PSR colleagues have made payment systems safer, more competitive and increasingly innovative. They should be proud of the huge amount achieved.With a changed payments landscape, now is the right time to put in place a more streamlined regulatory framework. Doing so is a natural next step following recent work to improve co-ordination and clarity on regulatory responsibilities.We will work closely with government, the Bank of England and the payment sector as the details of this change are decided and to ensure the transfer of any powers is smooth. In the meantime, we will drive forward with change, including welcoming the deep expertise of PSR colleagues within the FCA.

Our sustainability rules do not prevent investment in or financefor defence companies. The financial sector plays a vital role in supporting all sectors, including defence.There is nothing in our rules, including those related to sustainability, that prevents investment or finance for defence companies.Our sustainable finance rules apply to firms providing financial products and services as well as some listed companies. They do not require financial institutions to treat defence companies differently because they are in the defence sector.Our sustainability-related rules have 2 aims:To ensure information about investments claiming to be sustainable can be trusted and readily understood.To improve the quality of sustainability-related information in the market.These rules should not be confused with financial institutions’ own policies relating to the type of businesses they wish to support and their own appetite for risk.Rightly, it is up to individual lenders and investors whether they provide the capital defence companies need. Some consumers will also want options to invest in line with their ethical values, so it is important they have the freedom to make choices about where they invest their money.Further information for regulated firmsWe have disclosure rules based on the global Taskforce for Climate-related Financial Disclosures (TCFD) recommendations. These rules aim to improve the quality of climate-related information in the market. This allows firms to better assess risks and opportunities within their own businesses and in those they invest in or finance. We plan to consult on updating the TCFD rules for listed companies to refer to the new International Sustainability Standards Board (ISSB) standards, subject to Government endorsing them. These standards have a similar aim to TCFD, and extend to sustainability factors beyond climate.Our sustainability disclosure and labelling regime for investment products (SDR) is about preventing firms from making unsubstantiated claims about the sustainability of their investments and ensuring such claims can be trusted. It does not prescribe which activities or investments are sustainable, nor does it prevent investments in certain sectors, including defence.Where benchmark administrators offer benchmarks aligned with the Paris Climate Agreement (UK Paris-aligned Benchmarks or UK PABs) or UK Climate Transition Benchmarks (UK CTBs), our rules require companies involved in any activities related to controversial weapons to be excluded from the benchmark portfolio. However, where administrators provide UK PABs or UK CTBs it is up to firms to choose whether to use these benchmarks.HM Treasury is currently finalising the scope of the regulatory regime for ESG ratings providers. Following this, we intend to consult on proposed rules later in 2025. The regime will improve transparency and quality of ESG ratings. It is not our intention to prescribe the contents of an ESG rating.There are no FCA sustainability rules that stop banks from serving defence clients. Banks may have their own defence-related policies, which some banks describe as part of their sustainability disclosures.

We continue to have the utmost sympathy for the people who have lost money because of Safe Hands. We do not agree with the Commissioner’s finding that we didn’t identify significant risks in relation to this firm. We had limited powers to act against funeral plan providers before Parliament gave us responsibility to regulate the sector from July 2022. Starting in September 2021, we started to receive applications from firms wishing to offer funeral plans, including from Safe Hands. We warned them they were unlikely to meet our requirements and consequently the firm stopped trading in February 2022. We worked with Dignity and Co-op to help customers find new plans at a discounted cost.We had received in April 2021 a single piece of anonymous intelligence that Safe Hands might be carrying out regulated activity but without our necessary permission to do so. Knowing by then that we would soon be approving funeral providers to do business, we logged this intelligence to consider when assessing whether Safe Hands was fit to be regulated by us. That year, we received over 34,000 pieces of intelligence about firms or individuals potentially carrying out unauthorised business. There is no way we can immediately act on all. We must decide how to prioritise our resources to protect consumers from suspected wrongdoing and in 2021 we focused our efforts on the complex process of bringing a whole new sector – funeral providers – within our remit. Whenever we act, we also need to consider the best route to seek information to avoid a worse outcome, for example if an unregulated firm is tipped off, potentially making protecting assets harder.We believe the steps we took were reasonable and proportionate based on the information we received. There is no evidence that alternative action from us would have led to different outcomes for Safe Hands customers. We cannot take responsibility for harm caused by firms before we are responsible for regulating them. For example, we are already receiving reports about consumer harm in the unregulated Buy Now Pay Later sector. We have taken actions where we can and will address other intelligence once Parliament has passed the necessary legislation and we are empowered to grant them permission or not to operate. Read our full response to the Complaints Commissioner’s final report into Safe Hands. We have also written to the Treasury Committee to whom we are accountable and look forward to addressing any questions they have on these issues.There is also an ongoing investigation into these matters by the Serious Fraud Office.

If motor finance customers have lost out from widespread failings, we are likely to consult on a redress scheme. We are currently reviewing the past use of motor finance discretionary commission arrangements (DCAs). We’re seeking to understand if firms failed to comply with requirements relating to DCAs and if consumers lost out as a result. If they have, we want to make sure consumers are appropriately compensated in an orderly, consistent and efficient way.Since we launched our review, a ruling by the Court of Appeal has raised the possibility of widespread liability among motor finance firms wherever commissions were not properly disclosed to customers. The Supreme Court will hear an appeal against the Court of Appeal’s judgment on 1 to 3 April. We have been granted permission to intervene in the case and have filed our submission with the Court.We want to provide as much certainty as possible to firms, consumers and stakeholders. So, we are confirming that if, taking into account the Supreme Court's decision, we conclude motor finance customers have lost out from widespread failings by firms, then it's likely we will consult on an industry-wide redress scheme. We previously said it is more likely than when we started our review that we will introduce an alternative way of dealing with complaints.Under a redress scheme, firms would be responsible for determining whether customers have lost out due to the firm’s failings. If they have, firms would need to offer appropriate compensation. We would set rules firms must follow and put checks in place to make sure they do.A redress scheme would be simpler for consumers than bringing a complaint. We would expect fewer consumers to rely on a claims management company, meaning they would keep all of any compensation they receive. It would also be more orderly and efficient for firms than a complaint led approach, contributing to a well-functioning market in the future.Next steps We are no longer planning a further announcement in May. Instead, we will confirm within 6 weeks of the Supreme Court's decision if we are proposing a redress scheme and if so, how we will take it forward.The Court of Appeal case involved complaints about discretionary and non-discretionary commission arrangements (non-DCAs). Our next steps on non-DCA complaints will also be informed by the outcome of the Supreme Court case.Depending on the Supreme Court’s decision, we may also consult separately on changes to our rules.Throughout our work, we will continue to consider how to make sure affected consumers are appropriately compensated and the motor finance market continues to work well, with effective competition, for the millions of consumers who rely on it every year.

A UK bond consolidated tape (CT) will collate data on transactions, such as prices and volumes, and brings together information on trades executed on trading venues and over-the-counter with a broker. The CT will provide investors with high quality data on a timely basis, and ensure it is accessible in a cost-effective way. The FCA is committed to unlocking capital investment and liquidity.We are starting the process of appointing a bond CT provider. We have published a Tender Notice, which sets out the key features of the procurement. The tender documents — an invitation to tender and a draft contract to be signed by the winning bidder — can be found on our procurement portal. These set out what interested firms need to do to apply.Those interested in bidding are invited to register on our procurement portal and submit any questions they may have on the tender documents. Applications for the first stage of the tender close on 25 April 2025.Read more about the tender process.

The FCA has set out steps it will take to improve access to mortgages. The FCA is reminding lenders of flexibility in its rules, which can help more people access a mortgage. This forms part of the work, announced in January in a letter to the Prime Minister, to review regulation to support home ownership and the UK economy.When lenders decide whether to approve a mortgage, they test whether a borrower could still afford their mortgage at higher interest rates.As interest rates fall, the current market approach to interest rate stress testing may be unduly restricting access to otherwise affordable mortgages.The FCA wants to ensure firms are aware of the flexibility its rules provide, and that creditworthy consumers can access the affordable mortgage they need, supporting home ownership.To consider further improvements quickly, the FCA will shortly launch a call for evidence on current and alternative approaches to stress testing.Then in May, the FCA will launch a consultation proposing early ideas to simplify its rules and benefit mortgage consumers, making it easier to:remortgage with a new lenderdiscuss their options outside a regulated advice processreduce their mortgage termAnd in June, the FCA will open a public discussion on the future of the mortgage market. Alongside all interested parties, the FCA will consider what the market needs to deliver for different consumers at different stages in their lives and the wider UK economy, and the role of regulation to deliver it.Nikhil Rathi, Chief Executive of the FCA, said: 'We are taking swift action to support people in getting the keys to their own home.'Firms have the flexibility to help more people become homeowners and we want them to use it.'There is more to be done, and we will be delivering further proposals quickly to support home ownership and the wider UK economy.'Rachel Reeves, Chancellor of the Exchequer, said: 'This is welcome action by the regulator to kickstart economic growth and help working families get on the housing ladder.'The world is changing. That is why we must go further and faster in delivering on our Plan for Change, so we can get more money into people’s pockets.'Notes to editors:Read our letter to the Economic Secretary to the Treasury.The FCA has outlined plans for further work to support home ownership. This includes:Reminding firms of the flexibility provided in our interest rate stress testing rule.Later this month, working with experts, including from the mortgage sector, through an Open Finance Sprint to explore how smart data can enhance mortgage products and services.In May, the FCA will consult on proposals to make it easier for consumers to remortgage with a new lender, reduce their overall cost of borrowing through term reductions and discuss their options with a firm outside a regulated advice process. It will also consult to retire outdated regulatory guidance, such as its maturing interest-only mortgage guidance. In June, the FCA will launch a public discussion on the future of the mortgage market. This will include consideration of risk appetite and responsible risk-taking, alternative affordability testing and product innovation, lending into later life and consumer information needs.

Just 4 in 10 vulnerable customers say they have disclosed their needs to their financial services provider, new research commissioned by the FCA shows. However, those that do open up tend to have better experiences. Three quarters of vulnerable customers who told their firm about their circumstances (74%) said that staff asked the right questions to understand their situation, 6 in 10 (57%) said their firm ‘cared’, and 58% said their firm took action to provide support they needed.Anyone can become vulnerable due to health, life events, ability to withstand financial or emotional shocks, or because of poor financial or digital literacy. The research finds that vulnerable customers are more likely to report a negative experience with financial services firms, such as their bank or insurer, when compared to non-vulnerable customers.The FCA issued guidance to help financial services firms support consumers in vulnerable circumstances in 2021 and introduced the Consumer Duty in 2023, which requires firms to deliver good outcomes for all customers, including those in vulnerable circumstances.On 7 March 2025, the FCA has published a review and good and poor practice examples to further help firms provide the right care consistent with the Consumer Duty.Sarah Pritchard, executive director, competition, markets and international, said:‘It can be hard to tell your bank or insurer about your specific needs, but those who ask for help tend to feel more supported. We’ve seen good examples where financial firms are making a difference for vulnerable customers, but we know that vulnerable people report more negative experiences than others.’We want firms to build on the good work identified, to help people open up and make sure they get the support they may need.’Notes to editorsRead the FCA's review: Firms' treatment of customers in vulnerable circumstances.Read the FCA’s good practice and areas for improvement: Delivering good outcomes for customers in vulnerable circumstances.Read the consumer research.Key findings include:44% of customers in vulnerable circumstances reported a negative experience with a financial services firms compared to 33% of customers not in vulnerable circumstances.42% say they have disclosed personal circumstances to firms:19% said they were encouraged to do so by the firm.22% felt it was necessary given their circumstances.A quarter (25%) of those in vulnerable circumstances said they feel uncomfortable explaining their situation to a financial services provider.Customers in vulnerable circumstances reported different reasons for not disclosing personal situations, including:Embarrassed (37%).Don’t want to be treated differently (24%).Worried may get a worse deal (23%).Didn’t know my firm would help (19%).I have security concerns (16%).

The FCA and the Prudential Regulation Authority (PRA) have appointed Martyn Beauchamp as CEO of the Financial Services Compensation Scheme (FSCS). Martyn has been interim CEO of the FSCS since October 2023, and during this time he has successfully overseen the FSCS’s transition to a new operating model. Prior to this, he worked in financial services for over twenty years. He has extensive experience in CEO and executive leadership roles for a wide range of financial services organisations including GE Capital and Tesco Bank, working across the UK, EU, Middle East and Asia.Sam Woods, deputy governor of prudential regulation and CEO of the PRA, and Nikhil Rathi, chief executive of the FCA said:‘Martyn is a highly experienced candidate and has already made a meaningful impact as the FSCS’s interim CEO. We are excited to continue working with him.’Commenting on his appointment, Martyn Beauchamp said:‘FSCS puts customers back on track when their financial services firm fails, helping to build trust and stability in the UK financial services system and supporting long term sector growth. This is a mission I’m proud to now lead as FSCS’s CEO – and I look forward to working closely with the FSCS team, the financial services industry and our regulators to achieve it.’This appointment was made by the Prudential Regulation Committee and the FCA Board with the approval of the Treasury. Martyn will take up the permanent roles of the FSCS CEO and executive director of the FSCS Board immediately.Martyn’s appointment follows on from Elizabeth Passey's appointment as chair of the FSCS board on 1 October 2024.Notes to editorsThe FCA and the PRA are required by the Financial Services and Markets Act 2000 (FSMA) to appoint the CEO of the FSCS, with the appointment being approved by His Majesty’s Treasury. The appointment must be on terms that secure appointees’ independence from the FCA and the PRA in the operation of the compensation scheme.The Board of the FSCS is responsible for ensuring that the compensation scheme is properly resourced and able to carry out itswork effectively and independently.Martyn Beauchamp has been the interim CEO at the FSCS since October 2023. He spent the first 11 years of his career at GE Capital, where he was appointed to his first CEO position in 2004, and went on to lead financial services businesses across UK, EU, Middle East and Asia for organisations including Tesco PLC and Sainsburys PLC.The FSCS was set up as a statutory compensation scheme for customers of FCA and PRA UK-authorised financial services firms that are unable, or likely to be unable to meet claims made against them. It can help with most financial products – including deposits, insurance, PPI, debt management, funeral plans, mortgages, pensions and investments.Find out more information about the FSCS.Find out more information about the FCA.Find out more information about the PRA.

The FCA's review of private market valuation processes has found good practice but some room for improvement. Private markets have grown significantly in recent years with the UK continuing to be the largest centre for private market asset management in Europe.Private market assets don’t have the frequent trading and regular price discovery present in more liquid public markets, so robust valuation practices are important for fairness and confidence in private markets.The FCA recently completed a multi-firm assessment of valuation practices and governance for valuing private equity, venture capital, private debt, and infrastructure assets.Firms generally demonstrated good practice in areas such as investor reporting, process documentation and use of third-party valuation advisers, and were consistently applying valuation methodologies.However, the FCA found areas where firms need to improve. These included the need for better identification and documentation of potential conflicts of interest in the valuation process, and increased independence within firms’ own valuation processes.The FCA also found that some firms needed to enhance processes for ad hoc valuations in times of market disruption.Improvements in these areas are particularly important with growing retail investor exposure to private assets.Camille Blackburn, director of wholesale buy-side at the FCA, said:'The UK is the largest centre for private asset management in Europe. Investor demand from individuals and institutions has driven significant growth.'Good valuation practices are key to maintaining fairness and confidence as the market grows. We were pleased that firms could usually evidence independence, expertise, transparency and consistency in their valuation process.'There is still more to do, and we expect firms to carefully consider our findings.'The findings will be used in the FCA's review of Alternative Investment Fund Managers Directive (AIFMD) as it updates its rules in the Handbook and will inform the FCA’s contribution to IOSCO’s review of global valuation standards to support the use of proportionate and consistent valuation standards globally in private markets.Notes to editorsRead the FCA's review of private market valuation practices.While the FCA did not independently validate firms’ fair value assessments, they selected valuation case studies to see how firms valued specific assets over time to understand the valuation process in practice.The review focused on private market assets using Level 3 inputs under IFRS 13 and ASC 820, which require significant judgement and impact investment decisions.The findings are relevant to UK firms and international stakeholders as global valuation standards continue to evolve.

The FCA has banned Andrew Pearse and Surjan Singh from the UK financial services industry. The former Credit Suisse managing directors have been banned for lacking integrity, following US convictions for arranging corrupt loans to the Republic of Mozambique.In July 2019, Mr Pearse pleaded guilty in the US for his role in the conspiracy to commit money laundering and wire fraud, which included him accepting over US$45m in unlawful kickbacks in connection with the loans. In September 2019, Mr Singh also pleaded guilty in the US for his role in the conspiracy to commit money laundering, which included him accepting US$5.7m in unlawful kickbacks in connection with the loans. In October 2021, the FCA fined Credit Suisse over £145m as part of a US $475m global settlement for serious financial crime due diligence failings related to the loans which the bank arranged for the Republic of Mozambique, worth US$1.3bn. The loans were tainted by corruption. The FCA also secured Credit Suisse’s agreement to write off US $200m of debt owed by the Republic of Mozambique. Steve Smart, joint executive director of enforcement and market oversight at the FCA said: 'Mr Pearse and Mr Singh were experienced executives at Credit Suisse who admit to having received over US$50m in kickbacks. There is no place in our markets for those who engage in bribery and corruption.’Notes to editorsFinal Notice 2025: Andrew James PearseFinal Notice 2025: Surjan SinghFinal Notice 2021: Credit SuisseFind out more information about the FCA.

We have received limited funds to compensate investors in Asset Land companies. Investors should get in touch with us by 25 March 2025. We successfully took legal action againstAsset Land companies and their directors, David Banner-Eve and Stuart Cohen, following an investigation into unlawful activity in 2012. After a trial and multiple appeals, the defendants were ordered to pay £21 million to us for the benefit of affected investors.In the absence of any payment, we then took further steps resulting in the compulsory liquidation of Asset Land companies and the bankruptcy of Mr. Banner-Eve and Mr. Cohen. The joint liquidators have now concluded the insolvency proceedings, with some funds paid to us from the sale of remaining assets.We have also received settlement payments from other defendants in the case and intend to distribute these funds together with the funds received from the joint liquidators to eligible investors. Subject to High Court approval, the distribution will begin as soon as possible. We aim to make the distribution in the first half of 2025.While the amount returned to investors is expected to be limited, we urge anyone who invested in the scheme and has not yet heard from us to get in touch before 25 March 2025.Investors can contact us at AssetLand.Investors@fca.org.uk or write to:Freepost RTZE–RHAL–URAJ, FCA, Asset Land Team, 12 Endeavour Square, London E20 1JN.For further details, please refer to our information for investors.

Olumide Osunkoya, 46, was sentenced on 28 February 2025 to 4 years in prison for illegal crypto activity worth over £2.5m and associated offences. Mr Osunkoya pleaded guilty on 30 September 2024 to 5 charges.Between 30 December 2021 and 12 March 2022, Mr Osunkoya operated crypto ATMs at 28 different locations via his company, GidiPlus Ltd, despite being refused registration with the FCA. It is illegal to operate crypto ATMs in the UK without FCA registration.Mr Osunkoya later transferred the machines from GidiPlus Ltd and personally operated a reduced network of up to 12 crypto ATMs under a false name and company to evade detection.Mr Osunkoya failed to carry out the necessary checks to ensure that the ATMs were not being used by criminals to launder the proceeds of crime.Mr Osunkoya was also convicted and sentenced for forgery, using false identity documents, and possessing criminal property.At the hearing, the FCA requested the court initiate confiscation proceedings under the Proceeds of Crime Act 2002. These proceedings will look to recover any financial benefit Mr Osunkoya obtained as a result of his criminality.Mr Osunkoya’s sentence is the first for unregistered cryptoasset activity in the UK. It follows the FCA’s operation, working in partnership with law enforcement agencies, to tackle illegal crypto ATMs across the country. In 2023, the FCA visited 38 locations and disrupted 30 machines. The number of crypto ATMs advertised on CoinATMRadar in the UK has fallen from more than 80 in 2022 to nil in 2024.The FCA continues to warn people that if you buy crypto, you should be prepared to lose all your money. Crypto remains largely unregulated in the UK and is high risk.In sentencing, His Honour Judge Perrins remarked:‘Your decision to continue to operate illegally was an act of deliberate and calculated defiance to the regulator... You knew full well that you were acting unlawfully... You went to great lengths to create a false identity to conceal your involvement... Your actions were deliberate and carefully planned... It cannot be said that it is a mere regulatory breach.’Therese Chambers, joint executive director of enforcement and market oversight at the FCA, said:‘This is the UK’s first criminal sentencing for unregistered crypto activity and sends a clear message: those who flout our rules, seek to evade detection and engage in criminal activity will face serious consequences.’Notes to editorsMr Osunkoya’s date of birth is 7 February 1979.The sentencing took place at Southwark Crown Court.FCA charges first individual with running a network of illegal crypto ATMs.Olumide Osunkoya pleads guilty to illegally operating crypto ATM network.Mr Osunkoya has admitted guilt to 5 offences. The first 2 offences were operating a network of crypto ATMs without the required FCA permission, first as the director of GidiPlus Ltd and secondly as a sole trader. The third offence was committing forgery, where Mr Osunkoya created 4 bank statements in an effort to pass source of wealth checks with a cryptoasset exchange provider. The fourth offence was using a false instrument, namely false identity documents in the name of his alias to incorporate a company under the control of that alias. The final offence was possessing criminal property, £19,540 of cash which was obtained as a result of running the crypto ATM network.Mr Osunkoya is understood to have made substantial profit from the operation, charging a typical markup on each transaction of between 30% and 60%.GidiPlus Ltd applied for registration under the Money Laundering Regulations in 2020 and was refused in December 2021.Crypto ATMs are machines that allow you to convert money into cryptoassets and/or cryptoassets into money.The FCA has been the anti-money laundering and counter-terrorist financing (AML/CTF) supervisor of UK cryptoasset businesses since 10 January 2020.The FCA published a list of cryptoasset businesses that are operating without our registration.Find out more information about the FCA.

The FCA hasstartedcriminal proceedings againstKerry Nelsonand Jacqueline Stephensforalleged fraud,forgery, and money laundering. Kerry Nelson was director of both Nexus Independent Financial Advisers Limited (Nexus IFA) and Nexus Investment Managers Limited (Nexus IM). Jacqueline Stephens was business operations manager at the same firms.Ms Nelson and Ms Stephens have been charged with allegedly defrauding four clients between January 2019 and January 2023, who lost £2m. They are also charged with using false documents in the process of committing the alleged fraud. Ms Nelson has also been charged with a further money laundering offence, after money was allegedly withdrawn from the firms. The FCA claims that the funds transferred from the accounts by Ms Nelson were used to fund her extravagant lifestyle. Ms Nelson and Ms Stephens appeared before Portsmouth Magistrates’ Court on 28 February 2025. Ms Nelson has pleaded not guilty to all offences and Ms Stephens gave no indication of plea at this time. The matter was sent to Portsmouth Crown Court and their next appearance will be on 31 March 2025. Both individuals have been released on conditional bail.Therese Chambers, joint executive director of Enforcement and Market Oversight, said:'We allege that over a 4-year period, Ms Nelson and Ms Stephens took advantage of their clients’ trust, forged documents and diverted millions. It is right that these matters are scrutinised by the court.' This case took 24 months from opening to criminal charges, compared to an average of 42 months for cases closed in 2023/24. This is another example of how the FCA is improving the pace of its enforcement investigations.Notes to editorsKerry Nelson was born on 21 December 1972.Jacqueline Stephens was born on 19 November 1964.Fraud by abuse of position is an offence under sections 1 and 4 of the Fraud Act 2006.Using a false instrument is an offence under section 3 of the Forgery and Counterfeiting Act 1981.Converting or transferring criminal property is an offence under section 327(1) of the Proceeds of Crime Act 2002 (1 offence). Nexus IFA and Nexus IM were authorised by the FCA with permissions which allowed Nexus IFA to provide investment, mortgage and pension advice and Nexus IM to provide a Discretionary Fund Management service to its clients. Neither firm were permitted to hold or control client money. These permissions ran from 15 November 2012 and 14 April 2014 respectively until 25 January 2023 when the FCA imposed restrictions on those permissions which stopped both firms from carrying on regulated activity and prevented them from reducing the value of the assets they held. On 26 January 2023, the High Court placed Nexus IFA and Nexus IM into administration and appointed Carl Faulds and Nicola Layland of Leonard Curtis as Joint Administrators. Both firms were subsequently sold by the Administrators to Vintage Wealth Management Limited on 9 March 2023 following FCA consent.

Speech by Nikhil Rathi, chief executive, at the Association of British Insurers roundtable. Thank you, Hannah, for the invitation. I must confess to a degree of trepidation: I read your ABI Dinner speech, where you called for Alexander the Great’s sword to be raised over regulators, and for bold strokes to be taken.So I had to wonder for a moment, what fate may lay before me this morning, surrounded by 40 of your chief executive cavalry – a friendly breakfast or a last meal?You were, in fact, making a very important point about, in your words, the ‘Gordian knot of regulation’.I’d go further and talk about the Gordian knot of our growth challenge. And I agree with you, Hannah: tackling this urgent problem requires bold strokes – from all of us.

Speech by Sarah Pritchard, executive director of consumers, competition and international, at the Investment Association Roundtable. At this time of year, it’s almost impossible not to think about spring. Warmer weather, a bit of sun. It’s always a joy to see the world come back to life after a dull, grey winter. It might be a cliché comparison, but I find that the world of financial markets is not dissimilar to a garden. Certainly, as a regulator, we think about markets as a gardener might think about their plants – we want them to grow and thrive, we want them to be able to manage changing or uncertain weather conditions, and we want to see plants return year after year.In many ways, I think this is a helpful way to frame our thinking about leverage. In the same way that a garden needs water and nutrients to flourish, leverage underpins a great deal of essential activity in financial markets. As the gardeners amongst you will know, though, measurement is key – too much water or the wrong balance of nutrients have the opposite effect. And the amount of water or nutrients required at any time needs to be calibrated according to weather predictions and seasonal conditions.Over the past few years, financial regulators globally have been acutely aware of this need for balance – focusing on ensuring that NBFI entities have access to leverage in the ways, means, and quantities that allow the markets to prosper. And with sufficient mechanisms in place to monitor and measure it.

A trial has been scheduled for September 2027 at Southwark Crown Court in the criminal proceedings brought by the FCA against John Dance, the former WealthTek LLP principal partner. Mr Dance was charged in December 2024 with alleged misappropriation of £64 million of customer funds between 2014 and 2023.On 24 February 2025, at a plea and trial preparation hearing at Southwark Crown Court, John Dance pleaded not guilty to three counts of fraud by abuse of position and three counts of fraud by false representation.Separately, it has been ordered by the High Court, following an application by the FCA and consented to by John Dance, that the civil proceedings brought by the FCA in April 2023 will remain paused until the conclusion of the criminal proceedings or until further order by the Court.Notes to editorsIn December 2024, the FCA announced that John Dance had been charged with nine offences relating to alleged fraud and money laundering at WealthTek between 2014 and 2023.John Dance first appeared before the North Tyneside Magistrates’ Court on 3 January 2025, where his conditional police bail was extended and the matter sent to the Crown Court.John Dance was born on 5 November 1974.This case took 21 months from opening in March 2023 to bringing criminal charges – compared to an average of 42 months for cases closed in 2023/24. This is an example of how the FCA is improving the pace of its enforcement investigations.Fraud by abuse of position is an offence under sections 1 and 4 of the Fraud Act 2006 (3 offences).Fraud by false representation is an offence under sections 1 and 2 of the Fraud Act 2006 (3 offences).Converting or transferring criminal property is an offence under section 327(1) of the Proceeds of Crime Act 2002 (3 offences).WealthTek LLP was regulated by the FCA from 27 January 2020 until 4 April 2023 when the FCA took action to order the firm to cease operations and to appoint Special Administrators.The civil proceedings brought by the FCA against WealthTek LLP and John Dance in April 2023 have been stayed since 1 March 2024 following an FCA application to allow us to focus our resources on the suspected criminal offences.The FCA has previously obtained a restraint order against John Dance which remains in place. The purpose of a restraint order is to preserve assets to make them available for a future confiscation order, an order which can only be made following a conviction in criminal proceedings.

The FCA has found that financial advisers are delivering suitability reviews in the vast majority of cases included in its review of ongoing advice. Financial advisers can charge their clients for ongoing advice and related services, such as arranging transactions or managing a relationship between a retail client and discretionary investment manager.The FCA was concerned that these services may not always have been delivered where they had been offered, so asked for data from 22 of the largest financial advice firms. The review focused on delivery of suitability reviews as firms generally included these as part of their ongoing advice service.The data provided by the firms showed that suitability reviews were delivered in around 83% of cases. In a further 15% of cases we were told that clients either declined or did not respond to the firm’s offer of a review. There were fewer than 2% of cases where firms reported they had made no effort to deliver the suitability review to clients.The FCA is asking all advice firms to review its findings, and to consider whether they have met their regulatory requirements and contractual obligations regarding ongoing services. If not, they should take appropriate steps to remedy the situation.The rules on ongoing services were introduced more than a decade ago, during which time consumer needs and expectations, technology, and market practices have continued to change. Going forwards, the FCA will review the regulatory approach for these services.Simon Walls, interim executive director of markets at the FCA, said: 'Ongoing financial advice and support can be a fantastic service and can be important in helping people make the most of their money. Relationships between advisers and customers can last many years and can take different forms.'In the vast majority of the cases we looked at, firms delivered ongoing advice for their customers. But, in a small number of cases, they haven’t attempted to provide the services they offered and customers are paying for. In those instances, they will need to put that right.'The FCA will also review the rules on ongoing advice to make sure they remain fit for the future and help as many people as possible to get good support in managing their financial lives.’If consumers think they have not received the services set out in their contract, then they can make a complaint to the firm and then the Financial Ombudsman Service. Consumers do not need to use a claims management company.The FCA wants to help the financial advice market develop to enable consumers to access the support they need and has set out significant proposals to achieve this, including as part of the Advice Guidance Boundary Review.Notes to editorsRead more about the ongoing advice review work.Read the FCA’s previous statement on ongoing advice.To help firms deliver ongoing services, the FCA has set out a summary of existing rules and guidance on adviser charging and ongoing services.The FCA is writing to the firms it reviewed with individual feedback.Read more about the Consumer Duty.

Speech by Mark Francis, interim director of wholesale markets sell-side, at UK Accelerated Settlement Taskforce industry event. T+1 settlement: improving market efficiencyWe are fully supportive of the UK moving to a T+1 settlement cycle for securities trades. Our letter to the Prime Minister on supporting growth highlighted that 'accelerating adoption of securities settlement in 1 day (T+1) ... will make markets more efficient'. We also see other benefits arising from T+1, including improved liquidity, better use of capital and the reduction of risks for market participants.The move to T+1 is aligned with our strategic objective to ensure markets function well. It also supports our strategy and wider commitment to strengthen the UK’s position in global wholesale markets while supporting growth and innovation. Throughout the event today, we have also heard the strong case set out by others for T+1.

The FCA has announced the winners of its research competition, which aims to increase understanding of how regulation can support economic growth. Six projects have been selected and awarded funding of up to £30,000 each.The competition, launched in November 2024, attracted 43 entries from 41 organisations, including academics, think tanks and consultancies.Kate Collyer, the FCA’s chief economist said: ‘We’re delighted to receive such innovative research proposals which will help us better understand how regulation can enable growth. We look forward to working with participants to drive meaningful change.’The 6 successful projects are:LSE Growth Lab – improving measurement of productivity in UK financial servicesEdinburgh Innovations Ltd – enhancing competitiveness through increasing export volumes via foreign direct investmentsBeauhurst (Business Funding Research Ltd) – risk appetite for innovation and productivity in private financial services companiesUniversity College London – risks in the UK fintech sector: implications for consumer credit and economic growthUniversity of Birmingham – access and demand for new listed firms’ subsequent financing roundsFathom Financial Consulting – how regulatory changes may have reshaped financial stability and growth risks since the global financial crisisThe winners have until 31 March 2025 to complete their research.Notes to editorsThe competition was launched on 25 November 2024.The deadline for proposals was 15 December 2024.Awards were made on 22 December 2024.Find more information on our economic research competition page.

The FCA hit the news last week amidst criticism about our plans to delete emails held in staff inboxes after a year. As director of intelligence and digital at the FCA, I want to explain what we're doing and why. First, what we're not doing. We're not deleting evidence. We’re not hiding information. We’re not reducing transparency. There is no change to our policy of what constitutes a record and how long it should be saved for. What we are doing is modernising how we manage our records to make us a more efficient and effective regulator. Many of our records are already stored in a secure, shared repository. We want to make sure the same goes for all emails which may be records, for example, those which explain how a particular decision was reached. These need to be saved centrally so they can be accessed if we need to find the information in response to a request. That's why any emails received after 1 April 2025 will be deleted from inboxes after a year. This gives staff plenty of time to assess whether the contents of an email are a record and – if they are – save them to the central shared drive. The need for changeThe changes we are making will help us comply with our obligations under GDPR and the Data Protection Act, so that we aren't retaining information for too long. But, just as importantly, it will help us to improve how we use data so that we can work smarter. Put simply, it’s about being better organised in an increasingly digital world. Email is one of our biggest sources of information – but our inboxes can also accumulate lots of non-essential items. We currently have over 70 million emails stored in FCA inboxes. To put that into perspective, if each email was printed on a single sheet of paper and stacked, the pile would be over 7 kilometres high - taller than 20 Shard buildings stacked on top of each other. Searching through this volume of emails is like trying to find a specific grain of sand on a beach. Yes, AI tools can help with tasks like this, but we believe it's still to everyone’s advantage to further embed best practice record management. Our new approachMoving information to where it can be better managed, searched and retrieved will make it far easier and quicker to locate historical information when we need it. Instead of spending hours digging through personal inboxes, staff will be able to search by keyword in a central digital archive. This means faster information retrieval, and ultimately, more effective regulation.We have also built in safeguards. Our essential operational processes run through shared mailboxes, which remain out of scope of the new policy. If a certain case requires it, then select staff will also have access to deleted emails for an extended period. Critics have suggested we’re holding ourselves to a different standard than the firms we regulate. This isn't the case. We expect firms to take their record keeping obligations seriously and, as the regulator, we do too. Regulatory records will still be kept for 25 years. Of course, change can be challenging, so we're putting in a range of support for staff, from detailed guidance to practical workshops. We're committed to getting this right, so we will be closely reviewing how it's working, adapting our approach and supporting staff as needed. A commitment to better regulationIn my years at the FCA, I’ve seen first-hand how delays in information retrieval can impede decision-making. This policy is designed to help prevent those delays, improving our ability to swiftly identify and respond to emerging harms. I'm confident in our new approach because I’ve seen the rigorous work and testing behind it. More than that, I know from experience that when we have the right tools in place, we can focus on what really matters: building a more responsive, agile and data-driven FCA, which delivers for the good of consumers and the economy.