United Kingdom (and EU regulation)

FCA Regulation Roundup – update on SMR and AR applications and switching off fsa.gov.uk redirects

By Simon Lovegrove (UK) on September 17, 2021 Posted in FCA / PRA Handbook, United Kingdom

On 16 September 2021, the FCA published its latest Regulation Round-up.

Among other things the Regulation Round-up provides an update on:

Senior Manager Regime (SMR) and Appointed Representative (AR) applications. The FCA mentions its earlier communication in December about delays in determining SMR and Significant Influence Function (SIF) applications, following the large volume of applications received before the extension of the Senior Managers and Certification Regime (SM&CR). In addition, in Q1 2021 the FCA received significantly higher volumes of applications than it forecast and apologises to applicants whose applications are delayed. The FCA also explains that applications to hold a controlled function at an AR that are both routine and non-routine are dealt with by the same FCA teams that handle SMR applications. To help the FCA process the application as quickly as possible firms are reminded that they should: (i) check their application before submission to ensure that it has been completed in full; (ii) remember that for SMR applications they must complete a Disclosure & Barring Service check before submission; (iii) make sure they have conducted and included all appropriate due diligence checks, including regulatory references before submitting a candidate; and (iv) respond promptly and fully if the FCA contacts them seeking further information about a submitted application.
Changes to the AR notification process. From 16 September 2021, Principal firms submitting AR notifications via Connect will be required to submit an accompanying Form A, individual application (CF1 AR) and/or (CF 30 AR) simultaneously. The amended process will combine Add AR notifications with the requirement for firms to submit a Form A application. This will allow the FCA to integrate both assessments simultaneously, those being the suitability of the ARs and the fitness and propriety / overall regulatory conduct of the individual. Exemptions to the process include Introducer AR notifications, Changes to ARs and Sole Trader notifications.
Redirect links from fsa.gov.uk to fca.org.uk. After 8 years the gov.uk redirects are due to be switched off on 1 October 2021 as part of decommissioning. Ahead of this, firms should review any links they have to fsa.gov.uk and update them to the relevant fca.org.uk links.