FCA Regulatory Update – April 2021

FCA Whistleblowing Campaign: report to the FCA in confidence, with confidence

The FCA have launched a whistleblowing campaign ‘in confidence, with confidence’ to encourage individuals working in financial services firms to report potential wrongdoing to them. Whistleblowing matters to the FCA and provides vital insight to help them expose poor practice and prevent wrongdoing in the markets they regulate.

The FCA expect firms’ senior management to have effective whistleblowing arrangements in place to enable employees to raise concerns. However, they understand that some may be reluctant to speak out or to report potential wrongdoing internally.

Click the link to read the FCA’s review of firms’ whistleblowing arrangements: https://www.fca.org.uk/publications/multi-firm-reviews/retail-and-wholesale-banking-review-firms-whistleblowing-arrangements

That’s why the FCA Whistle Blowing Campaign have been developed to outline how whistleblowing works. It will reassure potential whistleblowers and give them the confidence to come forward if they need to.

The FCA advise all firms to: Access the whistleblowing guidance and share it with your firm’s whistleblowing champion.

Click the link to read the whistleblowing guidance: https://www.fca.org.uk/firms/whistleblowing/speaking-fca

The FCA assess every report they receive and protecting whistleblowers’ identity is at the heart of what they do. Whistleblowers can choose to remain anonymous and many do.

The FCA have increased resources in their specialist team trained to interact directly with whistleblowers and all FCA staff now undertake mandatory e-learning to help identify whistleblowers and act on the intelligence they provide.

When whistleblowing works well it helps consumers, markets and firms and keeps everyone safe. If you think a firm or individual is involved in wrongdoing in an area the FCA regulates, see the FCA whistleblowing pages for more information about who can make a report and how to get in touch: https://www.fca.org.uk/firms/whistleblowing

Whistleblowing Champion for Thornbridge: Helen Murphy

PRA/FCA Dear CEO letter – transition from LIBOR to Risk Free

On 26 March, the FCA and the PRA published a joint Dear CEO letter on the transition from LIBOR to Risk-Free Rates. This letter sets their expectation that all dual-regulated firms meet the Working Group’s milestones on Sterling Risk-Free Reference Rates and the targets of other currency working groups and relevant supervisory authorities, as appropriate. Firms are reminded that the onus is on them and their responsible Senior Manager(s) to determine the specific steps required to mitigate the risks to safety and soundness arising from their firm’s exposure to LIBOR, ensure good client outcomes and preserve market integrity.

Click here to read the Dear CEO letter

Disclaimer

The contents of this article are taken from the Financial Conduct Authority’s (“FCA”) 15th April 2021 regulation round up communication and are communicated by, and the property of, Thornbridge. Thornbridge is a trading name of Thornbridge Investment Management LLP which is authorised and regulated by the Financial Conduct Authority.

The information and opinions contained in this article are subject to updating and verification and may be subject to amendment. No representation, warranty, or undertaking, express or limited, is given as to the accuracy or completeness of the information or opinions contained in this article by Thornbridge Investment Management LLP or its directors. No liability is accepted by such persons for the accuracy or completeness of any information or opinions. As such, no reliance may be placed for any purpose on the information and opinions contained in this article.