FCA disciplinary and other enforcement action against approved persons
FCA disciplinary and other enforcement action against approved persons

The following Financial Services guidance note provides comprehensive and up to date legal information covering:

  • FCA disciplinary and other enforcement action against approved persons
  • Prohibition orders and withdrawals of approval
  • Power to impose a financial penalty under FSMA 2000, s 63A
  • Disciplinary Powers: FSMA 2000, s 66
  • Other enforcement powers in relation to individuals
  • Private warnings

Note, on 7 March 2016 the Senior Managers and Certification Regime (SM&CR) replaced the Approved Persons Regime (APER) for SM&CR banking firms; and on 10 December 2018 for SM&CR insurance firms. The SM&CR will apply to FCA solo-regulated firms from 9 December 2019. For individuals in such firms, please refer to our Senior Managers and Certification Regime—overview related content for further details on the Senior Managers and Certification Regime. The Financial Services team have retained this Practice Note as a historical reference source for the APER regime and because Appointed Representatives will continue to be subject to the Approved Persons Regime.

The Financial Services and Markets Act 2000 (FSMA 2000) provides the Financial Conduct Authority (FCA) with a variety of possible actions against approved persons, which are summarised in this Practice Note. These include both disciplinary sanctions (such as financial penalties, statements of misconduct and suspension of (or restrictions on) the person's approval) and certain other enforcement tools (such as prohibition orders, withdrawals of approval and private warnings). In deciding which action to take, the FCA will consider the full circumstances of each case and, where applicable, will apply the criteria in the Decision Procedure and Penalties Manual in the FCA Handbook (DEPP).

For information on the grounds on which the FCA might investigate and take action