FCA to be quicker and more transparent on enforcement cases

The FCA has committed to carrying out enforcement cases quicker and being more transparent when an investigation is opened.

The regulator said it was making the move as it looks to increase the deterrent impact of its enforcement actions.

As part of the new approach, the FCA will focus on a streamlined portfolio of cases, aligned to the strategic priorities it feels can deliver the greatest impact.

The FCA will also close those cases where no outcome is achievable more quickly.

It also plans to publish updates on investigations as appropriate and be open about when cases have been closed with no enforcement outcome.

Therese Chambers, joint executive director of enforcement and market oversight at the FCA, said: “By being more transparent when we open and close cases, we can enhance public confidence by showing that we are on the case.

“At the same time, we will amplify the deterrent impact of our work by enabling firms to understand the types of serious failings that can lead to an investigation, helping them to change their own behaviour more quickly. Greater transparency will also drive greater accountability for us as an enforcement agency.”

Consultation 

The FCA said the moves were a “step change” from the current process where investigations are only announced in very limited circumstances.

It has now begun a consultation on the plans.

Steve Smart, joint executive director of enforcement and market oversight, said: “Reducing and preventing serious harm is a cornerstone of our strategy.

”By delivering faster, targeted and transparent enforcement, we will reduce harm and deter others. We will also make greater use of our intervention powers to stop harm in real time.”