A Collection is a selection of features, articles, comments and opinions on any given theme or topic. It allows you to stay up‑to‑date with what interests you most.
Login here to access your saved articles and followed authors.
We have sent you an email so you can reset your password.
Sorry, we had a problem.
Tags related to this article
Published 30 March 2017
Last year the amount of fines issued by the FCA dropped dramatically. Only £23m was issued in fines against companies and individuals in the financial services sector, compared with nearly £1bn handed down in 2015. In fact, 2016 saw among the lowest amount of fines issued by the regulator in a calendar year for nearly a decade.
So what is responsible for this significant reduction? Is the FCA softening in its approach? Or could it be a reflection of the fact that firms have now reacted to the regulatory focus they found themselves under following the financial crisis, and boosted their spending on compliance as a result?
Mark Steward, the FCA's director of enforcement, challenged the suggestion that the regulator was weakening at the start of this year, by stating in a speech "we have not gone soft". This, and similar statements issued by the FCA, as well as its approach to recent investigations and pursuit of a broader range of targets suggests quite the opposite – that the regulator continues to act with vigour and should not be underestimated.
The reduction in levels of fines may instead be attributable, among other factors, to:
It seems that the lower levels of fines issued by the FCA reflect only a more targeted approach by the FCA – on culture and individual accountability in particular. Recent actions undertaken by the regulator show a willingness to embrace new weapons and approaches to pursuing these new targets, and existing ones, with the same ferociousness as before.
London - Walbrook
+44 (0)20 7894 6290
Jonathan Brogden, Julian Bubb Humfryes
Jonathan Brogden, Laura Berry
Julian Bubb Humfryes
Laura Berry, Pippa Ellis
Jonathan Brogden, Pippa Ellis, Laura Berry, Julian Bubb Humfryes
Jonathan Brogden, Pippa Ellis, Laura Berry
Jonathan Brogden, Pippa Ellis