i-law

Compliance Monitor

Consumer complaints ease, while PPI claims persist

Complaints to financial services firms from frustrated customers fell by 50,000 in the first half of 2013, compared to the last six months of 2012, to 2.9 million. This is a 15% drop. The highest percentage of complaint cases were closed in six..
Online Published Date:  07 November 2013

Cash savings market under scrutiny

The Financial Conduct Authority will examine whether competition is working effectively in the cash savings sector and whether consumers face obstacles in switching between accounts, including insufficient information. This market comprises 82% of..
Online Published Date:  07 November 2013

Room for improvement at unit-linked funds

The unit-linked funds sector presents “no material issues” but there are some “specific problems in individual firms,” identified a Financial Conduct Authority thematic review. More than £900 billion, mainly pension..
Online Published Date:  07 November 2013

Published warning notices won’t usually name individuals

After a strong response from the industry, the Financial Conduct Authority has tempered its proposals for the publication of warning notices. The regulator maintains in PS13/9 that it would normally be appropriate to publish details of a warning..
Online Published Date:  07 November 2013

Asset managers’ AML and ABC controls disappoint

Another thematic review, more dismal findings: the Financial Conduct Authority’s examination of AML and anti-bribery and corruption (ABC) controls at 22 asset management and platform firms, including some from major groups, is true to..
Online Published Date:  07 November 2013

Catalyst’s non-disclosure sparks searing staff fines

Catalyst Investment Group has been censured and three of its senior staff dealt hefty penalties by the Financial Conduct Authority because it recklessly misled investors when promoting ‘death bonds’. The firm is in default and so avoided..
Online Published Date:  07 November 2013

FCA puts “payday lenders on notice”

A year into its existence, the Financial Conduct Authority will take charge of consumer credit regulation from the Office of Fair Trading on 1 April 2014, and has set out its intended approach in consultation paper 13/10. Any firm or individual..
Online Published Date:  07 November 2013

Regulators exact $1bn for Rabobank’s egregious LIBOR misconduct

The Dutch firm Coöperatieve Centrale Raiffeisen-Boerenleenbank has settled with US, UK and Netherlands authorities to pay $1.06 billion for malpractice relating to LIBOR and other financial benchmarks. This includes the UK..
Online Published Date:  07 November 2013

FCA proposes regulatory fees for consumer credit firms

The Financial Conduct Authority’s consultation paper (CP13/14) on regulatory fees and levies for the 2014/15 year has set out how it proposes to treat consumer credit firms, which it will regulate from April next year. Both the..
Online Published Date:  07 November 2013

The CASS cash cow

Enforcement actions over breaches of client asset rules are a “steady little earner” for the regulator, comments Noline Matemera. She examines why firms keep failing to learn their lessons in this high-priority area. Last month saw..
Online Published Date:  07 November 2013

Full of sound and fury – but what does the PCBS report signify?

The Parliamentary Commission on Banking Standards’ report ‘Changing banking for good’, was meant to trigger a major review by the Government and the financial services supervisors of how the industry is regulated. Yet Adam Samuel..
Online Published Date:  07 November 2013

The watchdog’s double whammy

You’re staring down two loaded barrels, as the Financial Conduct Authority wields section 166 reports and attestations in combination, to hold firms and senior managers to account. Esther Martin speaks to Rob Moulton about the supervisory..
Online Published Date:  07 November 2013

Sanctions issues for Lloyd’s of London coverholders

Lloyd’s managing agents that delegate to coverholders must adroitly balance a proportional risk-based approach toward their sanctions liability, alongside commercial considerations. Richard Burger and Ben Nicholson report. Navigating the..
Online Published Date:  07 November 2013

Tougher consumer credit rules loom

With the transfer of consumer credit regulation imminent, the Financial Conduct Authority proposes more details of its approach. By Charlotte Hill and William Maycock. In early October, the Financial Conduct Authority published a new consultation..
Online Published Date:  07 November 2013

Settlements and sabre rattling

Threats of tough action from Canary Wharf, if financial services firms and individuals fail to meet their regulatory responsibilities, are nothing new. But in the Financial Conduct Authority’s determination to bring senior managers to book for..
Online Published Date:  07 November 2013

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