Handbook Notice 108 [pdf]

The Financial Conduct Authority (FCA) has published Handbook Notice 108 to summarize the latest amendments to its Handbook in accordance with the following Consultations and FCA Instruments:
Figure 1 – Oversight Table

##### FCA 2023/10, CP22/26, no PS, EventID #18578
This instrument was issued on March 31, 2023 and comes into force on July 31, 2023 following a corresponding consultation in December 2022 (CP22/26). It modifies the Glossary and the PRIN (Principles for Businesses) Sourcebook to clarify certain issues under the new, upcoming consumer duty, including issues pertaining to
(1) the application of the duty to firms approving or communicating financial promotions and to firms operating within the temporary marketing permissions regime, including fund managers; and
(2) the application of the duty „where an exclusion applies in a sectoral sourcebook“ (e.g. the Mortgages and Home Finance Conduct of Business sourcebook (MCOB) rules do not apply to regulated mortgage contracts provided to ‘large business customers’; hence the new duty shall not apply to firms facilitating such contracts).
##### FCA 2023/11, no CP, no PS, no Event
This instrument was published on March 31, 2023 with immediate effect. It modifies the Glossary, the Senior Management Arrangements, Systems and Controls (SYSC) Sourcebook, the Training and Competence (TC) Sourcebook, the Supervision (SUP) Sourcebook, the Dispute Resolution: Complaints (DISP) Sourcebook, and the Consumer Redress Schemes (CONRED) Sourcebook to make various minor amendments that were NOT previously consulted on. The modifications primarily provide clarifications of existing rules and regulations and include – among others – a redefinition of the term „service company“, the removal of a legal reference to a rule that no longer exists, or the update of rules to provide firms subject to the new redress scheme as regards the British Steel Pension Scheme more time to submit their progress reports to the FCA.
##### FCA 2023/12, CP22/26, no PS, EventID #18578
This instrument was published on March 31, 2023 and came into force on same day. It follows same consultation CP22/26. Specifically, it modifies the Glossary and the PROD (Product Intervention and Product Governance) Sourcebook to disapply the fair outcome requirement (enhanced PROD rules) for general insurance and pure protection products which are manufactured for the sole purpose of overseas distribution.
##### FCA 2023/13, CP22/26, no PS, EventID #18578
This instrument was published on March 31, 2023 with some provisions coming into force on March 31, 2023 and some on April 30, 2023 following same consultation CP22/26. It modifies the Glossary, the Senior Management Arrangements, Systems and Controls (SYSC) Sourcebook, the Threshold Conditions (COND) Sourcebook, the Prudential sourcebook for MiFID Investment Firms (MIFIDPRU), the Interim Prudential sourcebook for Investment Businesses (IPRU-INV), and the Supervision Sourcebook (SUP) primarily to clarify existing rules and requirements. The modifications range from the redefinition of terms (‘qualifying holding’, ‘non-core liquid asset’, ‘own funds wind-down trigger’, ‘consolidated situation’) to the removal of references to requirements that no longer exist (e.g. reverse stress-testing requirement), to the correction of existing reporting instructions.
##### FCA 2023/14, CP22/26, no PS, EventID #18578
This instrument was published on March 31, 2023 and comes into force on April 24, 2023 following same consultation CP22/26. It modifies a Retained Delegated Regulation (Retained DelReg (EU) 2017/2417) under UK MiFIR primarily to remove USD LIBOR derivatives from the scope of the derivatives trading obligation (DTO) and add several SOFR (Secured Overnight Financing Rate) referencing derivatives to the DTO under UK MiFIR.
##### FCA 2023/15, CP22/23, no PS, EventID #18678
This instrument was published on March 31, 2023 and comes into force on April 1, 2023 following a corresponding consultation in November 2022 (CP22/23). It modifies the Fees Sourcebook (FEES) to increase application fees for Data Reporting Service Providers (DRSPs), Trade Repositories (TRs), and Securitisation Repositories (SRs), replace the annual flat rate fee for DRSPs with a variable rate based on applicable turnover, and clarify the definition of income for certain firms.
##### FCA 2023/16, CP23/3, PS3/23, EventID #20440
This instrument was published on March 31, 2023 and comes into force on April 1, 2023 following a corresponding consultation in January 2023 (CP23/2). It modifies the Fees Sourcebook (FEES) to set the „Management Expenses Levy Limit 2023/24“ at £109.8 million, which is the maximum amount that may be levied upon firms as regards the FSCS without having to further consult with market participants on additional fees.