On October 16, the UK Financial Services Authority (FSA) published a consultation paper entitled Journey to the FCA, regarding how its successor regulator the Financial Conduct Authority (FCA) will operate.
The issues addressed in the paper include the FCA’s proposed approach to:
- New powers and responsibilities, including powers relating to product governance and intervention, financial stability, market conduct and super-complaints;
- Its competition objective, including steps it will take to promote competition and to embed competition in its regulatory approach;
- Regulatory processes, including applications for authorization, threshold conditions, approved persons, changes in control, waivers and passporting; and
- Supervision of regulated firms, including details of its approach to supervision and categorization of firms and its approach to enforcement.
The consultation period ends on December 14, 2012.
In a linked development, on October 15, the FSA and the Bank of England issued a document setting out the proposed approach to banking supervision of the FSA’s successor regulator, the Prudential Regulation Authority.