UK: FCA’s focus turns to fintech and cyber security
Posted: 18 April 2017 | By Darcie Thompson-Fields
The UK’s Financing Conduct Authority (FCA), has outlined its priorities for the coming year in its business plan.
The business plan (published this morning), unsurprisingly has Brexit at the top of its priority list. But the regulator also plans to focus on fintech startups and cyber security resilience.
City AM has laid out the focuses of the regulator for the coming year:
The PPI saga continues
A total of £26.2bn has been paid out to date, but the period in which consumers can make a complaint is approaching, with the new deadline of 29 August 2019.
The FCA still wants a say over multinational regulation
Consistent global standards and maintaining a say in standards affecting the UK topped the list of the FCA’s priorities as it prepares to advise the government and provide technical support during the Brexit process.
Peer to peer lending and crowdfunding firms are in for a rebuke
The FCA has suggested that many platforms don’t comply with client money regulations, designed to keep client money and assets safe if a firm fails and exits the market. The FCA will tackle this by either approaching companies directly or going to their auditors.
Firms letting money-laundering slide will be targeted
Following a review of money-laundering prevention, the FCA will impose business restrictions on some businesses which do not do enough to stop the practice and prosecute the worst offenders. The FCA will also become responsible for reviewing anti-money-laundering supervision in professional bodies this year like the Institute of Chartered Accountants this year.
Fintech is getting even more important
The watchdog’s sandbox for Fintech startups was expanded earlier this month and that success looks set to continue, with a greater focus on involving non-London startups through regional and Scottish Fintech hubs. Meanwhile, Regtech will get a boost as the FCA investigates new ways to monitor compliance.
Vulnerable consumers are set to be prioritised
An upcoming report will set out the challenges facing financial consumers, which the FCA says are more diverse than in previous years due to an ageing population and the precarious situation of many young people.
You’ll be able to view your pension via app
An online pensions savings dashboard will be accessible by 2019 so that an increasingly tech-savvy population can view what they have in one place.
Businesses need to up their cyber security
The FCA flagged cyber security resilience as an issue in almost every sector. The FCA is teaming up with the Bank of England and the Treasury to work with victims of cyber-attacks and wants to improve how well firms can respond to security issues using the expertise of the National Cyber Security Centre and the National Crime Agency.
Source: City AM