Search Legislation

Financial Services Act 2012

Status:

This is the original version (as it was originally enacted).

PART 4Amendments of Part 13 of FSMA 2000: Powers of intervention

29Part 13 of FSMA 2000 (incoming firms: intervention by Authority) is amended as follows.

30In the heading to Part 13, for “Authority” substitute “FCA or PRA”.

31In section 193 (interpretation of Part 13), in subsection (1), in the definition of “power of intervention”, for “the Authority” substitute “the FCA or the PRA”.

32(1)Section 194 (general grounds on which power of intervention is exercisable) is amended as follows.

(2)In subsection (1)—

(a)for “Authority”, in each place, substitute “appropriate regulator”,

(b)in paragraph (c), for the words from “meet” to the end substitute advance—

(i)in the case of the FCA, one or more of its operational objectives, and

(ii)in the case of the PRA, any of its objectives.

(3)After subsection (1A) insert—

(1B)The appropriate regulator” means—

(a)where the incoming firm is a PRA-authorised person, the FCA or the PRA;

(b)in any other case, the FCA.

(4)In subsection (3), for “Authority”, in each place, substitute “FCA”.

33(1)Section 194A (contravention by relevant EEA firm with UK branch of requirement under markets in financial instruments directive) is amended as follows.

(2)For “the Authority” or “the Authority's”, in each place, substitute “the appropriate regulator” or “the appropriate regulator's”.

(3)After subsection (8) insert—

(9)Subsection (4) is not to be regarded as requiring the PRA to take action in relation to the contravention of a requirement falling within subsection (3) in a case where it is satisfied that the FCA is required to act, and is acting or has acted, under subsection (4)—

(a)in relation to that requirement, or

(b)where that requirement is imposed by rules made by the PRA, in relation to an identical requirement imposed by rules made by the FCA.

(10)The appropriate regulator” means—

(a)where the relevant EEA firm is a PRA-authorised person, the FCA or, subject to subsection (9), the PRA;

(b)in any other case, the FCA.

(4)In the heading, for “Authority” substitute “appropriate regulator”.

34(1)Section 195 (exercise of power in support of overseas regulator) is amended as follows.

(2)In subsection (1), for “Authority” substitute “appropriate regulator”.

(3)In subsection (2), for “Authority's” substitute “appropriate regulator's”.

(4)After subsection (2) insert—

(2A)The appropriate regulator” means—

(a)where the incoming firm is a PRA-authorised person, the FCA or the PRA;

(b)in any other case, the FCA.

(5)In subsection (4)—

(a)in paragraph (a), for “the Authority” substitute “either regulator”, and

(b)omit paragraph (b).

(6)In subsections (5) to (8), for “Authority”, in each place, substitute “appropriate regulator”.

35(1)Section 195A (contravention by relevant EEA firm or EEA UCITS of directive requirement: home state regulator primarily responsible for securing compliance) is amended as follows.

(2)For “the Authority” or “the Authority's”, in each place, substitute “the appropriate regulator” or “the appropriate regulator's”.

(3)After subsection (11A) insert—

(11B)Subsection (4) is not to be regarded as requiring the PRA to notify the home state regulator in relation to the contravention of a requirement falling within subsection (2) or (3) in a case where the PRA is satisfied that the FCA is required to act, and is acting or has acted, under subsection (4) in relation to that requirement.

(4)In subsection (12), before the definition of “home state” insert—

  • the appropriate regulator” means—

    (a)

    where the relevant EEA firm is a PRA-authorised person, the FCA or, subject to subsection (11B), the PRA;

    (b)

    in any other case, the FCA;.

36For section 196 substitute—

196The power of intervention

(1)If a regulator is entitled to exercise its power of intervention in respect of an incoming firm under this Part, it may impose any requirement in relation to the firm which that regulator could impose if—

(a)the firm's permission was a Part 4A permission; and

(b)the regulator was entitled to exercise its power under section 55L(3) or 55M(3).

(2)The FCA must consult the PRA before exercising its powers by virtue of this section in relation to—

(a)a PRA-authorised person, or

(b)a member of a group which includes a PRA-authorised person.

(3)The PRA must consult the FCA before exercising its powers by virtue of this section.

37(1)Section 197 (procedure on exercise of power of intervention) is amended as follows.

(2)In subsection (2), for “Authority” substitute “regulator”.

(3)In subsection (3), for “the Authority” substitute “a regulator”.

(4)In subsection (4)—

(a)in paragraph (c), for “Authority's” substitute “regulator's”, and

(b)in paragraph (d), for “Authority” substitute “regulator”.

(5)In subsections (5) to (7), for “Authority”, in each place, substitute “regulator”.

38(1)Section 198 (power to apply to court for injunction in respect of certain overseas insurance companies) is amended as follows.

(2)In subsections (1) to (3), for “Authority”, in each place, substitute “appropriate regulator”.

(3)After subsection (3) insert—

(3A)The appropriate regulator” means whichever regulator is, at the time when the request is received, the competent authority for the purposes of the provision referred to in subsection (1)(a), (b) or (c).

39(1)Section 199 (additional procedure for EEA firms in certain cases) is amended as follows.

(2)In subsection (1), for “the Authority” substitute “a regulator”.

(3)In subsection (2)(a)(i), for “the Authority” substitute “that regulator”.

(4)In subsections (3) to (11), for “the Authority” substitute “the regulator”.

(5)After subsection (11) insert—

(12)Subsection (3) is not to be regarded as requiring the PRA to take action in relation to the contravention of a relevant requirement in a case where it is satisfied that the FCA is required to act, and is acting or has acted, under subsection (3)—

(a)in relation to that requirement, or

(b)where that requirement is imposed by rules made by the PRA, in relation to an identical requirement imposed by rules made by the FCA.

40(1)Section 199A (management companies: loss of authorisation) is amended as follows.

(2)In subsection (2), for “Authority”, in both places, substitute “appropriate regulator”.

(3)For subsection (4) substitute—

(4)In this section—

  • the appropriate regulator” means whichever of the FCA and the PRA is the competent authority for the purposes of the UCITS directive;

  • collective investment scheme” has the same meaning as in Part 17.

41(1)Section 200 (rescission and variation of requirements) is amended as follows.

(2)In subsection (1), for “The Authority” substitute “Either regulator”.

(3)In subsection (2)—

(a)for “the Authority”, in the first place, substitute “either regulator”, and

(b)for “the Authority”, in the second place, substitute “the regulator”.

(4)In subsections (3) and (4), for “Authority” substitute “regulator”.

(5)In subsection (5)—

(a)for “the Authority”, in the first place, substitute “either regulator”, and

(b)in paragraph (a), for “the Authority” substitute “the regulator”.

42For section 201 substitute—

201Effect of certain requirements on other persons

If either regulator, in exercising its power of intervention, imposes on an incoming firm a requirement of the kind mentioned in subsection (4) of section 55P, the requirement has the same effect in relation to the firm as it would have in relation to an authorised person if it had been imposed on the authorised person by the regulator acting under section 55L or 55M.

43In section 202 (contravention of requirement imposed under Part 13), in subsection (1), for “the Authority” substitute “a regulator”.

Back to top

Options/Help

Print Options

You have chosen to open The Whole Act

The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open The Whole Act as a PDF

The Whole Act you have selected contains over 200 provisions and might take some time to download.

Would you like to continue?

You have chosen to open the Whole Act

The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open the Whole Act without Schedules

The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open Schedules only

The Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

Close

Legislation is available in different versions:

Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.

Original (As Enacted or Made): The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.

Close

See additional information alongside the content

Show Explanatory Notes for Sections: Displays relevant parts of the explanatory notes interweaved within the legislation content.

Close

Opening Options

Different options to open legislation in order to view more content on screen at once

Close

Explanatory Notes

Text created by the government department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. Explanatory Notes were introduced in 1999 and accompany all Public Acts except Appropriation, Consolidated Fund, Finance and Consolidation Acts.

Close

More Resources

Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • correction slips
  • links to related legislation and further information resources
Close

More Resources

Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • correction slips

Click 'View More' or select 'More Resources' tab for additional information including:

  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • links to related legislation and further information resources