Two years ago the FCA issued a statement regarding its supervisory intentions concerning whether an individual in charge of a firm’s legal function required approval under the Senior Managers’ and Certification Regime (SM&CR). Specifically, the statement was in response to firms asking the regulator how Senior Management Function 18 – Other Overall Responsibilities (SMF18) applies … Continue Reading
On 23 January 2019, the FCA published Consultation Paper 19/4 (CP19/4), ‘Optimising the Senior Managers & Certification Regime (SM&CR) and feedback to DP16/4 – Overall responsibility and the legal function’. CP19/4 should be read by firms subject to the banking SM&CR; insurers; FCA solo-regulated firms authorised under FSMA; and EEA and third country branches. The … Continue Reading
On 11 October 2018, the FCA published a guidance consultation relating to the senior managers’ and certification regime (SMCR). The guidance consultation concerns statements of responsibilities and responsibilities maps for FCA firms. The guidance sets out the purpose of statement of responsibilities and responsibilities maps, provides some questions for firms to ask themselves and outlines … Continue Reading
Today, the FCA published the long-awaited near final rules on the extension of the SMCR to those firms regulated by the FCA only: PS18/14 – Extending the Senior Managers and Certification Regime to FCA firms The Senior Managers and Certification Regime: Guide for FCA solo-regulated firms PS18/15 – Extending the Senior Managers and Certification Regime … Continue Reading
The FCA has published Consultation Paper 17/42: The Duty of Responsibility for insurers and FCA solo-regulated firms (CP17/42). In CP17/42 the FCA consults on extending the duty of responsibility (that already applies to firms currently subject to the Senior Managers and Certification Regime (SM&CR)) to FCA solo-regulated firms and insurance and reinsurance firms. In CP17/42 … Continue Reading
In July 2017, the FCA published a Consultation Paper in which it proposed changes that would extend the senior managers and certification regime (SM&CR) to FCA solo-regulated firms (our blog is here). At the time of this consultation the FCA stated that it would separately consult on the operational aspects of the new regime, including … Continue Reading
On 26 July 2017, the FCA published Consultation Paper 17/25: Individual accountability: Extending the Senior Manager & Certification Regime (SM&CR) regime to all FCA firms (CP17/25).… Continue Reading
A new client briefing note concerning the extension of the senior managers’ regime is now available. If you would like a copy please contact Charlotte Henry.… Continue Reading
The PRA has published Policy Statement 24/17: Strengthening accountability in banking: changes to SMR forms (PS24/17). In PS24/17 the PRA provides feedback to the responses to chapter 4 of Consultation Paper 8/17: Strengthening accountability in banking and insurance: optimisations to the SIMR, and changes to SMR forms (CP8/17). In CP8/17 the PRA proposed a number … Continue Reading
Introduction The FCA has published two consultation papers extending the senior managers and certification regime which is already in place in the banking sector. The consultation papers are: Consultation Paper 17/25: Individual accountability – extending the senior managers and certification regime to all FCA firms (CP17/25); and Consultation Paper 17/26: Individual accountability: extending the senior … Continue Reading
An important part of the FCA’s Asset Management Market Study are the proposals that seek to strengthen the requirements on senior managers of an authorised fund manager (AFM). Key among these proposals is an extension of the senior managers’ regime (SMR) to certain AFM board members. Respondents to the FCA’s November 2016 interim report suggested … Continue Reading
On 3 May 2017, the financial services team held its latest 40 minute briefing – Senior Managers’ Regime: Extension, Proportionality and Lessons Learnt. The briefing covered: Who will the extension apply to? Latest thinking from the regulator on proportionality Lessons learnt from the banking sector’s experience with implementing the regime – financial services law matters … Continue Reading
The FCA has updated its web page on the Senior Managers and Certification Regime by stating that it intends to consult on the extension of the regime to all FSMA authorised firms during Q2 2017. View FCA web page – Senior Managers and Certification Regime, 23 February 2017… Continue Reading
Both the PRA and the FCA have published a number of policy papers updating the Senior Managers’ Regime (SMR), Certification Regime (CR) and Conduct Rules. The following is a summary. PRA – Regulatory references The PRA has published Policy Statement 27/16: Strengthening accountability in banking and insurance: PRA requirements on regulatory references (part II) (PS27/16). … Continue Reading
We have published a short video on the senior managers’ regime and its impact on non-executive directors. The video can be viewed here… Continue Reading
The British Bankers’ Association (BBA) and the Association for Financial Markets in Europe (AFME) have published a joint letter that they have sent to the FCA on the application of the senior managers’ regime (SMR) to individuals with overall responsibility for the legal function in banks. The BBA and AFME are concerned that if the … Continue Reading
The implementation of the Senior Managers and Senior Insurance Managers regimes occurs on 7 March. The PRA has updated its webpage on these regimes noting that if a firm: has submitted its grandfathering notification, received an automated response confirming receipt of their submission, and have not heard more from the FCA and/or the PRA this … Continue Reading
Overview The Senior Managers Regime comes into force on 7 March 2016. One element of the Senior Managers Regime is regulatory references, as recommended by The Fair and Effective Markets Review (FEMR) to “help firms prevent the ‘recycling’ of individuals with poor conduct records between firms”. This article sets out the current rules relating to … Continue Reading
We have published a new briefing note which looks at some of the changes brought about to the Senior Managers’ and Certification Regimes by the Bank of England and Financial Services Bill. Specifically, the briefing note looks at: extension of the regime; removal of the presumption of responsibility and the reversal of the burden of … Continue Reading
The FCA has published a short statement following the HM Treasury announcement that it plans to make changes to the Senior Managers’ and Certification Regime, which was introduced by the Financial Services (Banking Reform) Act 2013. Tracey McDermott, acting chief executive of the FCA, said: “Extending the Senior Managers’ and Certification Regime is an important … Continue Reading
HM Treasury has published a policy paper entitled Senior Managers’ and Certification Regime: extension to all FSMA authorised persons. In the policy paper the UK Government proposes to extend the senior managers regime, certification regime and new conduct rules to all authorised financial services firms including mortgage brokers and consumer credit firms. Chapter 4 of … Continue Reading
The PRA and FCA have issued a joint consultation paper on amendments to a number of forms relating to the new Senior Managers’ Regime (SMR), Senior Insurance Managers’ Regime and other forms used in the current approved persons regime. The proposed changes to the forms alter the questions to ensure the regulators only require necessary … Continue Reading
