Treasury has given FCA new disciplinary powers via the Financial Services and Markets Act 2000 (Misconduct and Appropriate Regulator) Order 2015. The order amends section 66A of the Financial Services and Markets Act 2000 (FSMA) to confer disciplinary powers on FCA over individuals in financial services firms in cases where there is a breach by a firm of the Alternative Investment Fund Managers Regulations (AIFMR). It also amends section 204A of FSMA to ensure that existing disciplinary powers can be used by the appropriate regulator (FCA or PRA) in relation to new requirements inserted in Part 5 of FSMA under Part 4 of the Financial Services (Banking Reform) Act 2013. The order comes into force on 7 March 2016, except for:

  • Article 2, amending section 66A FSMA. This comes into force immediately after section 66A(G) FSMA comes into force on 7 March 2016; and
  • section 204A(3A)(d) FSMA (inserted by article 3(4) of the order), which comes into force immediately after section 63E FSMA comes into force on 7 March 2017.

This follows a draft of the order published in October (see FReD 16 October). (Source: SI2015/1864 – FSMA Misconduct and Appropriate Regulator Order)