On 23 June 2015, the FCA published two policy statements (PS15/15 and PS15/16) on:

  • Remuneration of banking staff: Following recommendations by the Parliamentary Commission on Banking Standards, the FCA and PRA released new remuneration rules affecting banking staff which aim to strengthen the alignment between risk and reward. It introduces measures such as longer deferral periods, clawback for all risk takers and prohibiting variable pay for non-executive directors. The new rules on deferral and clawback will come into force for performance years starting on or after 1 January 2016.
  • FCA regulated fees and levies: New rules have been published to enable the FCA to obtain funding for itself, the Ombudsman and the Money Advice Service to meet their statutory objectives in 2015/2016. The FCA is funded entirely by the fees and levies recovered from the firms it regulates. All fee-payers will be affected by the policy statement.