Financial Services and Markets Act 2000

138 General rule-making power. U.K.

(1) The Authority may make such rules applying to authorised persons—

(a) with respect to the carrying on by them of regulated activities, or

(b) with respect to the carrying on by them of activities which are not regulated activities,

as appear to it to be necessary or expedient for the purpose of [F1 meeting any of its regulatory objectives].

[F2 (1A) The Authority may also make such rules applying to authorised persons who are investment firms or credit institutions, with respect to the provision by them of a relevant ancillary service, as appear to the Authority to be necessary or expedient for the purpose of [F1 meeting any of its regulatory objectives].

(1B) “Credit institution” means—

(a) a credit institution authorised under the banking consolidation directive, or

(b) an institution which would satisfy the requirements for authorisation as a credit institution under that directive if it had its registered office (or if it does not have a registered office, its head office) in an EEA State.

(1C) ”Relevant ancillary service” means any service of a kind mentioned in Section B of Annex I to the markets in financial instruments directive the provision of which does not involve the carrying on of a regulated activity.]

(2) Rules made under this section are referred to in this Act as the Authority’s general rules.

(3) F3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) The Authority’s general rules may make provision applying to authorised persons even though there is no relationship between the authorised persons to whom the rules will apply and the persons whose interests will be protected by the rules.

(5) General rules may contain requirements which take into account, in the case of an authorised person who is a member of a group, any activity of another member of the group.

(6) General rules may not—

(a) make provision prohibiting an EEA firm from carrying on, or holding itself out as carrying on, any activity which it has permission conferred by Part II of Schedule 3 to carry on in the United Kingdom;

(b) make provision, as respects an EEA firm, about any matter responsibility for which is, under any of the single market directives, reserved to the firm’s home state regulator.

(7) F3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(8) F3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(9) F3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F1 Words in s. 138(1)(1A) substituted (8.4.2010) by Financial Services Act 2010 (c. 28), ss. 3(4), 26(1)(c)

F2 S. 138(1A)-(1C) inserted (6.12.2006) by The Financial Services and Markets Act 2000 (Markets in Financial Instruments) (Modification of Powers) Regulations 2006 (S.I. 2006/2975), reg. 3(a) (with reg. 14)

F3 S. 138(3)(7)-(9) omitted (8.4.2010) by virtue of Financial Services Act 2010 (c. 28), ss. 24(1), 26(1)(g)(l), Sch. 2 para. 11

Modifications etc. (not altering text)

C1 S. 138 modified (18.6.2001) by S.I. 2001/1821, arts. 1(1), 3(1)-(3)

C2 S. 138: power to make rules amended (18.7.2002 for certain purposes and 21.8.2002 otherwise) by The Electronic Commerce Directive (Financial Services and Markets) Regulations 2002 (S.I. 2002/1775), regs. 1, 3(1)(4)

S. 138 extended (with modifications) (2.7.2002) by The Financial Services and Markets Act 2002 (Consequential Amendments and Transitional Provisions) (Credit Unions) Order 2002 (S.I. 2002/1501), art. 4

C3 S. 138 extended (31.10.2004 for certain purposes, otherwise 14.1.2005) by The Financial Services and Markets Act 2000 (Transitional Provisions) (Complaints Relating to General Insurance and Mortgages) Order 2004 (S.I. 2004/454), arts. 1(2), 10

C4 S. 138(1)(1A) modified (22.2.2008) by The Northern Rock plc Transfer Order 2008 (S.I. 2008/432), art. 15(1)

C5 S. 138(1)(1A) modified (29.9.2008 at 8.00 a.m.) by The Bradford & Bingley plc Transfer of Securities and Property etc. Order 2008 (S.I. 2008/2546), art. 37(1)

C6 S. 138(1)(1A) modified (7.10.2008 at 9.30 a.m.) by The Heritable Bank plc Transfer of Certain Rights and Liabilities Order 2008 (S.I. 2008/2644), art. 27(1)

C7 S. 138(1)(1A) modified (8.10.2008 at 10.10 a.m.) by The Transfer of Rights and Liabilities to ING Order 2008 (S.I. 2008/2666), art. 18(1)

C8 S. 138(1)(1A) modified (8.10.2008 at 12.15 p.m.) by The Kaupthing Singer & Friedlander Limited Transfer of Certain Rights and Liabilities Order 2008 (S.I. 2008/2674), art. 29(1)

C9 S. 138(1)(1A) modified (30.3.2009 at 8.00 a.m.) by The Amendments to Law (Resolution of Dunfermline Building Society) Order 2009 (S.I. 2009/814), art. 9(1)

C10 S. 138(1)(1A) modified (1.1.2010) by The Northern Rock plc Transfer Order 2009 (S.I. 2009/3226), arts. 1(2)(b), 20(1)

C11 S. 138(4)(5) amended (18.7.2002 for certain purposes and 21.8.2002 otherwise) by The Electronic Commerce Directive (Financial Services and Markets) Regulations 2002 (S.I. 2002/1775), regs. 1, 3(2)