BANKING

OCC dismisses complaint against the FCA

The Office of the Complaints Commissioner published the decision (FCA00209) of the Complaints Commissioner, dismissing a complaint against the FCA regarding the rules in the FCA's Compensation sourcebook (COMP). OCC, 24 January 2017

Bank of England and Financial Services Act 2016 (Commencement No 4 and Saving Provision) Regulations 2017

The Bank of England and Financial Services Act 2016 (Commencement No 4 and Saving Provision) Regulations 2017 (SI 2017/43) have been published.  The Regulations were made on 20 January 2017. They are the fourth commencement regulations made under the Bank of England and Financial Services Act 2016 (Act).

These provisions relate to the transfer of the PRA's functions to the Bank of England (BoE) and the establishment of a new committee of the BoE, the Prudential Regulation Committee (PRC), with responsibility for exercising the BoE's functions in its role as the PRA. legislation.gov.uk, 24 January 2017

ECB market consultation on TIPS expected volumes

The European Central Bank has published a consultation in the form of a questionnaire on expected volumes in the proposed TARGET instant payment settlement (TIPS) service.  Completed questionnaires can be submitted until 24 February 2017.  TIPS is currently in the investigation phase, which runs until June 2017. If the decision in June 2017 is to develop TIPS, it is expected to be operational in November 2018. ECB, 23 January 2017

Post Office and UK Banks partner to offer services

The British Bankers Association has welcomed the partnership which means that 99% of UK personal bank customers and over 75% of business customers can do their day-to-day banking at the Post Office, as a new industry-wide agreement with UK banks which came into effect yesterday. BBA, 24 January 2017

PSO DG Meeting Minutes

The Payment Systems Regulator has published a summary of the 4th Payment System Operator Delivery Group Meeting which was held in December 2016. PSR, 24 January 2016

INSURANCE

ECON scrutiny of Insurance Distribution Directive delegated acts and implementing measures

The European Parliament has prepared a briefing paper to support a 25 January 2017 Committee on Economic and Monetary Affairs (ECON) scrutiny session on implementing measures under the Insurance Distribution Directive (Directive (EU) 2016/97) (IDD).

The IDD came into force on 23 February 2016 with a transposition date of 23 February 2018 and empowers the European Commission to adopt delegated acts (DAs) and technical standards. It also empowers the European Insurance and Occupational Pensions Authority (EIOPA) to adopt guidelines. EIOPA’s final technical advice is due by 1 February 2017. European Parliament, 23 January 2017

BIBA / Acturis Insurance Price Index – premiums rise ahead of UK inflation

The latest Insurance Price Index from the British Insurance Brokers’ Association (BIBA) and Acturis that tracks £5 billion of actual premiums paid annually via insurance brokers before Insurance Premium Tax (IPT) shows that premiums in the consumer insurance basket increased by 2.2% in the period 2015 to 2016. In addition premiums in the small and medium-sized enterprises (SME) insurance basket rose by 3% outstripping UK inflation which was set at 1.6% in the year leading up to the end of December 2016. BIBA, 24 January 2017

INVESTMENTS AND FUNDS

IBA summary of LIBOR evolution and additional consultation

ICE Benchmark Administration (IBA) has published a summary of the evolution of the London Interbank Offered Rate (LIBOR) (also known as ICE LIBOR).  The summary mentions that the IBA is looking into the feasibility of further evolving LIBOR to a centralised calculation, using a robust algorithm to calculate LIBOR in diverse market circumstances. IBA, 24 January 2017

ESMA Chair speech on reforms to OTC derivatives markets and benchmarks

ESMA has published a speech by ESMA Chair Steven Maijoor in which he considers two major reforms that are currently taking place in EU financial markets: reform of the OTC derivatives markets, and reform of the way that benchmarks are compiled and administered. ESMA, 24 January 2017

ESMA speech on application of FinTech in securities sector

ESMA has published a speech, given by Patrick Armstrong, Senior Risk Analysis Officer, ESMA Innovation and Products Team, on the application of financial technology (FinTech) within the securities sector. ESMA, 24 January 2017

BoE speech on market functioning

The Bank of England has published a speech given by Chris Salmon, Executive Director of Markets, which considers the importance of central banks understanding the structure and functioning of core financial markets, with reference to two recent developments in different markets. BoE, 24 January 2017

WEALTH MANAGEMENT

FCA updates responsibilities for advisers and firms accepting business from introducers

FCA has published updated information on investment advisers' and authorised firms' responsibilities when accepting business from unauthorised introducers or lead generators, noting that many authorised firms receive instructions from unauthorised introducers and expressing concern at the rise in cases where the introducer has an inappropriate influence on how the authorised firm carries out its business. FCA, 24 January 2017