David Biggin, financial services regulation expert at PA Consulting Group is quoted in an article following the Financial Conduct Authority’s (FCA) proposals to extend the Senior Managers and Certification Regime to all financial services firms.
The article examines how UK payment providers and e-money issuers have been spared from proposed FCA rules holding staff accountable for a firm’s misconduct.
Looking at the scope of firms now falling under the proposals, David says: “The focus of the regime is on the bigger firms, and the FCA has introduced an enhanced regime for those organisations that pose the biggest risk to the system.
“From the FCA’s perspective, a payment service provider is not likely to pose a systemic risk to the market unless they are one of the few very large providers.”
The article concludes by noting that legal experts have said that impending changes to the UK’s regulatory regime for payments are unlikely to result in an extension to senior managers in that sector.