FCA and PRA whistleblowing requirements—one minute guide
Produced in partnership with DLA Piper UK LLP
FCA and PRA whistleblowing requirements—one minute guide

The following Financial Services guidance note Produced in partnership with DLA Piper UK LLP provides comprehensive and up to date legal information covering:

  • FCA and PRA whistleblowing requirements—one minute guide
  • FCA and PRA rules on whistleblowing
  • Background to the whistleblowing regime
  • Who does the whistleblowing regime apply to?
  • What are the whistleblowing requirements?
  • EU Whistleblowing Directive

FCA and PRA rules on whistleblowing

On 6 October 2015, the Financial Conduct Authority (FCA), alongside the Prudential Regulation Authority (PRA) published policy statements containing new rules (PS24/15 PRA: 'Whistleblowing in deposit-takers, PRA-designated investment firms and insurers' and PS 15/24 FCA: 'Whistleblowing in deposit-takers, PRA-designated investment firms and insurers') designed to encourage a culture in which individuals raise concerns and challenge poor practice and behaviour within firms (ie ‘blow the whistle’). The new regimes represented a significant expansion on the scope of the previous rules and guidance on whistleblowing.

Under the regime relevant firms are required to:

  1. appoint a senior manager as their whistleblowers’ champion

  2. adopt internal whistleblowing arrangements to handle all types of disclosure from all types of persons

  3. inform UK-based employees about the FCA and PRA whistleblowing services, and require appointed representatives and tied agents to inform their UK-based employees about the FCA whistleblowing service

  4. present a report on whistleblowing to the board at least annually

  5. incorporate text in settlement agreements explaining that workers have a legal right to whistleblow, and

  6. inform the FCA if it loses an employment tribunal with a whistleblower

The requirement to appoint a whistleblowers’ champion came into force on 7 March 2016 and the remaining requirements came into force from 7 September 2016.

In September 2016, the PRA and FCA consulted on extending certain aspects