Don’t be an April fool: prepare for FSMA at legal cut-over

On 1 April the Financial Services Authority’s 12-year reign as City regulator will be swept away by the assumption of two new bodies to supervisory power. Emma Radmore analyses key changes to familiar provisions in the Financial Services and Markets Act 2000 that regulated firms need to know about, and the legislation that will implement them.

Emma Radmore is a managing associate in law firm SNR Denton’s financial markets and regulation practice in London. Contact her on emma.radmore@snrdenton.com.

A consultation is in progress on the Prudential Regulation Authority’s approach to disciplinary and enforcement action when it becomes operational in April. The PRA will have a variety of tools at its disposal such as refusing or varying a firm’s permission, imposing a requirement under the Financial Services and Markets Act, refusing approval for an individual to carry out a controlled function, refusing change of control over a PRA-authorised person, and imposing financial penalties or publishing public censures. It also has a power to impose suspensions or restrictions on both authorised firms and approved persons.