Monzo savings partner pauses products amid money laundering probe August 14, 2021 OakNorth, a Monzo partner that provides savings products for the challenger bank, temporarily withdrew offers for new customers a fortnight after it emerged that the FCA had launched an investigation into the British digital bank over possible money laundering activity. Challenger bank OakNorth, which is one of the lenders that have provided £1bn worth of [...]
FCA explores new rules to block UK high street bank closures August 10, 2021 The Financial Conduct Authority is reportedly looking into new rules that would give it the power to stop banks from closing high street branches, in a bid to ensure consumers have continued access to cash. In a consultation last month, the Treasury said it was considering new legislation that would give the UK’s financial regulator [...]
Startups urge caution over buy now pay later regulation July 26, 2021 British startups have urged caution over the City watchdog’s plans to regulate the £2.7bn buy now pay later market. The Financial Conduct Authority (FCA) is set to crack down on companies such as Klarna and Clearpay after the number of BNPL transactions across the UK tripled last year. But a lobby group representing startups has [...]
Ian Hudson given four years in prison for fraudulent trading July 26, 2021 The unauthorised financial adviser was sentenced to four years imprisonment today for fraudulently carrying on regulated activities, bringing to a close charges laid by the FCA in May. Ian James Hudson was food guilty of fraudulent trading by Judge Tomlinson at Southwark Crown Court. The length of his sentence is made up of one count of [...]
FCA warns fund managers to improve their “poor-quality” ESG applications July 20, 2021 The Financial Conduct Authority (FCA) has told fund managers that their “poor-quality” ESG fund applications must improve. The UK watchdog said it has received “numerous” applications with a sustainability focus that were “poorly drafted” and fell below its expectations. “They often contain claims that do not bear scrutiny,” the FCA wrote in a letter to [...]
Upsurge in FCA voluntary resignations costs watchdog over £7m July 16, 2021 The cost of the Financial Conduct Authority’s “voluntary resignation programme” has surged to over £7m compared to just £200,000 last year. The watchdog’s figures, published in its annual report for the year to April, showed the jump, in the number of staff who took advantage of its “Mutually Agreed Resignation Scheme” (MARS) in the year [...]
FCA outlines plans to spot fraud and ‘poor behaviour’ faster after LCF debacle July 15, 2021 The Financial Conduct Authority (FCA) said this morning it plans to invest £120m in improving its data capabilities over the next three years to crack down on fraud and misconduct. The UK’s financial watchdog outlined plans to overhaul its practices and vowed to be faster at spotting fraud and poor behaviour by banks. These include [...]
City watchdog blasts Provident over compensation plans July 14, 2021 The City watchdog has hit out at Provident Financial over plans to cap compensation for customers of its failed doorstep lending arm, but said it would not oppose the lender in court. Provident has set aside £50m under a so-called scheme of arrangement to reimburse customers who were mis-sold loans by its home credit unit. [...]
FCA threatens action against retail banks for poor financial crime controls July 13, 2021 The Financial Conduct Authority (FCA) has issued a warning to retail banks about their continuing weaknesses and failings surrounding financial crime controls in a letter published in full today. The letter, which was penned by David Geale, the Director of Retail Banking & Payments Supervision for the FCA, and sent to banking industry chiefs across [...]
FCA slaps Lloyds Bank’s insurance division with £90m fine for misleading customers July 8, 2021 The Financial Conduct Authority fines the insurance division of Lloyds Bank £90.7m for sending misleading renewal quotes to nine million customers. The renewal quotes claimed the amounts were “competitive” when new customers could get a better price on the same products elsewhere, the FCA said. The FCA said the breach of rules caused “a risk [...]