As part of the ring-fencing regime the FCA is required by law to make rules about information that a non-ring-fenced body (NRFB) must provide to individuals who hold an account with them, or apply to open an account. In July last year the FCA published Consultation Paper 15/23 containing draft rules for NRFBs.
The FCA has now published Policy Statement 16/9: Ring-fencing: Disclosure to consumers by non-ring-fenced bodies (PS16/9) which summarises the feedback it received to its earlier consultation and sets out near-final rules.
The publication of near-final rules is intended to give banks enough time to ensure that they are aware of their obligations before they implement their ring fencing transfer schemes. A Policy Statement containing the final rules is expected to be published later this year. However, the FCA states that they will not “bite on a bank” until the period immediately preceding its own structural separation, and the disclosure does not have to be sent until that bank expects to receive a declaration of eligibility from a customer.