (Commencement No. 6 and Transitional Provisions) Regulations 2019 (the 2019 Regulations) as follows: Regulation 2(2) … Continue Reading

PRA Dear CEO letter: Temporary Permissions Regime – Operational Readiness

On 1 September 2020, the Prudential Regulation Authority (PRA) published a Dear CEO letter from Sam Woods, Deputy Governor and CEO of the PRA to remind firms to be operationally ready for the Temporary Permissions Regime (TPR). The TPR is due take effect at 11pm on Thursday 31 December 2020, which is the point at … Continue Reading

COVID-19: FCA extends submission deadline for complaints returns

On 28 August 2020, the Financial Conduct Authority (FCA) published an update to its webpage focused on changes to regulatory reporting during the COVID-19 pandemic. The FCA has permitted extensions to complaints data returns in relation to the 31 August 2020 deadline required by the Dispute Resolution: Complaints Sourcebook (DISP) rule DISP 1.10A.3R(1). The FCA … Continue Reading

New Bank of England webpage on the Temporary Permissions Regime

On 1 September 2020, the Bank of England (BoE) published a new webpage, which summarises its approach to the Temporary Permissions Regime (TPR). On this new webpage the BoE has confirmed the following: Firms that have submitted a valid Notification or Part 4A application (and not withdrawn) will automatically enter the TPR. Where a firm … Continue Reading

Working Group’s recommendations on conventions for referencing compounded in arrears SONIA

On 1 September 2020, the Working Group on Sterling Risk-Free Reference Rates published a statement outlining recommendations on conventions to support the use of Sterling Overnight Index Average (SONIA) in loan markets for Sterling Bilateral and Syndicated Facilities, including Multicurrency Syndicated Facilities where there is a sterling currency option. The recommendations are intended to support … Continue Reading

COVID-19: PRA ends temporary approach to value-at-risk back-testing exceptions

On 27 August 2020, the Prudential Regulation Authority (PRA) published a statement setting out its decision to terminate its temporary approach to value-at-risk (VAR) back-testing exceptions from 30 September 2020. This statement follows the PRA’s review of the temporary approach that allowed firms to offset increases due to new back-testing exceptions through a commensurate reduction … Continue Reading

COVID-19: ESMA to update risk parameters in guidelines on stress test scenarios under the Money Market Funds Regulation

On 27 August, the European Securities and Markets Authority (ESMA) published a statement announcing that it intends to update the 2019 Guidelines on stress test scenarios under the Money Market Funds Regulation (MMFR) to include a modification of the risk parameters to reflect recent market developments related to the COVID-19 crisis. ESMA has assessed whether … Continue Reading