Beyond SMFs and Certification, the consultations explore ways to make the overall SMCR less burdensome.
Key Proposals
- Thresholds for Enhanced SMCR scope will increase, so fewer firms fall into this most highly regulated category, reflecting inflation and market changes.
- Revised Management Responsibilities Maps (MRMs): Submission deadlines extended, processes made more proportionate, and timelines allowed to be more flexible.
- Directory reporting: Longer timeframes for updates, clearer guidance on what must be reported.
- Conduct rules under review: Possible removal of some of the legislative prescription, but conduct standards will remain.
- MRM, SoR, and Conduct Rules: Potential future reforms could further lighten administrative load, streamline submissions, and simplify obligations where risks are lower.
Other Notable Changes
- Work is underway to simplify Prescribed Responsibilities and further tailoring the approach to limited scope (smaller) firms.
- Parallel reviews and tweaks reflect a desire for SMCR outcomes without needless duplication or ‘one size fits all’ rules.
Summary for Firms
Larger firms may see a lighter touch for some aspects, while smaller firms may finally enjoy rules truly tailored to size and complexity. Getting ahead means refreshing your internal governance and SMCR mapping now — our specialist support is available for this.
