The Financial Conduct Authority (FCA) has published its near final rules on the extension of the senior managers and certification regime (SM&CR) to almost all regulated firms so that firms can understand what steps they need to take to prepare for its implementation
The FCA says it does not expect to make any significant changes to the near-final rules, which replace and extend the current approved persons regime, changing how individuals working in financial services are regulated.
The regulator has also announced it plans to publish a new financial services directory, providing public information in one place.
Jonathan Davidson, executive director of supervision (retail and authorisations) at the FCA, said: ‘We’ve listened to feedback from firms and consumers about the importance of being able to check the status of financial services staff. Introducing the directory will make it easier for people to be confident they can find the right people to deal with.
‘The senior managers and certification regime sets clear standards for the conduct that consumers and regulators expect from all financial services staff. These standards of behaviour are central to the FCA’s priority of promoting healthy cultures in firms.’
The SM&CR currently applies to banking firms and, following the Bank of England and Financial Services Act 2016, is now being extended to FCA solo-regulated firms.
The Treasury has decided that the regime for solo-regulated firms will commence on 9 December 2019.
The SM&CR also applies to deposit takers and, following the Bank of England and Financial Services Act 2016, is now being extended to insurers. Firms should start preparing for commencement on 10 December 2018.
The Senior Managers and Certification Regime: Guide for FCA solo-regulated firms is here.
The Senior Managers and Certification Regime: Guide for insurers is here.
Report by Pat Sweet
