From: RegTech Analyst
The UK’s top financial watchdog has warned firms to not forget to regularly reviewer regulatory permissions or risk having their licence to operate cancelled.
The Financial Conduct Authority (FCA) issued the warning as the new Financial Services Bill is making its way through parliament. When it snaps into action, that will meant that the regulator can act faster when it believes firms are no longer carrying out regulated activities.
“With the new powers, where we believe that a firm is not carrying on a regulated activity, we will be able to serve notice on the firm, asking for a written response within 14 days,” the FCA said in a statement.
“If the firm does not respond we will be able to publish a second, public notice, explaining it appears that the firm is not carrying on a regulated activity. We can then vary or cancel the firm’s permissions after one month.
“Firms must act now to review existing permissions and make any necessary changes to ensure that you present a clear picture of what you do, and help us prevent scams and misleading information.”
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