There has been published The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2014 (the Order) together with an explanatory memorandum.
The Order amends the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 (the RAO) to specify additional credit-related activities which are to be treated as regulated activities for the purposes of the Financial Services and Markets Act 2000 and to provide for exclusions from various regulated activities. Some of these exclusions replace the current exemptions for local authorities and insolvency practitioners.
The Order also makes provision for local authorities in two further respects:
- local authorities are only required to be authorised where they undertake credit-related activity that is within scope of the Consumer Credit Directive; and
- local authorities will be eligible for the lower cost ‘limited permission’ authorisation regime if carrying out unsecured lending.
The Order also makes certain consequential amendments to other primary and secondary legislation, including provision ensuring that the FCA can impose prohibitions and restrictions on credit activities undertaken by EEA authorised payment institutions and EEA electronic money issuers exercising passport rights in the UK.
The Order also provides for the FCA to undertake a review of the Consumer Credit Act 1974 (CCA). In the review, the FCA will consider whether the remaining provisions of the CCA could be replaced by rules or guidance made by the FCA.
View The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2014, 19 February 2014
View Explanatory Memorandum to The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2014, 19 February 2014
