FCA 2023/42: Data Reporting Services (Amendment) Instrument 2023

In view of the announced framework for a UK consolidated tape (please see EventID 24578 in this context), the Financial Conduct Authority (FCA) has published a new instrument (FCA 2023/42) to implement a first set of corresponding rules in the FCA Handbook.
Specifically, this new instrument modifies the Glossary of definitions, the Senior Management Arrangements, Systems and Controls sourcebook (SYSC), the Conduct of Business sourcebook (COBS), the Market Conduct sourcebook (MAR), the Decision Procedure and Penalties manual (DEPP), the Recognised Investment Exchanges sourcebook (REC) and the Enforcement Guide (EG) to, among others,
– adjust the definition of senior management to include „(in MAR 9) those natural persons who exercise executive functions within an investment firm, a market operator or a data reporting services provider, and who are responsible and accountable to the management body for the day-to-day management of the entity […]“ and make other relevant, but primarily editorial changes in the Glossary;
– apply the requirements as regards operational resilience to a future consolidated a tape provider (SYSC);
– remove relevant references in the MAR referring to EU regulations in relation to data reporting services providers (DRSPs);
– insert new provisions in the MAR for the selection of a consolidated tape provider (CTP) and the description of the requirements of a data reporting service provider in relation to
– the functioning of the management body,
– the handling of conflicts of interest,
– the handling and management of outsourcing arrangements,
– business continuity, and
– the management of IT and data security.
– insert new provisions in the MAR for the handling of information furnished by an Approved Publication Arrangement (APA) and an Approved Reporting Mechanism (ARM), including requirements as to the format of the provided data and error handling;
– insert new provisions in the MAR for complaints handling of a CTP, its financial resources, or notification requirements; and
– make other consequential amendments in the aforementioned sourcebooks.