On 1 April 2013 the Financial Services Act 2012 (the “Act”) came into force and the Financial Services Authority (FSA) ceased to exist as the sole regulator of financial services in the UK. Under the Act, the regulation and supervision of the financial services industry in the UK is split principally between the Financial Conduct Authority (FCA) and the Prudential Regulation Authority(PRA). Both the FCA and PRA will adopt enforcement roles previously assumed by the FSA. We have listed here the key reference documents relating to enforcement by both regulatory bodies.
The FCA’s website page on enforcement can be found here, including a flow-chart overview of FCA enforcement powers and procedures and a table of fines (at present, the table of fines is based on FSA fines up to 31 March 2013). As with the FSA Handbook, the FCA’s activities will be informed by the FCA Handbook. A description of changes made as compared to the former FSA Handbook can be found here. The principal FCA guides relevant to its enforcement action will be the Decision Procedure and Penalties Manual (DEPP), the guide on Supervision, and the Enforcement Guide. The FCA’s Financial Crime: A Guide for Firms can be found here. The FCA is also now expressly obliged to promote competition and, if necessary, make referrals to the Office of Fair Trading (OFT). The FCA and OFT recently agreed a Memorandum of Understanding, as reported in the Winston & Strawn EU Competition Law Weekly Briefing.
The PRA’s website page can be found here, including the PRA Handbook (including the guide on Supervision) and a PRA policy statement on approach to enforcement.