At FSA’s Board Meeting on 2 November, it made the following new rules:
- The Senior Management Arrangements, Systems and Controls (SYSC) (Remuneration Code)(No. 4) Instrument 2011: This amends SYSC from 1 January 2012 to limit the scope of the voiding rules relating to the Remuneration Code so they apply only to large, systemically important firms which have higher-risk business models.
- The Capital Instruments (Notification) Instrument 2011: This amends the General Prudential Sourcebook (GENPRU), the Prudential Sourcebook for Banks, Building Societies and Investment Firms (BIPRU), the Prudential Sourcebook for Insurers (INSPRU) and the Glossary from 1 February 2012. The changes require firms to tell FSA one month before issuing certain capital instruments that are to count towards capital resources.
- The Supervision Manual (SUP) (Retail Mediation Activities Return (RMAR)) (Amendment No. 4 Instrument 2011: This amends SUP from 3 November 2011 to defer the introduction of two memorandum items to the RMAR.
- The Dispute Resolution: Complaints (DISP) Sourcebook (Amendment No. 4) Instrument 2011: This amends DISP from 1 January 2012 to ensure that all eligible consumers can have their complaint considered by the Financial Ombudsman Service.
- The Capital Requirements Directive (CRD) (Handbook Amendments No. 4) Instrument 2011: This amends GENPRU, BIPRU, SUP and the Glossary from 31 December to implement the third set of amendments stemming from CRD3. The changes include amendments to the rules on trading books and securitisations. FSA also published a policy statement explaining the final rules.
Separately, FSA published a policy statement and final rules on the Retail Distribution Review (RDR) (Key Features Illustrations) Instrument 2011, which its Board made on 22 September and which amends the Conduct of Business Sourcebook (COBS) and the Glossary mainly from 31 December 2012 to redress some of the information imbalances between consumers and providers in customer documentation for retail products. (Source: Handbook Notice 114, Policy Statement 11/12: Strengthening Capital Standards 3 and Policy Statement 11/14: Product Disclosure – Changes to Reflect RDR Adviser Charging)