With lots of information coming out from from the latest FCA announcement we have looked at the Myths and Facts to make it a bit clearer for you and your team.
Myth: The Certification Regime is being scrapped, so firms can ignore it.
Fact: Government proposes to take it out of law, but the FCA/PRA will replace what is current in law with new, possibly less onerous rules in their rulebooks. For now, Certification, is here to stay, and the principle of keeping key people being ‘fit and proper’ and competent to perform their role is not going away.
Myth: SMCR is being watered down.
Fact: The core aims of individual accountability and high conduct standards remain. Some requirements will be more flexible, but regulators’ enforcement powers are not changing.
Myth: Timelines are getting much looser.
Fact: Some deadlines and update periods are being extended, but these are aimed at making processes more manageable, not at reducing oversight.
Myth: Firms can delay compliance.
Fact: Changes are coming, but expectations remain that firms apply the spirit of SMCR and act on proposed regulatory changes as they emerge.
