On 27 March 2018, the FCA published Policy Statement 18/17: Staff incentives, remuneration and performance management in consumer credit (PS18/17). In PS18/7 the FCA provides its response to the feedback it received to Consultation Paper 17/20: Staff incentives, remuneration and performance management in consumer credit. It also publishes the final rules for consumer credit firms.  The FCA reports that a large majority of responses supported the proposals in its consultation and therefore the final rules, guidance and non-Handbook guidance (see below) only contains minor amendments.

The FCA has also finalised and separately published the non-Handbook guidance that formed part of the consultation (Finalised Guidance 18/2: Staff incentives, remuneration and performance management in consumer credit firms).

Consumer credit firms should ensure that their business is compliant with the new rules and guidance before 1 October 2018. At a later date the FCA may undertake separate work to review how consumer credit firms have responded to the new rules and guidance.