The FCA has published Consultation Paper 16/32: Handbook changes to reflect the introduction of the Lifetime ISA (CP16/32).
In CP16/32 the FCA sets out its proposed approach to regulating the promotion and distribution of the Lifetime Individual Savings Account (LISA) which was announced in the March 2016 Budget. The Government expects the LISA to be available to investors by April 2017.
The FCA’s proposed approach to regulating the promotion and distribution of the LISA seeks to address the risks that it may present to its objectives – particularly its consumer protection objective. The FCA categorises these risks under five broad headings: complexity, contributions, investments, access and tax. The FCA proposes addressing these risks via an ‘enhanced ISA’ approach – this is, by amending its current Handbook requirements as they relate to ISAs in respect of communications, information disclosures, cancellation rights and client assets.
The deadline for comments on CP16/32 is 25 January 2017.
View FCA consults on Handbook changes to reflect Lifetime ISA introduction, 16 November 2016