The FCA has published its latest Handbook Notice (no. 40) describing the changes the FCA has made to its Handbook on 25 January 2017. The changes to the Handbook were made by the following instruments:

  • Handbook Administration (No.44) Instrument 2017;
  • Conduct of Business (Lifetime Mortgages) Instrument 2017;
  • Alternative Investment Fund Managers Directive (Reporting) Instrument 2017; and
  • Decision Procedure and Penalties Manual and Enforcement Guide (Review) Instrument 2017.

The Handbook Notice also sets out feedback on consultations that will not have a separate Policy Statement. The consultations covered are:

  • Quarterly Consultation No.14 – Minor changes to our equity release rules; and
  • Quarterly Consultation No.13 – Transparency reporting requirements for AIFMs.

The FCA also provides and update on the offshore bonds proposals that were set out in chapter 2 of Quarterly Consultation Paper 10. In summary, the FCA has concluded that it will not be possible post MiFID II for it to maintain a rule requiring suitability to be assessed in relation to the policyholder of an offshore bond. In view of this, the FCA is not taking forward any changes to its rules.

The Appendix to the Handbook Notice contains a key facts illustration for a lifetime mortgage.

View Handbook Notice No.40, 26 January 2017