CP21/25 : Issuing statutory notices - a new approach to decision makers — FCA — GB

Issuing statutory notices – a new approach to decision makers Consultation Paper CP21/25* July 2021

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CP21/25 Financial Conduct Authority
Issuing statutory notices – a new approach to decision makers Moving around this document Use your browser’s bookmarks and tools to navigate. To search on a PC use Ctrl+F or Command+F on MACs. How to respond We are asking for comments on this Consultation Paper (CP) by 17 September 2021.. You can send them to us using the form on our website at:
www.fca.org.uk/cp21-25-response-form
Or in writing to:
Law and Policy
Enforcement and Market Oversight
Financial Conduct Authority
12 Endeavour Square London E20 1JN
Telephone:
020 7066 1000
Email:
cp21-25@fca.org.uk
Sign up for our news and publications alerts See all our latest press releases, consultations and speeches. Contents 1 Summary 3 2 The wider context 6 3 Our powers and the need for statutory notices 8 4 Our current approach to decision making on statutory notices 12 5 Our proposed approach to decision making on statutory notices 15
Annex 1
Our current and proposed new decision makers on statutory notices 21
Annex 2
Questions in this paper 26
Annex 3
Cost benefit analysis 27
Annex 4
Compatibility statement 28
Annex 5
Abbreviations used in this paper 29
Appendix 1
Draft Handbook Text

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Issuing statutory notices – a new approach to decision makers 1 Summary Why we are consulting
1.1 We need to transform to ensure the FCA can make fast and effective decisions and
can prioritise the right outcomes for consumers, markets and firms. The decisions we make affect how and when consumers are protected from firms which do not meet our regulatory standards. We’re looking at how we maximise our delivery and make the best use of our breadth of expertise and capability.
1.2 A key part of our Transformation Programme is a fresh approach to tackling firms
and individuals who do not meet the required standards. This involves streamlining our decision making and governance so we can respond more quickly. As a result, we want to move some decision making from our Regulatory Decisions Committee (RDC) to our Authorisations, Supervision and Enforcement Divisions. The decision making framework we propose to use is our existing Executive Procedures framework. Who this applies to
1.3 This CP is likely to interest:

regulated firms
individuals working in financial services
consumer groups and individual consumers
industry groups / trade bodies
policy makers and regulatory bodies
industry experts and commentators
What we want to change
1.4 We want to change who decides to issue a statutory notice in some of our cases.
Statutory notices are required where we are proposing to exercise, or have already exercised, our enforcement and supervisory powers. For example, where we are varying or cancelling a firm’s permission, cancelling an individual’s approvals, or imposing requirements on a firm. Statutory notices are also required where we propose to refuse authorisation for a firm or approval of an individual, so preventing them from offering financial services to consumers.
1.5 Decisions to issue a statutory notice are made by the RDC and under Executive
Procedures. We want more decisions to be made under Executive Procedures. So we propose revising the decision-making remit of the RDC.
1.6 This will mean more decisions are taken within our Divisions with responsibility for the
issue. For example, decisions regarding authorisation applications will be made within

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Issuing statutory notices – a new approach to decision makers Authorisations. This will provide a more flexible approach, allowing decisions to be made faster, more effectively and efficiently.
1.7 The RDC presently makes decisions in relation to the following matters:

when we make a decision to use our own-initiative intervention powers to impose
a fundamental variation of permission or requirement in relation to a firm(DEPP 2.5.8G defines fundamental variation or requirement)
when we make a decision in relation to a firm’s authorisation or an individual’s
approval that is contested
when we decide to take action in straightforward cancellation cases because a firm
does not meet our regulatory requirements, and that action is contested
1.8 The RDC also makes decisions on matters that do not require the issue of a statutory
notice. These are approvals to commence civil or criminal proceedings, which include
decisions to commence civil proceedings, such as seeking an injunction
decisions to commence criminal proceedings, such as a prosecution for insider
dealing.
1.9 We are proposing that these decisions would be made through our Executive
Procedures rather than the RDC. The RDC will continue to decide cases where we are enforcing the FCA’s Principles and Rules for Businesses and seeking a resolution that involves a disciplinary or similar sanction, such as a financial penalty, a prohibition order or restitution. The changes we are making will not compromise the rights and protections that firms and individuals who are subject to these processes have; we will still remain transparent and accountable for all our decisions made through either process. Outcome we are seeking
1.10 As a result of these changes, the RDC would focus on contentious enforcement cases.
These cases often involve proposals to impose a sanction or disciplinary measure against a firm or individual and will concern conduct which has already taken place.
1.11 Decisions under Executive Procedures would focus on issues where we need to
prevent firms from offering financial services, or we need to intervene to prevent or stop harm to consumers or the market occurring or increasing.
1.12 While the identity of the decision maker will change, we believe this will enable us to act
more decisively and swiftly in the areas we suggest, where the greatest levels of harm exist. This is because of the flexibility that follows from the ability to have individual decision makers as opposed to decision making by committee. Read more about our proposed changes in Chapter 5

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Issuing statutory notices – a new approach to decision makers Measuring success
1.13 We will monitor the impact of these changes; for example, by tracking the time taken
from case allocation to decision and the types of decisions taken in different situations. Next steps
1.14 We want your feedback on our proposals and the issues discussed in this CP. Please
send your answers to the questions in the CP by 17 September 2021 using one of the methods in the ‘How to respond’ section on page 2.
1.15 Following this consultation, we will consider your feedback and publish a Policy
Statement; we expect to publish the Policy Statement in or around November 2021.

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Issuing statutory notices – a new approach to decision makers 2 The wider context Introduction
2.1 In this chapter we cover:

the issue we are trying to improve
the outcomes we want to see
equality and diversity considerations
2.2 The details of our proposals follow in Chapters 3, 4 and 5.
Background
2.3 In the same way that we require regulated firms and individuals to keep pace with the
changing world, our day-to-day regulation must continually adapt. As the world around us becomes more complex, we need to develop our capabilities. We are adapting our approach so that we are as effective as possible and can make confident, wellinformed decisions.
2.4 We are transforming the way that the FCA works through an ambitious programme
that encompasses our culture, our people and our technology. Our Transformation Programme seeks to change how we operate and help us to continue to deliver our Mission and good outcomes for consumers. We’re looking at how we maximise our delivery and make the best use of our breadth of expertise and capability.
2.5 Part of our Transformation Programme involves reviewing how we assess risk. We want
to be more robust and assertive in the decisions we make in order to prevent and stop harm faster and more effectively, including being bolder when making decisions.
2.6 We are also focused on how we can use new capabilities that are available which will
transform how we work and help deliver our priorities. One of the aims of our Data Strategy is to improve the way we use data and intelligence to better understand harm and manage it more swiftly.
2.7 Through our proposed changes we want to increase our ability to make some of our
decisions more quickly. By revising the decision-making framework and increasing Executive decision making, our decisions will be made in a more timely way. We want to be able to act swiftly where we think there is conduct that will lead to (or increase) harm to consumers or markets and give our decision makers the flexibility to use the appropriate tools to address the situation.
2.8 Similarly, when firms are applying for FCA authorisation, having decisions taken
through Executive Procedures will allow decisions to be taken with full appreciation of the wider context and full range of options.

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Issuing statutory notices – a new approach to decision makers Equality and diversity considerations
2.9 We have considered the equality and diversity issues that may arise from the proposals
in this CP. Overall, we do not consider that the proposals materially impact any of the groups with protected characteristics under the Equality Act 2010. But we will continue to consider the equality and diversity implications of the proposals during the consultation period. In the meantime, we welcome your input to this consultation on this issue.

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Issuing statutory notices – a new approach to decision makers 3 Our powers and the need for statutory notices
3.1 This Chapter gives an overview of how we regulate and what we mean by statutory
notices. It looks at the types of decisions which require a statutory notice. Why and how we regulate
3.2 We are responsible for regulating a sector which plays a critical role in the lives of
everyone in the UK. From children’s ISAs to pensions, direct debits to credit cards, loans to investments – how well financial markets work has a fundamental impact on us all.
3.3 We aim to make markets work well – for individuals, for business, large and small, and
for the economy as a whole. Financial markets need to be honest, fair and effective so that consumers get a fair deal.
3.4 Our strategic objective is to ensure that the relevant markets function well and our
operational objectives are to:

protect consumers – we secure an appropriate degree of protection for consumers
protect financial markets – we protect and enhance the integrity of the UK financial
system
promote competition – we promote effective competition in the interests of
consumers
3.5 Our work and purpose is defined by the Financial Services and Markets Act 2000
(FSMA). We work with consumer groups, trade associations and professional bodies, domestic regulators, and a wide range of other stakeholders. With this extensive remit, we use a proportionate approach to regulation, prioritising the areas and firms that pose a higher risk to our objectives. We have a range of powers available so that we may take action where firms or individuals do pose a risk. An overview of some of the powers we have in relation to our different functions is set out below. Authorisation decisions
3.6 We are responsible for authorising firms and approving individuals who undertake
financial services activities. Applicants must meet a range of requirements before we allow them to operate in the market.
3.7 Our regulatory requirements include a set of threshold conditions. Our Handbook
gives more detail on when and how the conditions apply. The conditions represent the minimum standards which a firm must satisfy to be authorised. In summary, the threshold conditions relate to:
the location of a firm’s office

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the capability of a firm to be effectively supervised
the firm having appropriate resources in relation to the activity to be carried out
the suitability of a firm (including how it is managed and whether its affairs are
conducted in an appropriate manner)
the suitability of the firms’ business model
3.8 We review their business plans, risks, budgets, resources, systems, controls and
whether key staff have the necessary qualifications, experience and ability to carry out their roles effectively. Firms must meet these requirements before we will authorise or register them. If these requirements are not met, we may decide to refuse an application for authorisation.
3.9 For individuals to be approved, they must also meet certain minimum standards. The
relevant test for individuals is the Fit and Proper test. We have regard to a number of factors when assessing the fitness and propriety of a person and we may refuse an application for approval if individuals do not meet the minimum standards.
3.10 We also have a range of powers under other legislation, for example the Payment
Services Regulations 2017 and the Money Laundering Regulations 2017 which transpose the 5th Money Laundering Directive. These include the ability to authorise or register firms or refuse to do so. Cancellation decisions
3.11 Firms and individuals must continue to satisfy the conditions after they have obtained
authorisation or approval. We are responsible for ensuring that all firms and individuals continue to meet these minimum standards.
3.12 We have powers to revoke authorisation or registration if a firm no longer meets
our minimum standards. There are various circumstances that could lead to the cancellation of a firm’s authorisation or registration. This depends on the legislation under which we have power to act.
3.13 We consider the threshold conditions to be fundamental requirements, and so we
generally take action where we have concerns about a firm or the way its business is or has been conducted. Where our concerns cannot be resolved through the use of supervisory tools, we will consider cancelling the firm’s permission.
3.14 For example; a firm that can no longer fulfil its basic regulatory obligations, such as
paying fees or submitting regulatory returns. When firms fail to pay fees or submit returns, we interpret this as a breach of the appropriate resources threshold condition or the suitability threshold condition.
3.15 We also have powers under other legislation to cancel permission or registration.
For example, under the Payment Services Regulations 2017 or the Electronic Money Regulations 2011.
3.16 We have also been provided with an additional process through which we can vary
or cancel the permissions of firms we have authorised. This allows us to act more quickly than currently to cancel or vary permissions where we consider that firms are no longer carrying on any activities we regulate. We have published a consultation paper setting out our proposed amendments to the Decision Procedure and Penalties Manual (DEPP) and our Fees manual- https://www.fca.org.uk/publication/consultation/ cp21-16.pdf

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3.17 For individuals, we may also revoke their approval, or ban them from working in a role if
we have evidence that they are no longer fit and proper.
Intervention decisions
3.18 Our work involves the continuing oversight of firms and of individuals controlling firms
to reduce actual and potential harm to consumers and markets.
3.19 We supervise against a framework of principles and rules. The firms that we regulate,
and their people, are responsible for ensuring that they act in accordance with these. We expect firms and their employees to meet these standards and we hold them to account when they fail to meet them.
3.20 Where we consider that a firm needs to take certain steps to meet regulatory
requirements, we will seek to agree those steps with the firm. However, where we consider it appropriate, we may exercise our statutory powers on our own initiative.
3.21 We have a range of powers to intervene where standards are not met. These powers
include the ability to vary a firm’s permission. This could mean narrowing the regulated activities that a firm has permission to carry on.
3.22 We may also impose limitations or requirements. Examples of limitations we may
impose include limitations on the number of categories of customer a firm can deal with, or on the number of specified investments that a firm can deal in. Examples of requirements we may consider imposing include a requirement not to take on new business, a requirement not to hold or control client money or to conduct a past business review and redress being paid to consumers. Enforcement cases
3.23 Our Enforcement division works closely with teams across the FCA in other Divisions,
as well as other regulators and law enforcement. This means we can identify and act early when enforcement action is necessary. The action we may take includes:

prohibiting individuals from carrying on regulated activities
suspending firms and individuals from undertaking regulated activities
issuing financial penalties against firms and individuals who breach our rules or
commit market abuse
The need for statutory notices
3.24 The exercise of the powers referred to above is subject to a statutory notice
procedure. This means we are required to give written notice to the person we propose to take action against. We issue different types of statutory notice, depending on the nature of the issue and the stage we are at.
3.25 Warning notices are issued where we propose to take certain action, for example
cancelling permission or imposing a financial penalty. Decision notices must be issued where, after considering the representations a firm or individual has made on a warning notice (or if none are made) we decide to take action.

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3.26 We issue supervisory notices when we decide to take certain other types of action. A
supervisory notice requires a regulated firm to do something or not to do something – for example, it may remove regulated activities from a firm’s permissions, or impose requirements restricting the use of assets.
3.27 Unlike a warning notice or decision notice, the action set out in a supervisory notice
may take effect immediately. That means we may give written notice after we have made a decision, so there is no opportunity before a decision is made to make representations. The chance to make representations will, in some instances, arise once a supervisory notice has already been issued.
3.28 We have not referred to Final Notices or Notices of Discontinuance. These notices
are not included in the definition of statutory notice in our Handbook and are not the subject of this CP. Where we exercise powers under other legislation, we expect to adopt a procedure in respect of notices under enactments other than FSMA which is similar to that for statutory notices under FSMA, but which recognises any differences in the legislative framework and requirements.
3.29 Examples of the different types of notices are summarised in the table below.
Table: Example Statutory Notices
Type of
Statutory
Notice
Description Example
Warning Notice
Gives the recipient details about action that we propose to take and about the right to make representations. Cancelling a Part 4A Permission Imposing a financial penalty Decision Notice Gives the recipient details about action that we have decided to take. Cancelling a Part 4A Permission Prohibiting an individual from undertaking regulated activities First Supervisory Notice Gives the recipient details about action that we have taken or propose to take Varying a Part 4A Permission Imposing a requirement on a firm Second Supervisory Notice Gives the recipient details about action that we have decided to take Varying a Part 4A Permission

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Issuing statutory notices – a new approach to decision makers 4 Our current approach to decision making on statutory notices Introduction
4.1 This Chapter looks at who currently decides to issue statutory notices. We often refer
to these decisions as ‘statutory notice decisions’. This chapter also gives an overview of decision making by the RDC (including decisions to commence civil and criminal proceedings), and decision making under Executive Procedures. Who currently makes decisions to issue statutory notices?
4.2 We are required by section 395 FSMA to publish our procedure for giving statutory
notices. The procedure must be designed to ensure that the decision which gives rise to the obligation to give a statutory notice is taken by a person not directly involved in establishing the evidence on which that decision is based. Alternatively, a decision to give a statutory notice may be made by two or more persons who include a person not directly involved in establishing that evidence. In some instances, FSMA allows us to issue a supervisory notice, even where the individual decision maker has been involved in establishing the evidence.
4.3 Subject to this statutory provision, which helps ensure we make fair and objective
decisions, the procedure and decision maker are matters for our discretion.
4.4 Our assessment of the appropriate decision maker to issue statutory notices depends
on the nature of the decision, including its complexity, impact and urgency. All our decisions to give a statutory notice are taken either by the RDC or under Executive Procedures. DEPP sets out whether the decision is made by the RDC or under Executive Procedures. Statutory notice decisions made by the RDC
4.5 The RDC is a Committee of the FCA Board that operates separately from the rest of
the FCA. The FCA Board appoints the RDC Chair, one or more Deputy Chairs and the other members of the Committee. Generally, RDC cases are considered by a panel of 3 members, including the Chair or a Deputy Chair. If the decision is straightforward or is urgent, the RDC Chair or a Deputy can decide alone whether to issue a statutory notice.
4.6 The RDC takes a range of statutory notice decisions on our behalf. These decisions
relate to enforcement and supervisory actions, as well as refusing applications by firms for authorisation and by individuals for approval. The RDC operates with the benefit of its own support staff and legal advisers. More information on the RDC and how it

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Issuing statutory notices – a new approach to decision makers operates is available here: https://www.fca.org.uk/about/committees/regulatorydecisions-committee-rdc
4.7 The types of cases where the RDC makes statutory notice decisions include:

decision notices refusing authorisation, variation of permissions or approval of an
individual
cancelling permissions and registrations
issuing prohibitions to prevent an individual from carrying on activities in relation to
regulated business, or from carrying on any such role
issuing financial penalties or public censures against a firm or individual
issuing suspensions or restrictions against a firm or individual preventing them
from carrying out actions
withdrawing approval from an individual for particular functions
4.8 The RDC is also our decision maker for supervisory notices in relation to variations of
permission and ‘asset requirements’, which impose certain types of restriction on a firm’s ability to deal with its assets or consumers’ assets which it holds.
4.9 At present, a decision to exercise our powers under sections 401 and 402 FSMA and
commence criminal proceedings is made by the RDC Chair (or the Deputy Chair, director of Enforcement or another director of at least director of division level depending on the degree of urgency). Decisions about whether to initiate criminal proceedings under the Building Societies Act 1986, the Friendly Societies Acts 1974 and 1992 and the Co-operative and Community Benefit Societies Act 2014 may be taken by the RDC or under Executive Procedures, depending on the impact and complexity of the offence.
4.10 Decisions about whether to apply to the civil courts for injunctions, restitution orders
or insolvency orders under FSMA or other legislation are presently made in the same way as set out above for the commencement of criminal proceedings. Statutory notice decisions under executive procedures
4.11 Our corporate governance arrangements set out which decisions are reserved
specifically to the Board and the process by which the Board delegates other responsibilities to committees or individuals. The Board has delegated a range of functions to the Chief Executive, who may in turn delegate to one or more individuals or committees. By way of these delegations, statutory notice decisions may be made under Executive Procedures.
4.12 All statutory notice decisions under Executive Procedures are taken either by a senior
staff committee or by an individual FCA staff member. A senior staff committee meeting comprises a Chair and at least two other members; it operates on the basis of a recommendation from our staff and with the benefit of legal advice from our staff. During 2020, the senior staff committee made the decision to issue over 120 statutory notices.
4.13 The types of decisions involving statutory notices issued under Executive Procedures
include

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warning notices refusing an application for Part 4A permission or refusing an
application for a person to be approved
imposing a limitation or requirement which was not applied for on the grant
of a Part 4A permission (unless the action involves a fundamental variation or requirement) Challenge to our statutory notice decisions
4.14 Recipients of a statutory notice can challenge the decision to issue the notice whether
that notice has been given by the RDC or through Executive Procedures, by making representations to the RDC or the executive decision maker. For example, where a decision is made under Executive Procedures to refuse an authorisation application, representations may be made to the RDC. The RDC may then decide to issue a decision notice.
4.15 For a warning notice, instead of making representations to us, the subject may notify
the RDC that they wish to make an expedited reference to the Upper Tribunal. The RDC will then issue a decision notice, subject to the interests of any third parties.
4.16 For recipients of a decision notice, they may either accept the decision or take the
matter to Court by referring it to the Upper Tribunal.
4.17 Unlike a warning notice or decision notice, the action set out in a supervisory notice
can take effect immediately or on a date set out in the notice. It is open to the recipient of a first supervisory notice to refer it the Upper Tribunal within 28 days of receiving it.
4.18 If we issue a second supervisory notice after considering representations, that notice
may also be referred to the Upper Tribunal. The Upper Tribunal has the power to suspend the effect of a supervisory notice.

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Issuing statutory notices – a new approach to decision makers 5 Our proposed approach to decision making on statutory notices
5.1 We propose making some changes to who takes some of our decisions. This Chapter
provides more detail on

why we’re proposing the changes
what the changes would be
what the changes would mean for our procedures.
Why we’re making the changes
5.2 In the same way that we require regulated firms and individuals to keep pace with the
changing world, our day-to-day regulation must continually adapt. As the world around us becomes more complex, we need to grow and develop our capabilities.
5.3 Our Transformation Programme seeks to change how we operate and help us to
continue to deliver good outcomes for consumers. We’re looking at how we maximise our delivery and make the best use of our breadth of expertise and capability. As part of our Transformation Programme, we have reviewed who makes our statutory notice decisions and how those decisions are made.
5.4 The RDC currently reviews the majority of notices, with the bulk of the volume
being straightforward cancellation decisions. In 2019/20, the RDC made nearly 400 decisions. Of these, 329 were cancellation decisions based on failures to meet the threshold conditions. In about a third of these, firms either voluntarily cancelled their permissions, or took the required steps during the process, so ending the regulatory action and enabling the firms to continue trading.
5.5 Our Transformation Programme seeks to place greater emphasis on individual
responsibility and accountability for decisions. Rather than having decisions taken by RDC members who, aside from the Chair, are not FCA staff, we want more decisions taken by our senior staff.
5.6 This would allow the RDC to focus on significant misconduct cases, where the harm
has already materialised, and we consider the subject needs to be penalised for the failure. These decisions are usually the most material and are less urgent.
5.7 We consider that our proposals will continue to fulfil our obligations under section 395
FSMA. This provision does not require separation between the investigation team and the decision maker. Rather, it requires us to ensure that the decision which gives rise to the obligation to give a statutory notice is taken by a person not directly involved in establishing the evidence on which that decision is based. Alternatively, a decision to give a statutory notice may be made by two or more persons who include a person not directly involved in establishing that evidence. We will still be transparent about how we make our decisions and accountable for them; none of the proposed changes removes any of the rights and protections that firms and individuals subject to our decisionmaking processes have.

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5.8 Another reason for proposing change is that having a potential mix of decision makers
is inefficient and time consuming. The decision to give a warning notice and a decision notice in a particular matter will often not be taken by the same decision maker. Certain types of action require that the warning notice decision be taken by our staff under Executive Procedures and the decision notice decision be taken by the RDC.
5.9 In other instances, the decision to give a first supervisory notice may be made under
Executive Procedures and the decision to give the second supervisory notice will be made by the RDC. And in the case of certain supervisory notices, both the first and second notice will be issued by the RDC.
5.10 Having two sets of decision makers on the same matter can lead to duplication and
delay. We want to streamline our approach to make it more efficient and enable us to make decisions more quickly. What we propose
5.11 We still need to ensure that decision makers who determine whether to issue a
statutory notice are not involved in establishing the evidence which forms the basis for the recommended action against a firm or individual. We propose that the decision to issue a statutory notice on the following issues are made under Executive Procedures rather than by the RDC; however, the RDC will remain the decision maker in cancellation cases where we have opened an investigation, where we are proposing a disciplinary sanction or seeking to impose a prohibition order. Category of decision Current decision Maker Proposed Decision Maker Authorisations (refusal of permission) Executive Procedures and RDC Executive Procedures Straightforward Cancellations (eg threshold conditions) RDC Executive Procedures Interventions (Variation of permission and imposition of requirements fundamental) Executive Procedures and RDC Executive Procedures and RDC Executive Procedures Interventions (variation of permission and imposition of requirements non fundamental) Executive Procedures
5.12 The decisions to issue statutory notices in the table above refer to decisions under
FSMA and other enactments, for example, the Payment Services Regulations 2017 or the Electronic Money Regulations 2001.
5.13 In addition to the proposed changes to who decides to issue a statutory notice, we
propose that decisions on whether to commence civil or criminal proceedings through the court (as set out in paragraphs 4.9 and 4.10 above) are made under Executive Procedures.
5.14 Since the process of approval by the RDC was put in place, we have built up a
considerable amount of experience and expertise in both civil and criminal litigation. There is a substantial amount of preparation work and analysis carried out before taking the decision to start legal proceedings. We believe that the benefit of a further layer of consideration is outweighed by the time and resources saved by not preparing further submission documents to the RDC and the RDC’s consideration of the issue.

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Issuing statutory notices – a new approach to decision makers After commencing proceedings, our conduct and that of the other parties to the litigation will be subject to and governed by the Court’s case management powers. Category of decision Current decision Maker Proposed Decision Maker Approvals to commence civil or criminal proceedings RDC (or Executive Procedures where criminal proceedings under legislation other than FSMA) Executive Procedures See a more detailed summary of our proposed changes in Annex 1.
Appendix 1 contains a draft of the Handbook changes
5.15 As a result of these changes, the RDC would focus on significant misconduct cases,
where the harm has already materialised and the subject needs to be penalised for the failure. These cases could involve proposals to impose a sanction or disciplinary measure against a firm or individual.
5.16 Decisions under Executive Procedures would focus on situations where we need to
intervene to prevent or stop harm, or prevent harm from increasing, to consumers or the market, where the exercise of a power involves making regulatory judgments. This may be through the use of our statutory intervention powers, or through our authorisation and cancellation decisions as well as action through the civil and criminal courts. These matters will often involve us needing to act decisively and swiftly.
5.17 In all situations, the decision maker will make decisions by applying the relevant
statutory tests, having regard to the context and nature of the matter, that is, the relevant facts, law, and our priorities and policies (including on matters of legal interpretation). Q1: Do you agree with the proposal to move some statutory notice decisions from the RDC to the Executive? Please give reasons for your answer. Q2: Do you agree with the categories of decision that we suggest? If not, which statutory notice decisions do you consider the RDC should keep? And which statutory notice decisions should be made under Executive Procedures? Changes to decision making under executive procedures
5.18 Our Executive Procedures decision making framework is already well established and
set out in DEPP. The procedure for taking decisions under Executive Procedures is generally less formal and structured than that for decisions by the RDC. The approach will generally remain the same, to continue to facilitate greater flexibility and speed of decision making.
5.19 We propose some changes to the framework to provide additional flexibility. Under
Executive Procedures, a decision may be made by an individual or by committee. The first change would be to amend the definition of Senior Staff Committee meeting, so that it would comprise a minimum of two, rather than three people.DEPP already

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5.20 We propose keeping the option to refer a matter to the RDC, where the RDC is
considering, or shortly due to consider, a closely related matter. This means there may be a limited number of situations where the RDC issues a supervisory notice. This would promote consistency of decision-making and potential savings in terms of the time and cost of reaching a decision. Q3: Do you agree with the proposed changes to the definition of Senior Staff Committee meeting under Executive Procedures? Please give reasons for your answer
5.21 Whilst the Executive Procedures framework largely remains the same, we recognise
that moving some of our decision making from the RDC to the Executive will lead to three main points of difference between the proposed Executive Procedures and the RDC’s procedure. Those differences relate to:

the ability to make oral representations once a statutory notice has been issued
the role of legal advisers to the decision maker
the disclosure of communications between FCA staff recommending the decision
and those responsible for the decision to give a statutory notice. Making oral representations
5.22 Recipients of our statutory notices currently can make representations to us about
the action covered by the notice. Recipients of a Warning Notice, which proposes the action we are minded to take, have a statutory right to make representations to us on the content of the notice. This means we will consider representations before deciding to take action.
5.23 Recipients of a first supervisory notice also have the option to make representations.
However, we can issue a supervisory notice which takes immediate effect. That means the opportunity to make representations to us will arise after we have decided that action needs to be taken.
5.24 We currently take account of written and oral representations and have reviewed our
current procedures for considering oral representations. We will continue to enable a recipient of a Warning Notice to make oral representations where the decision maker is the RDC.
5.25 For statutory notice decisions to be made under Executive Procedures, we will take
account of written representations, and in exceptional circumstances will allow recipients to make oral representations. These could be made in addition to written representations or as an alternative.
5.26 We are proposing this change as part of our changes to improve the efficiency and
speed of decision making. Scheduling oral representation meetings delays decision making, and the decisions that are the subject of this consultation are those where we need to move at pace and make swift decisions.

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Issuing statutory notices – a new approach to decision makers
5.27 We would not restrict representations to written only if that would impact on the
fairness of the decision. We would expect that such circumstances would mean that the case falls into the exceptional circumstances category of cases and oral representations would be heard. An example of exceptional circumstances may be where the subject of the notice is not reasonably able to make written representations due to personal circumstances.
5.28 We consider that in the vast majority of matters, decisions made under Executive
Procedures can be made on the basis of written representations and this will enable us to make properly informed decisions more quickly. The test for urgency when considering our powers
5.29 We are also proposing a change to our policy set out in our Enforcement Guide (EG)
8.3. This is where we believe it is necessary to act on an own initiative basis, and / or
for a variation of permission or requirement, to take effect without urgency being a requirement for the use of such powers. We set out the circumstances when we will consider the exercise of this power: where we have information available that indicates serious concerns about the firm or its business that need to be addressed immediately; and circumstances indicate that it is appropriate to use statutory powers immediately to require and/or prohibit certain actions by the firm to ensure the firm addresses these concerns.
5.30 We are not proposing any changes to those circumstances, or to the factors set out
in EG 8.3.3 (examples of situations that would give rise to such serious concerns) and
8.3.4 (examples of factors going to seriousness). However, we propose to remove the
requirement for urgency before we can make such a decision.
5.31 So the focus will be on the seriousness of the situation – including risk of loss for
consumers, financial crime risks, where we have been misled or have such serious concerns about a firm that the firm’s ability to meet our threshold conditions is called into question. Urgency may very likely be a factor, but it is not helpful as a “precondition” - we want to be able to address situations where we consider we have exhausted our engagement with a firm and consider that an intervention (whether a requirement or variation of permission) with immediate effect or a specified date is the appropriate and logical next step. The role of legal advisers to executive decision makers
5.32 Some statutory notice decisions previously made by the RDC (which has its own
legal advisers) would now be made under Executive Procedures, where FCA staff responsible for taking the statutory notice decision may be advised by legal advisers who have also advised FCA staff recommending action by the FCA. Disclosure of communications
5.33 Our current approach to sharing communications between our staff recommending
that action be taken and those responsible for a decision under Executive Procedures

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Issuing statutory notices – a new approach to decision makers is set out in DEPP. We will not normally disclose such communications and we propose to maintain this approach.
5.34 This contrasts to the approach applying to communications where the RDC is the
decision maker. In those such cases, it will remain the case that the RDC will not, after giving a warning notice, meet with or discuss the matter while it is still ongoing with the FCA staff responsible for the case without other relevant parties being present or otherwise having the opportunity to respond. Q4: Do you agree with the proposal that oral representations may only be made to Executive decision makers in exceptional circumstances? If not, please give reasons for your answer. Q5: Do you agree with the proposed definition of exceptional circumstances? If not, please explain how you would define exceptional circumstances. Q6: Do you agree with the proposed modifications to our Executive Procedures framework? When would the new approach to decision making start?
5.35 Our Consultation closes on 17 September 2021 and we aim to publish a Policy
Statement in or around November 2021. Subject to the responses to our consultation, if we decide to implement the changes as we propose, we envisage that the revised decision making framework would start in November. At that point, we propose that any cases being considered by the RDC would remain with the RDC. When considering those cases, the RDC will follow its stated procedures. This includes any cases where a warning notice has been issued before that date which refers to making representations to the RDC.

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Annex 1
Financial Conduct Authority
Issuing statutory notices – a new approach to decision makers
Annex 1
Our current and proposed new decision makers on statutory notices

This Annex contains tables which give a simplified overview of our current statutory
notice decision approach to

Authorisations
Cancellations
Interventions
Enforcement

It also contains tables to summarise our proposed changes to the identity of the
decision maker on statutory notices for those decisions. These decisions include those made under FSMA or other enactments. The details of the proposed decision maker is is set out in the Handbook changes at Appendix 1.
There is also a table for decisions to approve commencing civil or criminal proceedings.
These decisions do not involve issuing a statutory notice.
Authorisations
The table below illustrates the steps in the current process where representations are
made. It also sets out the decision maker at each step of the process.
Table: Our Current Process – Authorisations
Step in
Process Action Decision Maker
1 Recommendation to refuse application FCA Team 2 Issue warning notice if agree with recommendation to refuse Executive Procedures 3 Opportunity to make written and/or oral representations RDC 4 Issue decision notice after hearing representations RDC 5 Opportunity to refer refusal to the UT
The table below illustrates what the proposed changes would mean for decision
making on authorisation matters
Table: Our Proposed Process – Authorisations
Step in
Process Action Decision Maker
1 Recommendation to refuse application FCA Team 2 Issue warning notice if agree with recommendation to refuse Executive Procedures)

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Issuing statutory notices – a new approach to decision makers Step in Process Action Decision Maker 3 Opportunity to make written representations Opportunity to make oral representations in exceptional circumstances Executive Procedures 4 Issue decision notice (after considering representations where applicable) Executive Procedures 5 Opportunity to refer refusal to the UT Cancellations
6. The table below illustrates the steps in the process and the decision maker at each
step for decisions to issue a statutory notice to cancel.
Table: Our current process – cancellations
Step in
Process Action Decision Maker
1 Recommendation to cancel FCA Team
2 Issue warning notice if agree with recommendation to cancel RDC 3 Opportunity to make written and / or oral representations RDC 4 Issue decision notice (after considering representations where applicable) RDC 5 Opportunity to refer cancellation to the UT
7. The following table sets out who the decision maker would be under our proposed new
approach.
Table: Our proposed process – cancellations
Step in
Process Action Decision Maker
1 Recommendation to cancel FCA Team
2 Issue warning notice if agree with recommendation to cancel Executive Procedures 3 Opportunity to make written representations Opportunity to make oral representations in exceptional circumstances Executive Procedures 4 Issue decision notice (after considering representations where applicable) Executive Procedures 5 Opportunity to refer cancellation to the UT Intervention cases
8. The table below illustrates the steps in the current process and the decision maker at
each step of the process.

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Annex 1
Financial Conduct Authority
Issuing statutory notices – a new approach to decision makers
Table: Our current process - Fundamental variation or requirement
Step in
Process Action Decision Maker
1 Recommendation to intervene and impose fundamental variation or requirement FCA Team 2 Issue First Supervisory Notice if agree with recommendation RDC 3 Opportunity to make written and / or oral representations RDC 4 Issue Second Supervisory (after considering representations where applicable) RDC 5 Opportunity to refer to the UT
9. The table below illustrates what the proposed changes could mean for decision making
which involves a fundamental variation or requirement.
Table: Our proposed process - Fundamental variation or requirement
Step in
Process Action Decision Maker
1 Recommendation to intervene FCA Team
2 Issue First Supervisory Notice if agree with recommendation Executive Procedures 3 Opportunity to make written representations Opportunity to make oral representations in exceptional circumstances Executive Procedures 4 Issue Second Supervisory Notice (after considering representations where applicable) Executive Procedures 5 Opportunity to refer to the UT
10. We will continue to distinguish between Fundamental and Non- Fundamental
variations or requirements. The table below illustrates the current steps in the process and the decision maker at each step for a Non-Fundamental Variation or Requirement.
Table: Our current process – Non-Fundamental variation or requirement
Step in
Process Action Decision Maker
1 Recommendation to intervene FCA Team
2 Issue First Supervisory Notice if agree with recommendation Executive Procedures 3 Opportunity to make written and / or oral representations Executive Procedures 4 Issue Second Supervisory Notice, (after considering of representations where applicable) Executive Procedures 5 Opportunity to refer to the UT
11. The table below illustrates the approach for decision making where the variation or
requirement is not fundamental. All these decisions are already made under Executive Procedures.

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Annex 1
Financial Conduct Authority
Issuing statutory notices – a new approach to decision makers Our proposed process - Non-Fundamental variation or requirement Step in Process Action Decision Maker Decision Maker 1 Recommendation to intervene FCA Team FCA Team 2 Issue First Supervisory Notice if agree with recommendation Executive Procedures) Executive Procedures 3 Opportunity to make written representations Opportunity to make oral representations in exceptional circumstances Executive Procedures Executive Procedures 4 Issue Second Supervisory Notice (after considering representations where applicable) Executive Procedures Executive Procedures 5 Opportunity to refer to the UT Enforcement
12. The table below illustrates the steps in our current process and the decision maker at
each step of the process. We do not propose any changes to who will decide whether to issue a statutory notice on our enforcement cases. All decisions to issue statutory notices on Enforcement cases will continue to be made by the RDC. Our process – Enforcement Step in Process Action Decision Maker 1 Recommendation to impose penalty / disciplinary prohibition / sanction etc FCA Team 2 Issue warning notice RDC 3 Opportunity to make written and / or oral representations RDC 4 Issue decision notice (after considering representations where applicable) RDC 5 Opportunity to refer to the UT Approval to commence civil or criminal proceedings
13. The table below illustrates the steps in the current process and the decision maker at
each step of the process.
Our current process – Decisions to commence civil proceedings or criminal proceedings under FSMA Step in Process Action Decision Maker 1 Recommendation to commence proceedings FCA Team

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Annex 1
Financial Conduct Authority
Issuing statutory notices – a new approach to decision makers Step in Process Action Decision Maker 2 Decision whether to accept recommendation RDC Chair, RDC Deputy, Or Enforcement Director (exceptional urgency) Our current process – Decisions to commence criminal proceedings under legislation other than FSMA Step in Process Action Decision Maker 1 Recommendation to commence proceedings FCA Team 2 Decision whether to accept recommendation RDC Chair, RDC Deputy, or Enforcement Director (exceptional urgency) or Executive Procedures (Individual or Committee)
14. The table below shows who the decision maker would be under the new framework.
Our Proposed Process – Decisions to commence civil proceedings or criminal proceedings Step in Process Action Decision Maker 1 Recommendation to commence proceedings FCA Team 2 Decision whether to accept recommendation Executive Procedures (Individual - Enforcement Executive Director or acting Executive Director)

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Annex 2
Financial Conduct Authority
Issuing statutory notices – a new approach to decision makers
Annex 2
Questions in this paper
Q1: Do you agree with the proposal to move some statutory notice decisions from the RDC to the Executive? Please give reasons for your answer. Q2: Do you agree with the categories of decision that we suggest? If not, which statutory notice decisions do you consider the RDC should keep? And which statutory notice decisions should be made under Executive Procedures? Q3: Do you agree with the proposed changes to the definition of Senior Staff Committee meeting under Executive Procedures? Please give reasons for your answer Q4: Do you agree with the proposal that oral representations may only be made to Executive decision makers in exceptional circumstances? If not, please give reasons for your answer. Q5: Do you agree with the proposed definition of exceptional circumstances? If not, please explain how you would define exceptional circumstances. Q6: Do you agree with the proposed modifications to our Executive Procedures framework?

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Annex 3
Financial Conduct Authority
Issuing statutory notices – a new approach to decision makers
Annex 3
Cost benefit analysis

Our proposals do not impose additional obligations on firms. They are not related
to rule changes or guidance on rules. Under section 138I of FSMA, when the FCA wishes to introduce any new rules it must publish a cost benefit analysis along with the proposed rules. Since the requirements under section 138I are not applicable, the FCA is not required to carry out a cost benefit analysis. In any event, the FCA does not expect that the proposal will lead to any increase in costs, or the cost increase will be of minimal significance. Impact on mutual societies
Where a mutual society is authorised under Part 4A FSMA, the effect on them of these
changes is the same as on any other firm authorised under Part 4A FSMA, as described above. If a mutual society is not authorised under Part 4A FSMA, the new power, and consequently the changes being consulted on here, will not apply.

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Annex 4
Financial Conduct Authority
Issuing statutory notices – a new approach to decision makers
Annex 4
Compatibility statement

Section 1B of FSMA requires the FCA, when discharging its general functions, as far as
is reasonably possible, to act in a way that is compatible with its strategic objective and that advances one or more of its operational objectives. The FCA also needs to, so far as is compatible with acting in a way that advances the consumer protection objective or the integrity objective, carry out its general function in a way that promotes effective competition in the interests of consumers.
The FCA’s general functions include its functions in relation to making rules under
FSMA and the giving of general advice. In discharging its general functions, the FCA must have regard to the regulatory principles in section 3B of FSMA.
We are satisfied that the proposed changes are compatible with our objectives
and regulatory principles. In particular, the proposed changes link to the regulatory principle that we use our resources in the most efficient and economical way.

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Annex 5
Financial Conduct Authority
Issuing statutory notices – a new approach to decision makers
Annex 5
Abbreviations used in this paper
Abbreviation Description
CP Consultation Paper
EG Enforcement Guide
DEPP Decision Procedures and Penalties Manual FCA Financial Conduct Authority FSMA Financial Services and Markets Act 2000 PRA Prudential Regulation Authority RDC Regulatory Decisions Committee TC Threshold Conditions We make all responses to formal consultation available for public inspection unless the respondent requests otherwise. We will not regard a standard confidentiality statement in an email message as a request for non-disclosure. Despite this, we may be asked to disclose a confidential response under the Freedom of Information Act 2000. We may consult you if we receive such a request. Any decision we make not to disclose the response is reviewable by the Information Commissioner and the Information Rights Tribunal. All our publications are available to download from www.fca.org.uk. If you would like to receive this paper in an alternative format, please call 020 7066 7948 or email: publications_graphics@fca.org.uk or write to: Editorial and Digital team, Financial Conduct Authority, 12 Endeavour Square, London E20 1JN Sign up for our news and publications alerts

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Appendix 1
Financial Conduct Authority
Issuing statutory notices – a new approach to decision makers
Appendix 1
Draft Handbook Text

FCA 2021/XX
CHANGES TO DECISION MAKING FOR STATUTORY NOTICE PROCEDURE INSTRUMENT 2021 Powers exercised A. The Financial Conduct Authority (“the FCA”) makes this instrument in the exercise of the following powers and related provisions in the Financial Services and Markets Act 2000 (“the Act”):
(1) section 63C (Statement of policy);
(2) section 69 (Statement of policy);
(3) section 88C (Action under s.88A: statement of policy); (4) section 89S (Action under s.89Q: statement of policy); (5) section 93 (Statement of policy); (6) section 124 (Statement of policy); (7) section 131J (Imposition of penalties under section 131G: statement of policy); (8) section 137T (General supplementary powers); (9) section 139A (Power of the FCA to give guidance); (10) section 192N (Imposition of penalties under section 192K: statement of policy); (11) section 210 (Statements of policy); (12) section 312J (Statement of policy); (13) section 345D (Imposition of penalties on auditors or actuaries: statement of policy); and (14) section 395 (The FCA’s and PRA’s procedures). B. The rule-making provisions listed above are specified for the purposes of section 138G(2) (Rule-making instruments) of the Act. Commencement
C. This instrument comes into force on [date].
Amendments to the Handbook
D. The Decision Procedure and Penalties manual (DEPP) is amended in accordance with
Annex A to this instrument.
E. The Enforcement Guide (EG) is amended in accordance with Annex B to this instrument. Citation F. This instrument may be cited as the Changes to Decision Making for Statutory Notice Procedure Instrument 2021.

FCA 2021/XX
By order of the Board
[date]

FCA 2021/XX
Annex A
Amendments to the Decision Procedure and Penalties manual (DEPP) In this Annex, underlining indicates new text and striking through indicates deleted text, unless otherwise stated. 1 Application and Purpose …
1.2 Introduction to statutory notices
…
The decision makers
1.2.5 G Decisions on whether to give a statutory notice will be taken by a ‘decision
maker’. The FCA’s assessment of who is the appropriate decision maker is subject to the requirements of section 395 of the Act and will depend upon the nature of the decision, including its complexity, importance and urgency. References to the ‘decision maker’ in DEPP are to:
(1) the Regulatory Decisions Committee (RDC) FCA staff under executive procedures; or (2) FCA staff under executive procedures the Regulatory Decisions Committee (RDC); or (3) FCA staff under the settlement decision procedure. … 2 Statutory notices and the allocation of decision making …
2.1 Statutory notices
…
Consistent decision making
…
2.1.4A G If a statutory notice decision is referred to the RDC which would otherwise be taken by executive procedures in accordance with DEPP 2.1.4G, the RDC will follow the procedure as set out at DEPP 3.2. …

FCA 2021/XX
2.3 Decision notices and second supervisory notices
Approach of decision maker
…
2.3.1A G Notwithstanding DEPP 2.3.1G(2), FCA staff under executive procedures who are asked to decide whether to give a decision notice or second supervisory notice will consider oral representations only in exceptional circumstances where they determine that prohibiting oral representations are likely to impact on the fairness of the decision. This may include (but is not limited to) circumstances where:
(1) the subject of the decision notice or second supervisory notice is not reasonably able to make written representations due to relevant personal circumstances; and/or (2) oral representations are required due to the urgency or complexity of the matter to be decided. …
2.5 Provision for certain categories of decision
…
Different decision makers
2.5.2 G The In some circumstances, the decision to give a warning notice and a
decision notice in a particular matter will often not be taken by the same decision maker. Certain types of action require that the warning notice decision be taken by FCA staff under executive procedures and the decision notice decision be taken by the RDC. Similarly For example, in enforcement cases the RDC might take the decision to give a warning notice, but the decision to give a decision notice could be taken by the settlement decision makers on the basis that the person concerned does not contest the action proposed (see DEPP 5). …
2.5.5 G If representations are made in response to a warning notice proposing any
of the action actions set out at DEPP 2.5.3G(1), DEPP 2.5.3G(4), DEPP 2.5.3G(4A), DEPP 2.5.3G(4B) or DEPP 2.5.3G(5), then the RDC will take the decision to give a decision notice. DEPP 2.5.3G, then FCA staff under executive procedures will take the decision to give a decision notice. 2.5.5A G If representations are made in response to a warning notice proposing the action set out at DEPP 2.5.3G(3B), FCA staff under executive procedures will take the decision to give a decision notice. [deleted]

FCA 2021/XX
2.5.6 G If representations are made in response to a warning notice proposing the
action set out at DEPP 2.5.3G(2), DEPP 2.5.3G(3), DEPP 2.5.3G(3A), or DEPP 2.5.3G(6), then the RDC will take the decision to give a decision notice if the action involves a fundamental variation or requirement (see DEPP 2.5.8G). Otherwise, the decision to give the decision notice will be taken by FCA staff under executive procedures. [deleted] … FCA’s own-initiative powers
2.5.7 G The RDC FCA staff under executive procedures will take the decision to
give a supervisory notice exercising the FCA’s own-initiative powers (by removing a regulated activity, by imposing a limitation or requirement or by specifying a narrower description of regulated activity) if the action involves a fundamental variation or requirement, including where the action involves a fundamental variation or requirement (see DEPP 2.5.8G). Otherwise, the decision to give the supervisory notice will be taken by FCA staff under executive procedures. 2.5.7A G Notwithstanding DEPP 2.5.7G, FCA staff under executive procedures will be the decision maker whenever when a firm agrees not to contest the FCA’s exercise of its own-initiative powers, including where the FCA’s action involves a fundamental variation or requirement. and when the exercise of the FCA’s own-initiative powers is contested by a firm. 2.5.7B G Any decision made by FCA staff under executive procedures to give a supervisory notice exercising the FCA’s own-initiative powers (by removing a regulated activity, by imposing a limitation or requirement or by specifying a narrower description of regulated activity) which involves a fundamental variation or requirement (see DEPP 2.5.8G) will be taken by a member of FCA staff of at least Director level (which may include an acting Director). … The FCA’s power to vary SMF manager’s approval on its own initiative 2.5.8A G The RDC FCA staff under executive procedures will take the decision under section 63ZB of the Act to vary an approval given to an SMF manager (by imposing a condition, varying a condition, removing a condition or limiting the period for which the approval is to have effect). 2.5.8B G Notwithstanding DEPP 2.5.7G, FCA staff under executive procedures will be the decision maker whenever when all of the interested parties (as defined by section 63ZC(6) of the Act) agree not to contest the FCA’s exercise of its power under section 63ZB of the Act and when the exercise of such powers is contested by any of the interested parties (as so defined). …

FCA 2021/XX
Decisions relating to imposition of limitations or other restrictions of sponsors and primary information providers 2.5.11A G Under section 88(4)(aa) of the Act, if the FCA proposes to impose limitations or other restrictions on the services to which a sponsor’s approval relates, it must give him a warning notice. If, after considering any representations made in response to the warning notice, the FCA decides to impose limitations or other restrictions on the services to which a sponsor’s approval relates, it must give him a decision notice. Where the sponsor has requested or otherwise agrees to the limitation or other restriction, FCA staff under executive procedures will take the decision to give the warning notice and decision notice where the sponsor has requested or otherwise agrees to the limitation or other restriction and where the sponsor contests the imposition of the limitation or other restriction. Otherwise, the RDC will take the decision to give the warning notice and decision notice. 2.5.11B G If the FCA is proposing or deciding to refuse a sponsor’s application for the withdrawal or variation of a limitation or other restriction on the services to which a sponsor’s approval relates under section 88(8)(d) of the Act, the decision maker will be FCA staff under executive procedures. where FCA staff decided to impose the limitation or other restriction. Otherwise, the RDC will take the decision to give the warning notice and decision notice. 2.5.11C G Under section 89P(5)(b) of the Act, if the FCA proposes to impose limitations or other restrictions on the dissemination of regulated information to which a primary information provider’s approval relates, it must give him a warning notice. If, after considering any representations made in response to the warning notice, the FCA decides to impose limitations or other restrictions on the dissemination of regulated information to which a primary information provider’s approval relates, it must give him a decision notice. Where the primary information provider has requested or otherwise agrees to the limitation or other restriction, FCA staff under executive procedures will take the decision to give the warning notice and decision notice where the primary information provider has requested or otherwise agrees to the limitation or other restriction and where the primary information provider contests the imposition of the limitation or other restriction. Otherwise, the RDC will take the decision to give the warning notice and decision notice. 2.5.11D G Under section 89P(9)(d) of the Act, if the FCA is proposing or deciding to refuse a primary information provider’s application for the withdrawal or variation of a limitation or other restriction on the dissemination of regulated information to which a primary information provider’s approval relates, the decision maker will be FCA staff under executive procedures. where FCA staff decided to impose the limitation or other restriction.
Otherwise, the RDC will take the decision to give the warning notice and decision notice.

FCA 2021/XX
Modified procedures in collective investment scheme and certain other cases
2.5.12 G FCA staff will usually inform or discuss with the person concerned any
action they contemplate before they recommend to the RDC FCA staff under executive procedures that the FCA takes formal action. The FCA may also be invited to exercise certain powers by the persons who would be affected by the exercise of those powers. In these circumstances if such decisions, including those referred to in DEPP 2.5.13G, will be taken by FCA staff under executive procedures if the person concerned has agreed to or accepted the action proposed then the decisions referred to in DEPP 2.5.13G will be taken by FCA staff under executive procedures rather than by the RDC and if the proposed action is not agreed. …
2.5.15 G A decision to give a warning notice or decision notice refusing an
application for an authorisation order declaring a scheme to be an AUT, ACS or ICVC or an AUT, ACS or ICVC to be a money market fund will be taken by the RDC only if the application is by an authorised fund manager who is not the operator of an existing AUT, ACS or ICVC. Otherwise, the decision to give the warning notice or decision notice will be taken by FCA staff under executive procedures, including if the application is by an authorised fund manager who is not the operator of an existing AUT, ACS or ICVC. … Notices under other enactments …
2.5.18 G Some of the distinguishing features of notices given under enactments
other than the Act are as follows:
…
(5) The decision to give a written notice under section 55XA(1) of the Act will be taken by FCA staff under executive procedures. If the applicant decides to seek a review, by the FCA, of that decision, they can make representations to the RDC FCA staff under executive procedures. If the RDC FCA staff under executive procedures then decides decide under section 55XA(5) of the Act to confirm the first decision, or take a different decision of the type described by section 55XA(1) of the Act, it must give the applicant a written notice. (5A) The decision to impose or vary a direction under regulation 74C of the Money Laundering Regulations will be taken by the RDC, if the direction involves a fundamental imposition or variation. Otherwise, the decision to give the supervisory notice will be taken by FCA staff under executive procedures, including if the direction involves

FCA 2021/XX a fundamental imposition or variation. FCA staff under executive procedures will be the decision maker whenever when a cryptoasset business does not contest the direction and when the direction is contested by a cryptoasset business. A fundamental imposition or variation of a direction means:
(a) preventing a cryptoasset business from undertaking cryptoasset business; or (b) imposing or varying a direction in relation to the cryptoasset business’ assets, or refusing an application to vary or cancel such a direction. (6) CRA Regulation: Where the FCA is exercising its powers to refuse an application for registration under articles 16 or 17, or to refuse an application made by a credit rating agency to withdraw its registration under article 20(3), it must give a written notice in accordance with article 18(2). In these circumstances the decision to give a written notice under article 18(2) will be taken by FCA staff under executive procedures. Where the FCA is exercising its powers to withdraw the registration of a credit rating agency on the FCA’s own initiative under article 20(1) or (2), or to give a direction under article 24(1), it must give a written notice in accordance with article 18(2). In these circumstances the decision to give a written notice under article 18(2) will be taken by the RDC FCA staff under executive procedures. Upon receipt of a written notice under article 18(2) the credit rating agency may decide to seek a review or to refer the matter directly to the Tribunal under article 18A. If the credit rating agency decides to seek a review of the decision set out in the article 18(2) notice, they can make representations to the RDC FCA staff under executive procedures. If the RDC decides FCA staff under executive procedures decide to maintain the original decision, the credit rating agency may refer the RDC’s decision to do so to the Tribunal. (7) Trade Repositories (EU Exit) Regulations: Where the FCA is exercising its powers to refuse an application for registration of a trade repository under article 58 of EMIR or to refuse an application made by a trade repository to withdraw its registration under article 71(3) of EMIR, it must give a written notice in accordance with
article 71a(6) of EMIR. In these circumstances the decision to give a
written notice under article 71a(6) will be taken by FCA staff under executive procedures. Where the FCA is exercising its powers to withdraw the registration of a trade repository on the FCA’s own initiative under article 71(1) or (2), it must give a written notice in accordance with article 71a(6). In these circumstances the decision to give a written notice

FCA 2021/XX under article 71a(6) will be taken by the RDC FCA staff under executive procedures. Upon receipt of a written notice under article 71a(6) the credit rating agency may decide to seek a review or to refer the matter directly to the Tribunal under article 71b. If the trade repository decides to seek a review of the decision set out in the article 71a(6) notice, they can make representations to the RDC FCA staff under executive procedures. If the RDC decides FCA staff under executive procedures decide to maintain the original decision, the trade repository may refer the RDC’s decision to do so to the Tribunal. (8) Securitisation Regulation (as amended by the Securitisation (Amendment) (EU Exit) Regulations): where the FCA exercises its powers to refuse an application for registration of a securitisation repository under article 12, or to refuse an application made by a securitisation repository to withdraw its registration under article 13a, it must give a written notice in accordance with article 13(6). In these circumstances, the decision to give a written notice under
article 13(6) will be taken by FCA staff under executive procedures.
Where the FCA exercises its powers to withdraw the registration of a securitisation repository on its own initiative under article 13a, it must give a written notice in accordance with article 13(6)(b). In these circumstances, the decision to give a written notice under
article 13(6)(b) will be taken by the RDC FCA staff under executive
procedures.
Upon receipt of a written notice under regulation 13a, the securitisation repository may decide to seek a review or to refer the matter to the Tribunal. If the securitisation repository decides to seek a review of the decision set out in the regulation 13a notice, they can make representations to the RDC FCA staff under executive procedures. If the RDC decides FCA staff under executive procedures decide to maintain the original decision, the securitisation repository may refer the RDC’s decision to do so to the Tribunal. (9) Securities Financing Transactions Regulation (as amended by the SFTR (EU Exit) Regulations): where the FCA is exercising its powers to refuse an application for registration of a trade repository under article 7 of the Securities Financing Transactions Regulation or to refuse an application made by a trade repository to withdraw its registration under article 10(3), it must give a written notice in accordance with article 10a(6). In these circumstances the decision to give a written notice under article 10a(6) will be taken by FCA staff under executive procedures. Where the FCA is exercising its powers to withdraw the registration of a trade repository on the FCA’s own initiative under article 10(1) or 10(2), it must give a written notice in accordance with article

FCA 2021/XX
10a(6)(b). In these circumstances, the decision to give a written notice under article 10a(6)(b) will be taken by the RDC FCA staff under executive procedures. Upon receipt of a written notice under article 10 the trade repository may decide to seek a review or to refer the matter directly to the Tribunal under article 10b. If the trade repository decides to seek a review of the decision set out in the article 10 notice, they can make representations to the RDC FCA staff under executive procedures. If the RDC decides FCA staff under executive procedures decide to maintain the original decision, the trade repository may refer the RDC’s decision to do so to the Tribunal.

FCA 2021/XX
2 Annex
1G
Warning notices and decision notices under the Act and certain other enactments Note: Third party rights and access to FCA material apply to the powers listed in this Annex where indicated by an asterisk * (see DEPP 2.4)
Section of
the Act
Description Handbook reference
Decision maker
… … … …
55X(2) when the FCA is proposing to refuse an application for the variation of a requirement imposed under section 55L or for the imposition of a new requirement RDC or executive procedures See DEPP 2.5.6G Executive procedures 55X(4)(a) 55X(4)(b) when the FCA is deciding to grant an application for a Part 4A permission with a limitation or a requirement which was not applied for, or with a narrower description of regulated activity than that applied for RDC or executive procedures See DEPP 2.5.6G Executive procedures 55X(4)(c) 55X(4)(d) when the FCA is deciding to grant an application to vary a firm’s Part 4A permission but, other than as part of the application, to restrict the Part 4A permission (either by imposing a limitation or requirement which was not applied for or by specifying a narrower description of regulated activity than that applied for) SUP 6 RDC or executive procedures See DEPP 2.5.6G Executive procedures …

FCA 2021/XX
55X(4)(f) when the FCA is deciding to refuse an application for a Part 4A permission RDC or executive procedures Executive procedures See DEPP 2.5.5G 55X(4)(f) when the FCA is deciding to refuse an application to vary a firm’s Part 4A permission SUP 6 RDC or executive procedures See DEPP 2.5.6G Executive procedures 55X(4)(f) when the FCA is deciding to refuse an application to cancel a firm’s Part 4A permission SUP 6 RDC or executive procedures Executive procedures See DEPP 2.5.5G 55X(4)(f) When the FCA is deciding to refuse an application for the variation of a requirement imposed under section 55L or for the imposition of a new requirement RDC or RDC or executive procedures See DEPP 2.5.6G Executive procedures 55Z(1) 55Z(2) when the FCA is proposing or deciding to cancel a firm’s Part 4A permission otherwise than at its request * RDC Executive procedures … 62(3) when the FCA is deciding to refuse an application for approval of a person performing a controlled function or to grant the application subject to conditions or for a limited period (or both) SUP 10A and SUP 10C RDC or executive procedures Executive procedures See DEPP 2.5.5G 63(3)/(4) when the FCA is proposing or deciding to withdraw approval from an approved person * RDC Executive procedures

FCA 2021/XX
…
63ZA(8) and 62(3) when the FCA is deciding to refuse an application for variation of an approval granted to an SMF manager, subject to conditions SUP 10C RDC or executive procedures Executive procedures See DEPP 2.5.5G … 88(4)(a) 88(6)(a) 88(8)(a) when the FCA is proposing or deciding to refuse a person’s application for approval as a sponsor LR 8 RDC Executive procedures … 88(4)(a) 88(6)(a) 88(8)(d) when the FCA is proposing or deciding to refuse a sponsor’s application for the withdrawal or variation of a limitation, or other restriction on the services to which a sponsor’s approval relates RDC or executive procedures Executive procedures See DEPP 2.5.11BG 88(4)(aa) 88(6)(aa) when the FCA is proposing or deciding to impose limitations or restrictions on the services to which a sponsor’s approval relates RDC or executive Executive procedures See DEPP 2.5.11AG 88(4)(b) 88(6)(b) when the FCA is proposing or deciding to cancel a sponsor’s approval as a sponsor otherwise than at the sponsor’s request* RDC Executive procedures … 89P(5)(a) 89P(7)(a) 89P(9)(a) when the FCA is proposing or deciding to refuse a person’s application for approval as RDC Executive procedures

FCA 2021/XX a primary information provider … 89P(5)(a) 89P(7)(a) 89P(9)(d) when the FCA is proposing or deciding to refuse a primary information provider’s application for the withdrawal or variation of a limitation or other restriction on the dissemination of regulated information to which a primary information provider’s approval relates RDC or executive procedures Executive procedures See DEPP 2.5.11DG 89P(5)(b) 89P(7)(b) when the FCA is proposing or deciding to impose limitations or other restrictions on the dissemination of regulated information to which a primary information provider’s approval relates. RDC or executive Executive procedures See DEPP 2.5.11AG 89P(5)(c) 89P(7)(c) when the FCA is proposing or deciding to cancel a person’s approval as a primary information provider otherwise than at the primary information provider’s request RDC Executive procedures … 245(1)/(2) when the FCA is proposing or deciding to refuse an application for an authorisation order declaring a unit trust scheme to be an AUT or an AUT to be a money market fund COLL 2 RDC or executive procedures Executive procedures See DEPP 2.5.15G …

FCA 2021/XX
255(1)/(2) when the FCA is proposing or deciding to make an order under
section 254 revoking the
authorisation order of an
AUT *
None, but see Chapter
14 of the
Regulatory
Guide EG.
RDC Executive procedures
…
256(4)/(5) when the FCA is proposing or deciding to refuse a request for the revocation of the authorisation order of an AUT RDC Executive procedures 260(1)/(2) when the FCA, on an application to revoke or vary a direction under
section 257, proposes or
decides to refuse to revoke or vary the direction or proposes or decides to vary the direction otherwise than in accordance with the application RDC Executive procedures 261G(1)/(2 ) when the FCA is proposing or deciding to refuse an application for an authorisation order declaring a scheme to be an ACS or an ACS to be a money market fund COLL 2 RDC or executive procedures Executive procedures See DEPP 2.5.15G … 261V(1)/(2 ) when the FCA is proposing or deciding to make an order under
section 261U revoking the
authorisation order of an
ACS*
None, but see Chapter
14 of the
Regulatory
Guide EG.
RDC Executive procedures
…

FCA 2021/XX
261W(4)/(
5) when the FCA is proposing or deciding to refuse a request for the revocation of the authorisation order of an ACS RDC Executive procedures 261Z2(1)/( 2) when the FCA, on an application to revoke or vary a direction under
section 261X, proposes or
decides to refuse to revoke or vary the direction or proposes or decides to vary the direction otherwise than in accordance with the application RDC Executive procedures … 280(1)/(2) when the FCA is proposing or deciding to revoke a section 272 order in respect of a recognised scheme * RDC Executive procedures … 331(1)/(3) when the FCA is proposing or deciding to make an order disapplying the exemption from the general prohibition under
section 327*
RDC Executive procedures
331(7)/(8) when the FCA is proposing or deciding to refuse an application for the variation or revocation of an order made under
section 329*
RDC Executive procedures
…
Co-operative and
Community
Description Handbook reference
Decision maker

FCA 2021/XX
Benefit
Societies Act
(Northern
Ireland) 1969
…
Sections 15 and 16 where the FCA is proposing to cancel or suspend the registration of a registered society relying on section 15 (1)(c)(ii) Executive procedures where no representations are made in response to a notice of proposed cancellation, otherwise by the RDC Executive procedures
Section 65 where the FCA is
proposing to petition for the winding up of a registered society RDC Executive procedures
Section 75 where the FCA is
proposing to prosecute a registered society Executive procedures or RDC Credit Unions (Northern Ireland) Order 1985 Description Handbook reference Decision maker … Articles 60(1) and 61(1) where the FCA is proposing to cancel or suspend the registration of a Northern Ireland credit union relying on section 60(1)(c)(ii) Executive procedures where no representations are made in response to a notice of proposed cancellation, otherwise by the RDC

FCA 2021/XX
Article 63 where the
FCA is proposing to petition for the winding up of a Northern Ireland credit union RDC Executive procedures
Article 76 where the
FCA is proposing to prosecute a
Northern
Ireland credit union
Executive procedures or
RDC
Section of
the
Friendly
Societies
Act 1992
Description Handbook reference
Decision maker
58A(1)(a)/(
3)(a) when the FCA is proposing or deciding to give a direction under section 54 or section 55 requiring a friendly society to take or refrain from taking steps where certain activities have become disproportionat e to those of the friendly society group or, as the case may be, the society, or varying such a direction other than at the See DEPP 2.5.18G(3) RDC Executive procedures

FCA 2021/XX request of the society*
58A(1)(b)/(
3)(b) when the FCA is proposing or deciding to give a direction under section 90 providing for a transfer of the engagements of a friendly society * RDC Executive procedures 85(4A) when the FCA, on an amalgamation between friendly societies each of which has a
Part 4A
permission, notifies the successor society of the terms of its
Part 4A
permission
RDC or executive procedures
Executive procedures
See DEPP 2.5.12G
OEIC
Regulation s reference
Description Handbook reference
Decision maker
Regulation
16(1)/(2) when the FCA is proposing or deciding to refuse an application for an authorisation order in respect of a proposed ICVC or an ICVC to be a money market fund COLL 2 RDC or executive procedures Executive procedures See DEPP 2.5.15G …

FCA 2021/XX
Regulation
24(1)/(2) when the FCA is proposing or deciding to revoke an authorisation order relating to an ICVC under regulation 23(1)* RDC Executive procedures Regulation 28(1)/(2) when the FCA is proposing or deciding to refuse an application to revoke or vary a direction in accordance with a request under regulation 25(7) or to vary the direction in accordance with the application RDC Executive procedures …

Regulated
Activities
Order
Description Handbook reference
Decision maker
Article
95(2)/(3) when the FCA is proposing or deciding not to include, or to remove, an appointed representative from the Register* SUP 12.4.10G RDC Executive procedures
Article
95(7)/(8) when the FCA is proposing or deciding to refuse an application to revoke a determination not to include, or to remove, an appointed representative from the Register* SUP 12.4.10G RDC Executive procedures

FCA 2021/XX
Payment
Services
Regulations
Description Handbook reference
Decision maker
…
Regulations
9(8)(a), 15 and 19 when the FCA is deciding to refuse an application for authorisation as an authorised payment institution, or for registration of a small payment institution, or for registration as an account information service provider, or to impose a requirement, or to refuse an application to vary an authorisation or existing registration Executive procedures where no representations are made in response to a warning notice, otherwise by the RDC Regulations 10(2), 10(3)(a), 15 and 19 when the FCA is proposing or deciding to either cancel an authorised payment institution’s authorisation, or to cancel a small payment institution or account information service provider’s registration, otherwise than at that institution’s own request* RDC Executive procedures … Regulation 34(9)(a) when the FCA is deciding to refuse an application for Executive procedures where no representations are made in response to a

FCA 2021/XX registration as an agent warning notice, otherwise by the RDC Regulations 35(2) and 35(3)(a) when the FCA is proposing or deciding to remove an agent from the Financial Services Register otherwise than at the request of a payment institution* RDC Executive procedures …
Schedule 5
paragraph
5(6) when the FCA is proposing to refuse an application to vary the period, event or condition of a prohibition, or to remove a prohibition, or to vary or remove a restriction Executive procedures
Schedule
5paragraph
5(7) when the FCA is deciding to refuse an application to vary the period, event or condition of a prohibition, or to remove a prohibition, or to vary or remove a restriction Executive procedures, where no representations are made in response to a warning notice, otherwise by the RDC … The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Description Handbook reference Decision maker

FCA 2021/XX
Regulations
2017
Regulations
25(6), 25(9) and 25 (10)(b) when the FCA is exercising its power to give a direction RDC Executive procedures … Regulation 59(4)(b) when the FCA is deciding to refuse an application for registration RDC or executive procedures Executive procedures (Note 1) Regulations 60(8) and 60(9) when the FCA is proposing or deciding to suspend or cancel the registration of a person registered under the Money Laundering Regulations RDC Executive procedures … Note:
(1) The RDC will take the decision to give the notice under regulation 59(4)(b) if representations are made in response to the notice under regulation 59(3)(b) proposing to refuse the registration application. … Electronic Money Regulations Description Handbook reference Decision maker … Regulations 9(7)(a) and 15 when the FCA is deciding to refuse an application for authorisation as an authorised electronic money institution, or for registration as a small electronic money institution, or Executive procedures where no representations are made in response to a warning notice, otherwise by the RDC

FCA 2021/XX impose a requirement or refuse to vary an authorisation or registration Regulations 10(4), 10(5)(a) and 15 when the FCA is proposing or deciding to either cancel an authorised electronic money institution’s authorisation, or to cancel a small electronic money institution’s registration otherwise than at that institution’s own request * RDC Executive procedures Regulations 11(6), 11(9), 11(10)(b) and 15 when the FCA is exercising its powers to vary an electronic money institution’s authorisation or vary a small electronic money institution’s registration on its own initiative RDC or Executive procedures (Note 1) … Regulation 34(10)(a) when the FCA is deciding to refuse an application for registration as an agent Executive procedures where no representations are made in response to a warning notice, otherwise by the RDC Regulations 35(2) and 35(3)(a) when the FCA is proposing or deciding to remove an agent from the Financial Services Register otherwise than at the request of the electronic money institution * Executive procedures RDC

FCA 2021/XX
…
Regulation
74(7) when the FCA is proposing to decide not to include a person on the register Executive procedures Regulation 74(8) (a) when the FCA is deciding not to include a person on the register Executive procedures where no representations are made in response to a warning notice, otherwise by the RDC Regulation 74(8) (a) when the FCA is deciding not to include a person on the register Executive procedures where no representations are made in response to a warning notice, otherwise by the RDC
Schedule
2A paragraph
5(6) when the FCA is proposing to refuse an application to vary the period, event or condition of a prohibition, or to remove a prohibition, or to vary or remove a restriction Executive procedures
Schedule
2A paragraph
5(7) when the FCA is deciding to refuse an application to vary the period, event or condition of a prohibition, or to remove a prohibition, or to vary or remove a restriction Executive procedures, where no representations are made in response to a warning notice, otherwise by the RDC … Notes:

FCA 2021/XX
(1) The RDC will take the decision to give the notice exercising the FCA’s own-initiative power if the action involves:
(a) removing a type of activity from an authorisation or registration; or (b) refusing an application to include a type of activity in an authorisation or registration; or (c) restricting a person from taking on new business, dealing with a particular category of customer or refusing an application to vary or cancel such a restriction; or (d) imposing or varying a capital requirement, or refusing an application to vary or cancel such a requirement. [deleted] (2) The Electronic Money Regulations do not require third party rights and access to FCA material when the FCA exercises this power. However, the FCA generally intends to allow for third party rights and access to material when exercising this power. … Alternative Investment Fund Managers Regulations 2013 Description Handbook reference Decision maker … Regulation 13(2)(a),
article 14b
of the
RVECA regulation and article
15b of the
SEF regulation where the FCA decides to refuse an application for entry on the register of small registered UK AIFMs Executive procedures where no representations are made in response to a warning notice otherwise by the RDC Regulation 18(1) where the FCA proposes to revoke the registration of a small registered UK AIFM including, where applicable, its registration as a RDC Executive procedures

FCA 2021/XX
SEF manager or
RVECA manager
Regulation
18(2)(a) where the FCA decides to revoke the registration of a small registered UK AIFM including where applicable its registration as a SEF manager or RVECA manager RDC Executive procedures … Regulation 23B(2)(a) where the FCA decides to refuse an application made by a UK AIF for authorisation as a UKLTIF Executive procedures where no representations are made in response to a warning notice otherwise by the RDC Regulation 23C(1) where the FCA proposes to revoke the authorisation of a UK LTIF RDC Executive procedures Regulation 23C(2)(a) where the FCA decides to revoke the authorisation of a UK LTIF RDC Executive procedures … Regulation 23E(2)(a) where the FCA decides to refuse an application for registration as a qualifying social entrepreneurship fund or a qualifying venture capital fund Executive procedures where no representations are made in response to a warning notice otherwise by the RDC Regulation 23F(1) where the FCA proposes to revoke the registration of a qualifying social entrepreneurship fund or a qualifying RDC Executive procedures

FCA 2021/XX venture capital fund
Regulation
23F(2)(a) where the FCA decides to revoke the registration of a qualifying social entrepreneurship fund or a qualifying venture capital fund RDC Executive procedures … Regulation 23H(2)(a) where the FCA decides to refuse an application for authorisation as a money market fund Executive procedures where no representations are made in response to a warning notice otherwise by the RDC Regulation 23I(1) where the FCA proposes to revoke the authorisation of a money market fund RDC Executive procedures Regulation 23I(2)(a) where the FCA decides to revoke the authorisation of a money market fund RDC Executive procedures … Regulation 56 where the FCA is proposing to revoke a full-scope UK AIFM’s approval to market an AIF under regulation 54 RDC Executive procedures Regulation 56 where the FCA is deciding to revoke a full-scope UK AIFM’s approval to market an AIF under regulation 54 RDC Executive procedures

FCA 2021/XX
Regulation
62(2) where the FCA proposes to revoke an AIFM’s entitlement to market an AIF RDC Executive procedures Regulation 62(3) where the FCA decides to revoke the entitlement of an AIFM to market an AIF RDC Executive procedures … … The Cooperative and Community Benefit Societies Act 2014 Description Handbook reference Decision maker … Sections 6 to 8 where the FCA is proposing to cancel or suspend the registration of a registered society relying on condition C, D or E in section 5 Executive procedures where no representations are made in response to a notice of proposed cancellation, otherwise by the RDC
Section 123 where the FCA is
proposing to petition for the winding up of a registered society RDC Executive procedures
Section 132 where the FCA is
proposing to prosecute a registered society Executive procedures or RDC …

FCA 2021/XX
The
Mortgage
Credit
Directive
Order 2015
Description Handbook reference
Decision maker
…
Article 11(2) when the FCA is
deciding to refuse an application for entry on the register or variation of an existing entry on the register Executive procedures where no representations are made in response to a warning notice, otherwise by the RDC Articles 14(1), 14(2), 16(3) and 16(4) when the FCA is proposing or deciding to revoke or suspend the registration of a registered CBTL firm other than at the firm’s request or with the firm’s consent* RDC Executive procedures … … Data Reporting Services Regulations 2017 Description Handbook reference Decision maker … Regulation 10(9)(b) when the FCA is deciding to impose a restriction on the applicant for authorisation as a data reporting services provider RDC or executive procedures Executive procedures (see Note 1) …

FCA 2021/XX
Regulations
8(6)(b) and
10(9)(c) when the FCA is deciding to refuse an application for verification or authorisation as a data reporting services provider RDC or executive procedures Executive procedures (see Note 2) Regulations 8(9), 11(4)(a) and 11(5)(b)(i) when the FCA is proposing or deciding to cancel a verification or the authorisation of a data reporting services provider otherwise than at its request RDC Executive procedures … Regulations 8(9) and 11(5)(b)(ii) when the FCA is deciding to refuse a request to cancel a verification authorisation of a data reporting services provider RDC or executive procedures Executive procedures (see Note 2) … Regulations 8(10) and 12(4) when the FCA is deciding to refuse a request to vary a verification or the authorisation of a data reporting services provider RDC or executive procedures Executive procedures (see Note 1) … Notes:
1) If representations are made in response to a warning notice, then the
RDC will take the decision to give a decision notice if the action proposed involves:
(a) restricting a person from providing a data reporting service; or

FCA 2021/XX
(b) refusing an application to include a type of activity in a verification or authorisation. In all other cases, the decision to give a decision notice will be taken by FCA staff under executive procedures. (2) If representations are made in response to a warning notice then the RDC will take the decision to give a decision notice. Otherwise the decision to give a decision notice will be taken by FCA staff under executive procedures. … UK Securitisation Regulations Description Handbook reference Decision maker … Regulation 19(1)(d) and 20(1)(d) when the FCA is proposing or deciding to refuse an application under regulation 13 RDC or executive procedures Executive procedures (see Note) Regulation 19(1)(e) and 20(1)(e) when the FCA is proposing or deciding to cancel the authorisation of a third-party verification service otherwise than at its request under regulation 16 RDC Executive procedures Regulation 19(1)(f) and 20(1)(f) when the FCA is proposing or deciding to refuse a request to cancel the authorisation of a third-party verification service under regulation 17 RDC or executive procedures Executive procedures (see Note) … [Note:
The decision to give a warning notice will be taken by FCA staff under executive procedures. If representations are made in response to a warning notice then the RDC will take the decision to give a decision notice.

FCA 2021/XX
Otherwise the decision to give a decision notice will be taken by FCA staff under executive procedures.] Proxy Advisors (Shareholders’ Rights) Regulations Description Handbook reference Decision maker … Regulation 12 when the FCA is proposing or deciding to impose a financial penalty under regulation 12 RDC or executive procedures … OPBAS Regulations Description Handbook reference Decision maker … Regulation 17 when the FCA is proposing to make a recommendation to the Treasury that a selfregulatory organisation is removed from Schedule 1 to the Money Laundering Regulations RDC Executive procedures Regulation 17 when the FCA is deciding to recommend to the Treasury that a selfregulatory organisation is removed from Schedule 1 to the Money Laundering Regulations Executive procedures where no representatio ns are made in response to a warning notice, otherwise by the RDC …

FCA 2021/XX

FCA 2021/XX
2 Annex
2G
Supervisory notices
Section of
the Act
Description Handbook reference
Decision maker
55XA(1)(a) and
55XA(1)(b) when the FCA is deciding to grant an application for a Part 4A permission to carry on the regulated activity specified in
article 63S of the
Regulated Activities
Order with a limitation or a requirement which was not applied for, or with a narrower or wider description of regulated activity than that applied for RDC or executive procedures Executive procedures See DEPP 2.5.18G(5) 55XA(1)(c) and 55XA(1)(d) when the FCA is deciding to grant an application to vary a firm’s Part 4A permission to carry on the regulated activity specified in article 63S of the Regulated Activities Order but, other than as part of the application, to restrict the Part 4A permission either by imposing a limitation or requirement which was not applied for or by specifying a narrower or wider description of regulated activity than that applied for RDC or executive procedures Executive procedures See DEPP 2.5.18G(5) 55XA(1)(e) when the FCA is deciding to refuse an application for a Part RDC or executive procedures Executive procedures

FCA 2021/XX
4A permission to carry on the regulated activity specified in
article 63S of the
Regulated Activities
Order
See DEPP 2.5.18G(5)
55XA(1)(f) when the FCA is deciding to refuse an application to vary a firm’s Part 4A permission to carry on the regulated activity specified in article 63S of the Regulated Activities Order RDC or executive procedures Executive procedures See DEPP 2.5.18G(5) 55Y(4) 55Y(7) 55Y(8)(b) when the FCA is exercising its owninitiative variation power to vary a firm’s
Part 4A permission
SUP 7 RDC or executive procedures
Executive procedures
See DEPP 2.5.7G
63ZC(4)
63ZC(8)
63ZC(9)(b) when the FCA is exercising its power to vary, on its own initiative, an approval granted to an SMF manager RDC or executive procedures Executive procedures See DEPP 2.5.8AG and DEPP 2.5.8BG 71H(2), (3), (4), (9) or (11)(a) where the FCA is proposing or deciding to impose or vary a requirement in relation to a director or senior executive under section 71B or 71C(2) or (8) or to appoint or vary the terms of appointment of a temporary manager under section 71C(1) RDC Executive procedures 55Y(4) 55Y(7) 55Y(8)(b) when the FCA is exercising its owninitiative requirement power RDC or executive procedures Executive procedures See DEPP 2.5.7G

FCA 2021/XX
78(2)/(5) when the FCA is proposing to discontinue or discontinues the listing of a security LR 5 RDC or executive procedures Executive procedures See DEPP 2.5.9G(4) and DEPP 2.5.10G … 259(3)/ (8)/ (9)(b) when the FCA is exercising its power to give or, on its own initiative, to vary a direction to the manager and trustee of an AUT COLL RDC Executive procedures 261Z1 when the FCA gives a direction under section 261X or section 261Z COLL RDC Executive procedures 268(3)/ (7)(a) or (9)(a) (as a result of (8)(b)/(13)) when the FCA is proposing or deciding to give or, on its own initiative, to vary a direction to the operator of a recognised scheme COLL RDC Executive procedures 282 (3)/ (6)/ (7)(b) when the FCA is exercising its power to give a direction to an operator, trustee or depositary of a recognised scheme COLL RDC Executive procedures … 321(2)/(5) when the FCA is exercising its power to impose a requirement on a former underwriting member of Lloyd’s RDC Executive procedures OEIC Regulations reference Description Handbook reference Decision maker

FCA 2021/XX
Regulation
27 when the FCA is exercising its power to give or, on its own initiative, to vary a direction to an ICVC and its depositary COLL RDC Executive procedures Payment Services Regulations Description Handbook reference Decision maker 12(6), 12(9), 12(10)(b), 15 and 19 when the FCA is exercising its powers to vary a person’sperson’s authorisation on its own initiative RDC or Executive procedures See also DEPP 3.4 (Note 1)
Schedule 5,
paragraphs
1(1), 1(2),
2(2)(a),
2(2)(b),
2(3), 4(6) and 4(7) when the FCA is exercising its power to impose a prohibition or restriction, or to vary a restriction RDC or executive procedures Executive procedures (Note 2) See also DEPP 3.4 Notes:
(1) The RDC will FCA staff under executive procedures will take the decision all decisions to give a notice exercising the FCA’s own initiative power to vary a person’s authorisation, including if the action involves:
(a) removing a type of activity from an authorisation or registration; or (b) refusing an application to include a type of activity in an authorisation or registration; or (c) restricting a person from taking on new business, dealing with a particular category of customer or refusing an application to vary or cancel such a restriction; or d) imposing or varying a capital requirement, or refusing an application to vary or cancel such a requirement. For all other types of action the decision to give a notice will be taken by FCA staff under executive procedures. (2) The RDC will take the decision to give a notice imposing a prohibition or imposing or varying a restriction under Schedule 4A paragraphs 1(1), 1(2), 2(2)(a), 2(2)(b), 2(3), 4(6) and 4(7). However, FCA staff under executive procedures will be the decision maker whenever a firm agrees

FCA 2021/XX not to contest the imposition of a prohibition or imposition or variation of a restriction. Alternative Investment Fund Managers Regulations 2013 Description Handbook reference Decision maker Regulation 22(4) where the FCA is exercising its power on its own initiative to give or vary a direction under regulation 22(1) to a small registered UK AIFM, a SEF manager or RVECA manager RDC or executive procedures Executive procedures See DEPP 2.5.7G to DEPP 2.5.8G … Electronic Money Regulations Description Handbook reference Decision maker
Schedule 2A,
paragraphs 1(1),
1(2), 2(2)(a),
2(2)(b), 2(3),
4(6) and 4(7) when exercising its power to impose a prohibition or restriction, or to vary a restriction RDC or executive procedures (Note 1) See also DEPP 3.4 Notes:
(1) The RDC will take the decision to give a notice imposing a prohibition or imposing or varying a restriction under Schedule 2A paragraphs 1(1), 1(2), 2(2)(a), 2(2)(b), 2(3), 4(6) and 4(7). However, FCA staff under executive procedures will be the decision maker whenever a firm agrees not to contest the imposition of a prohibition or imposition or variation of a restriction. …

FCA 2021/XX
The Immigration
Act 2014 (Bank
Account)
Regulations 2014
Description Handbook reference
Decision maker
Regulation 24 and
25 where the FCA is proposing or deciding to publish a statement (under regulations 15 or 16) or impose a financial penalty (under regulation 17) or impose a restriction on permission (under regulation 18) or suspend or restrict an approval (under regulation 19)* RDC or executive procedures The Mortgage Credit Directive Order 2015 Description Handbook reference Decision maker
Article
19(6) when the FCA is exercising its own-initiative power to impose a direction RDC or executive procedures Executive procedures See DEPP 2.5.7G and DEPP 2.5.7AG The Payment Accounts Regulations 2015 Description Handbook reference Decision maker Regulation 30 when the FCA is exercising the power to impose a direction RDC or executive procedures (Note)

FCA 2021/XX
Executive procedures
See DEPP
2.5.17G
Note: The RDC will take the decision to give a notice imposing a direction. However, FCA staff under executive procedures will be the decision maker whenever a firm agrees not to contest the direction. Markets in Financial Instruments Regulations 2017 Description Handbook reference Decision maker Regulation12(2) when the FCA is exercising its power of intervention in respect of a third country firm RDC or executive procedures Executive procedures (see DEPP 2.5.7G and DEPP 2.5.7AG) … Regulations 40(3) and 40(6) when the FCA is proposing or deciding to impose a requirement, or deciding to not rescind the imposition of a requirement that has already taken effect under regulation 40 RDC Executive procedures Data Reporting Services Regulations 2017 Description Handbook reference Decision maker Regulation 22(6) when the FCA is imposing a limitation or other restriction under regulation 22 RDC or executive procedures Executive procedures

FCA 2021/XX
(see Note)
Note: The RDC will take the decision to give a notice imposing a restriction or limitation if it involves restricting a person from providing a data reporting service. Otherwise the decision to give a notice will be taken by FCA staff under executive procedures. … CRA Regulation Description Handbook reference Decision maker
Article 18(2)
and 18(10) when the FCA is exercising its power under article 16 to refuse an application for registration of a credit rating agency RDC or executive procedures Executive procedures (see DEPP 2.5.18G(6))
Article 18(2)
and 18(10) when the FCA is exercising its power under article 17 to refuse an application for registration of a group of credit rating agencies RDC or executive procedures Executive procedures (see DEPP 2.5.18G(6))
Article 18(2)
and 18(10) when the FCA is exercising its power under article 20(1) and 20(2) to withdraw the registration of a credit rating agency on its own initiative RDC Executive procedures (see DEPP 2.5.18G(6))
Article 18(2)
and 18(10) when the FCA is exercising its power under article 20(3) to refuse an application made by a credit rating agency to withdraw its registration RDC or executive procedures Executive procedures (see DEPP 2.5.18G(6))
Article 18(2)
and 18(10) when the FCA is exercising its power under article 24(1) to impose a direction to RDC or executive procedures Executive procedures

FCA 2021/XX temporarily prohibit a credit rating agency from issuing credit ratings or to suspend the use of credit ratings issued by a credit rating agency (see DEPP 2.5.18G(6)) Trade Repositories (EU Exit) Regulations Description Handbook reference Decision maker
Article 71a(6)
and 71a(10) when the FCA is exercising its power under article 58 to refuse an application for registration of a trade repository RDC or executive procedures Executive procedures (see DEPP 2.5.18G(7))
Article 71a(6)
and 71a(10) when the FCA is exercising its power under article 71(1) or 71(2) to withdraw the registration of a trade repository on its own initiative RDC Executive procedures (see DEPP 2.5.18G(7))
Article 71a(6)
and 71a(10) when the FCA is exercising its power under article 71(3) to refuse an application made by a trade repository to withdraw its registration RDC or executive procedures Executive procedures (see DEPP 2.5.18G(7)) Securitisation (Amendment) (EU Exit) Regulations Description Handbook reference Decision maker
Article 13(6)(a)
and 13(11)(a) of the
Securitisation
Regulation as when the FCA is exercising its power to refuse an application for registration of a RDC or executive procedures Executive procedures

FCA 2021/XX amended by regulation 15 securitisation repository under
article 12 of the
Securitisation
Regulation as amended by regulation 15
(see DEPP
2.5.18G(8))
Article 13(6)(b)
and 13(11)(b) of the
Securitisation
Regulation as amended by regulation 15 when the FCA is exercising its power to withdraw the registration of a securitisation repository on its own initiative under
article 13a(1) or
13a(2) of the
Securitisation
Regulation as amended by regulation 15
RDC Executive procedures
(see DEPP
2.5.18G(8))
Article 13(6)(c)
and 13(11)(c) of the
Securitisation
Regulation as amended by regulation 15 when the FCA is exercising its power to refuse an application made by a securitisation repository to withdraw its registration under
article 13a(3) of the
Securitisation
Regulation as amended by regulation 15
RDC or executive procedures
Executive procedures
(see DEPP
2.5.18G(8))
Securities
Financing
Transactions
Regulation
Description Handbook reference
Decision maker
Article 10a(6)(a)
and 10a(11)(a) when the FCA is exercising its power under article 7 of the Securities Financing Transactions Regulation to refuse an application for RDC or executive procedures Executive procedures (see DEPP 2.5.18G(9))

FCA 2021/XX registration of a trade repository
Article
10a(6)(b) and
10a(11)(b) when the FCA is exercising its power to withdraw the registration of a trade repository on its own initiative under article 10(1) or 10(2) RDC Executive procedures (see DEPP 2.5.18G(9))
Article 10a(6)(c)
and 10a(11)(c) when the FCA is exercising its power to refuse an application made by a trade repository to withdraw its registration under
article 10(3)
RDC or executive procedures
Executive procedures
(see DEPP
2.5.18G(9))
The Money
Laundering,
Terrorist
Financing and
Transfer of
Funds
(Information on the Payer)
Regulations
2017
Description Handbook reference
Decision maker
Regulation
74C(5)
When the FCA is exercising its own initiative powers to impose, vary or rescind a direction. RDC or executive procedures Executive procedures

FCA 2021/XX
3 The nature and procedure of the RDC
…
3.2 The operation of the RDC
…
Procedure: warning notices and first supervisory notices
3.2.12 G If FCA staff consider that action is appropriate in a matter for which the
RDC is the decision maker, they will make a recommendation to the RDC that a warning notice or a supervisory notice should be given. …
3.2.14 G If the RDC decides that the FCA should give a warning notice or a first
supervisory notice:
(1) The RDC will settle the wording of the warning notice or first supervisory notice, and will ensure that the notice complies with the relevant provisions of the Act; … … Procedure: representations
3.2.15 G (1) A warning notice or a first supervisory notice will (as required by
the Act) specify the time allowed for making representations. This will not be less than 14 daysdays. (2) The FCA will also, when giving a warning notice or a first supervisory notice, specify a time within which the recipient is required to indicate whether he wishes to make oral representations.
3.2.16 G (1) The recipient of a warning notice or a first supervisory notice may
request an extension of the time allowed for making representations. Such a request must normally be made within seven days of the notice being given. (2) If a request is made, the Chairman or a Deputy Chairman of the RDC will decide whether to allow an extension, and, if so, how much additional time is to be allowed for making representations. In reaching their decision they will take into account all relevant factors including the legal and factual complexity of the case, as well as whether there are any factors outside the control of the firm or individual that would materially impact on their ability to respond within the period set out in the warning notice or first

FCA 2021/XX supervisory notice. They may also take account of any relevant comments from the FCA staff responsible for the matter.
3.2.17 G (1) If the recipient of a warning notice or a first supervisory notice
indicates that he wishes to make oral representations, the RDC staff, in conjunction with the Chairman or a Deputy Chairman of the RDC, will fix a date or dates for a meeting at which the relevant RDC members will receive those representations. …
3.2.18 G The chairman of the relevant meeting will ensure that the meeting is
conducted so as to enable:
(1) the recipient of the warning notice or first supervisory notice to make representations; … (4) the recipient of the notice to respond to points made by FCA staff or the RDC; but the chairman may ask the recipient of the notice or FCA staff to limit their representations or response in length or to particular issues arising from the warning notice or first supervisory notice. If the warning notice was given on the basis of a focused resolution agreement, the recipient will be required to limit their representations to the issues that remain in dispute.
3.2.19 G The recipient of the warning notice or supervisory notice may wish to be
legally represented at the meeting, but this is not a requirement. …
3.2.21 G The RDC will not, after the FCA has given a warning notice or a first
supervisory notice, meet with or discuss the matter whilst it is still ongoing with the FCA staff responsible for the case without other relevant parties being present or otherwise having the opportunity to respond. Procedure: decision notices and second supervisory notices
3.2.22 G If no representations are made in response to the warning notice or first
supervisory notice, the FCA will regard as undisputed the allegations or matters set out in the notice and the default procedure will apply: see DEPP 2.3.2G to DEPP 2.3.4G. …
3.2.23 G In any case in which representations are made, in accordance with DEPP
2.3.1G, the RDC will consider whether it is right in all the circumstances to give the decision notice or a second supervisory notice (as appropriate).

FCA 2021/XX
3.2.24 G If the RDC decides that the FCA should give a decision notice or a second
supervisory notice:
(1) The RDC will settle the wording of the notice which will include a brief summary of the key representations made and how they have been dealt with, and will ensure that the notice complies with the relevant provisions of the Act; (2) The RDC will make any relevant statutory notice associated decisions, including whether the FCA is required to give a copy of the notice to a third party; and (3) The RDC staff will make appropriate arrangements for the notice to be given.
3.2.25 G If the RDC decides that the FCA should not give a decision notice or a
second supervisory notice the RDC staff will notify the relevant parties (including the relevant FCA staff) in writing of that decision. … Tribunal proceedings
3.2.27 G A decision by the RDC to give a decision notice or supervisory notice may
lead to a reference to the Tribunal under the Act. The conduct of proceedings before the Tribunal is not however a matter for the RDC. DEPP 3.4 (Urgent supervisory notice cases) is deleted in its entirety. The deleted text is not shown but the section is marked [deleted] as shown below.
3.4 Urgent supervisory notice cases [deleted]
Amend the following as shown.
4 Decisions by FCA staff under executive procedures
4.1 Executive decision maker
Who takes the decision
…
4.1.2B G A decision made in accordance with section 395(3) of the Act by an individual FCA staff member who has been directly involved in establishing the evidence on which the decision is based will be taken by a member of FCA staff of at least Director level (which may include an acting Director). Decisions by senior staff committee

FCA 2021/XX
4.1.3 G An FCA senior executive committee will from time to time determine that
particular categories of statutory notice decision to be taken under executive procedures and decisions referred to in DEPP 2.5.6AG will may be taken by a senior staff committee. …
4.1.5 G A senior staff committee may operate through standing or specific subcommittees to consider particular decisions or classes of decision, for
which accountability will lie through the committee. Each meeting of a senior staff committee, or sub-committee, will include:
(1) an individual with authority to act as its chairman; and (2) at least two one other members member. … Decisions by individual FCA staff members
4.1.7 G Statutory notice decisions to be taken under executive procedures and
decisions referred to in DEPP 2.5.6AG, and not falling within the responsibility of which are not made by a senior staff committee, will be taken by an individual FCA staff member. Subject to DEPP 2.5.7B, The the decision will be:
(1) made by an executive director of the FCA Board or his delegate (who will be of at least the level of associate); (2) on the recommendation of an FCA staff member of at least the level of associate; and (3) with the benefit of legal advice from an FCA staff member of at least the level of associate; except for decisions made in relation to consumer redress schemes pursuant to provisions of the Consumer Redress Schemes sourcebook (CONRED), where (1) will apply, but not (2) or (3). … Procedure
4.1.13 G The procedure for taking decisions under executive procedures will
generally be less formal and structured than that for decisions by the RDC. Broadly, however, FCA staff responsible for taking statutory notice decisions under executive procedures will follow a procedure similar to that described at DEPP 3.2.7G to DEPP 3.2.27G for the RDC except that:
(-1) oral representations will not be permitted unless there are exceptional circumstances (DEPP 2.3.1A);

FCA 2021/XX
(1) in a case where the decision will be taken by a senior staff committee:
(a) the chairman or deputy chairman of the senior staff committee will perform the role of the Chairman of the RDC; and (b) the secretariat to the senior staff committee will perform the role of the RDC staff; … DEPP 4.2 (Urgent Statutory notice cases) is deleted in its entirety. The deleted text is not shown but the section is marked [deleted] as shown below.
4.2 Urgent Statutory notice cases [deleted]
Amend the following as shown.
TP1 Transitional provisions applying to the Decision Procedure and Penalties Manual

Table DEPP TP 1
(1) (2)
Material to which the transitional provision applies (3) (4) Transitional provision (5) Transitional provision dates in force:
(6)
Handbook provision coming into force
1 DEPP G Expired
2 DEPP 6.7
(Discount for early settlement),
G Expired
3 DEPP G Expired
4 DEPP G Expired
5 DEPP G A firm or individual who has been given a Commencem ent Commence ment

FCA 2021/XX statutory notice before the commencement date in cases where the RDC, but for these changes, would be responsible for giving the decision notice will continue to have that matter dealt with by the RDC under the RDC procedures until the matter is concluded.

FCA 2021/XX
Annex B
Amendments to the Enforcement Guide (EG)
In this Annex, underlining indicates new text and striking through indicates deleted text. 7 Financial penalties and other disciplinary sanctions …
7.9 Suspensions of voting rights
…
7.9.2 Decisions about whether to apply to the Court for a voting rights suspension
order under the Act will be made by the RDC Chairman or, if the Chairman is not available, by an RDC Deputy Chairman executive director of Enforcement, or in his or her absence, the acting executive director of Enforcement. 8 Variation and cancellation of permission and imposition of requirements on the FCA’s own initiative and intervention against incoming firms …
8.3 Use of the own-initiative powers in urgent cases
…
8.3.2 The FCA will consider exercising its own-initiative power as a matter of
urgency where:
(1) the information available to it indicates serious concerns about the firm or its business that need to be addressed immediately; and (2) circumstances indicate that it is appropriate to use statutory powers immediately to require and/or prohibit certain actions by the firm in order to ensure the firm addresses these concerns. …
8.3.4 The FCA will consider the full circumstances of each case when it decides
whether an urgent a variation of Part 4A permission or an imposition of a requirement is appropriate. The following is a non-exhaustive list of factors the FCA may consider. (1) The extent of any loss, or risk of loss, or other adverse effect on consumers. The more serious the loss or potential loss or other adverse effect, the more likely it is that the FCA’s urgent exercise of owninitiative powers will be appropriate, to protect the consumers’ interests.

FCA 2021/XX
(2) The extent to which customer assets appear to be at risk. Urgent exercise Exercise of the FCA’s own-initiative power may be appropriate where the information available to the FCA suggests that customer assets held by, or to the order of, the firm may be at risk. (3) The nature and extent of any false or inaccurate information provided by the firm. Whether false or inaccurate information warrants the FCA’s urgent exercise of its own-initiative powers will depend on matters such as:
(a) the impact of the information on the FCA’s view of the firm’s compliance with the regulatory requirements to which it is subject, the firm’s suitability to conduct regulated activities, or the likelihood that the firm’s business may be being used in connection with financial crime; (b) whether the information appears to have been provided in an attempt knowingly to mislead the FCA, rather than through inadvertence; (c) whether the matters to which false or inaccurate information relates indicate there is a risk to customer assets or to the other interests of the firm’s actual or potential customers. … (6) The risk that the firm’s business may be used or has been used to facilitate financial crime, including money laundering. The information available to the FCA, including information supplied by other law enforcement agencies, may suggest the firm is being used for, or is itself involved in, financial crime. Where this appears to be the case, and the firm appears to be failing to meet the threshold conditions or has put its customers’ interests at risk, the FCA’s urgent use of its own-initiative powers may well be appropriate. … … 10 Injunctions
10.1 Introduction
10.1.1 An exceptionally urgent case in these circumstances is one where the FCA staff
believe that a decision to begin proceedings (1) should be taken before it is possible to follow the procedure described in paragraph 10.1.2; and (2) t is necessary to protect the interests of consumers or potential consumers. [deleted]

FCA 2021/XX
…
10.1.3 Decisions about whether to apply to the civil courts for injunctions under the
Act will be made by the RDC Chairman or, in an urgent case and if the Chairman is not available, by an RDC Deputy Chairman. In an exceptionally urgent case the matter will be decided by the executive director of Enforcement or, in his or her absence, another member of the FCA’s executive of at least director of division level the acting executive director of Enforcement. … 11 Restitution and redress
11.1 Restitution orders under sections 382, 383 and 384 of the Act: the FCA’s
general approach
11.1.1 Decisions about whether to apply to the civil courts for restitution orders under
the Act will be made by the RDC Chairman or, in an urgent case and if the Chairman is not available, by an RDC Deputy Chairman. In an exceptionally urgent case the matter will be decided by the executive director of Enforcement or, in his or her absence, another member of the FCA’s executive of at least director of division level the acting executive director of Enforcement.
11.1.2 An exceptionally urgent case in these circumstances is one where the FCA staff
believe that a decision to begin proceedings (1) should be taken before it is possible to follow the procedure described in paragraph 11.1.1; and (2) it is necessary to protect the interests of consumers or potential consumers. [deleted] … 12 Prosecution of Criminal Offences
12.1 The FCA’s general approach
…
Commencing criminal proceedings
…
12.1.5 Subject to 12.4C, a decision to commence criminal proceedings will be made by
the RDC Chairman or, in an urgent case and if the Chairman is not available, by an RDC Deputy Chairman. In an exceptionally urgent case the matter will be decided by the executive director of Enforcement or, in his or her absence, another member of the FCA’s executive of at least director of division level the acting executive director of Enforcement.

FCA 2021/XX
12.1.6 An exceptionally urgent case in these circumstances is one where the FCA staff
believe that a decision to begin proceedings (1) should be taken before it is possible to follow the procedure described in paragraph 12.1.5; and (2) it is necessary to protect the interests of consumers or potential consumers. [deleted]
12.1.7 Decisions about whether to initiate criminal proceedings under the Building
Societies Act 1986, the Friendly Societies Acts 1974 and 1992, the Credit Unions Act 1979 and the Co-operative and Community Benefit Societies Act 2014 may either will be taken by the procedure described in EG 12.1.5 or under executive procedures. The less serious the offence or its impact and the less complex the issues raised, the more likely that the FCA will take the decision to prosecute under executive procedures executive director of Enforcement or, in his or her absence, the acting executive director of Enforcement. … 13 Insolvency …
13.2 The FCA’s general approach to use of its powers and rights in insolvency
proceedings
…
13.2.3 Decisions about whether to apply to the civil courts for insolvency orders under
the Act will be made by the RDC Chairman or, in an urgent case and if the Chairman is not available, by an RDC Deputy Chairman. In an exceptionally urgent case the matter will be decided by the executive director of Enforcement or, in his or her absence, another member of the FCA’s executive of at least director of division level the acting executive director of Enforcement.
13.2.4 An exceptionally urgent case in these circumstances is one where the FCA staff
believe that a decision to begin proceedings (1) should be taken before it is possible to follow the procedure described in paragraph 13.2.3; and (2) it is necessary to protect the interests of consumers or potential consumers. [deleted] 14 Collective Investment Schemes …

FCA 2021/XX
14.4 Exercise of the powers in respect of recognised schemes: sections 279 and
281 of the Act – powers to revoke recognition of schemes recognised under
section 272: the FCA’s policy
…
14.4.3 Decisions about whether to apply to the civil courts for collective investment
scheme related orders under the Act will be made by the RDC Chairman or, in an urgent case and if the Chairman is not available, by an RDC Deputy Chairman. In an exceptionally urgent case the matter will be decided by the executive director of Enforcement or, in his or her absence, another member of the FCA’s executive of at least director of division level the acting executive director of Enforcement.
14.4.4 An exceptionally urgent case in these circumstances is one where the FCA staff
believe that a decision to begin proceedings (1) should be taken before it is possible to follow the procedure described in paragraph 14.4.3; and (2) it is necessary to protect the interests of consumers or potential consumers. [deleted] … 19 Non-FSMA powers …
19.6 Regulated Activities Order 2001 (RAO)
19.6.1 The RAO sets out those activities which are regulated for the purposes of the
Act. Part V of the RAO also requires the FCA to maintain a register of all those people who are not authorised by the FCA but who carry on insurance distribution activities. Under article 95 RAO, the FCA has the power to remove from the register an appointed representative who carries on insurance distribution activities if it considers that he is not fit and proper. The FCA will give the person a warning notice informing him that it proposes to remove his registration and a decision notice if the decision to remove his registration is taken. The decisions to give a warning notice or a decision notice will be taken by the RDC following the procedures set out in DEPP 3.2 or, where appropriate, DEPP 3.3 under executive procedures. A person who receives a decision notice under article 95 RAO may refer the matter to the Tribunal.
19.7 The Open-Ended Investment Companies Regulations 2001
…
19.7.3 The FCA will give a company a warning notice if it proposes to revoke the
company’s authorisation and a decision notice if the decision to revoke the company’s authorisation is subsequently taken. The decisions to give a warning

FCA 2021/XX notice or a decision notice will be taken by the RDC following the procedures set out in DEPP 3.2 or, where appropriate, DEPP 3.3 under executive procedures. A person who receives a decision notice under the OEIC Regulations may refer the matter to the Tribunal. …
19.22 Decision making under the Payment Services Regulations
19.22.1 The RDC is the FCA’s decision maker for some of the decisions under the
Payment Services Regulations as set out in DEPP 2 Annex 1G. This builds a layer of separation into the process to help ensure not only that decisions are fair but that they are seen to be fair. The RDC will make its decisions following the procedure set out in DEPP 3.2 or, where appropriate, DEPP 3.3 and 3.4. DEPP
3.4 applies for urgent notices under regulations 12(6), 12(9), and 12(10)(b)
(including as applied by regulations 15 and 19).
…
19.23 Electronic Money Regulations 2011
…
Decision making under the Electronic Money Regulations
19.23.7 The RDC is the FCA’s decision maker for some of the decisions under the
Electronic Money Regulations as set out in DEPP 2 Annex 1G. The RDC will make its decisions following the procedure set out in DEPP 3.2 or, where appropriate, DEPP 3.3 and 3.4. DEPP 3.4 applies for urgent notices under regulation 11(6), (9) and (10)(b) (including as applied by regulation 15). …
19.27 Alternative Investment Fund Managers Regulations 2013
…
Decision making under the AIFMD UK regulation
19.27.6 The RDC is the FCA’s decision maker for some decisions under the AIFMD UK
regulation, as set out in DEPP 2 Annex 1G. The RDC will make its decisions following the procedure in DEPP 3.2 or, where appropriate, DEPP 3.3 and 3.4. For decisions made by executive procedures, the procedures to be followed are in DEPP 4. …
19.30 The Mortgage Credit Directive Order
…
Decision making under the MCDO

FCA 2021/XX
19.30.8 The RDC is the FCA’s decision maker for some decisions which require
warning notices or decision notices to be given under the MCDO as set out in DEPP 2 Annex 1G. The RDC will make its decisions following the procedure set out in DEPP 3.2 or, where appropriate, DEPP 3.3, and DEPP 3.4 applies for urgent notices under article 16(1)(a). …
19.31 The Small and Medium Sized Business (Credit Information) Regulations
…
Decision making under the Small and Medium Sized Business (Credit Information) Regulations
19.31.5 The RDC is the FCA’s decision maker for some decisions which require
warning notices or decision notices to be given under the Small and Medium Sized Business (Credit Information) Regulations, as set out in DEPP 2 Annex 1G. The RDC will make its decisions following the procedure in DEPP 3.2 or, where appropriate, DEPP 3.3 or DEPP 3.4. For decisions made by executive procedures, the procedure to be followed will be those described in DEPP 4. …
19.32 The Payment Accounts Regulations 2015
…
Decision making under the PARs
19.32.7 The RDC is the FCA’s decision maker for some decisions which require
warning notices, decision notices or other written notices to be given under the PARs as set out in DEPP 2 Annex 1 and DEPP 2 Annex 2. The RDC will make its decisions following the procedure set out in DEPP 3.2 or, where appropriate, DEPP 3.3 or DEPP 3.4. …
19.33 The Small and Medium Sized Business (Finance Platforms) Regulations
2015
…
Decision making under the Small and Medium Sized Business (Finance Platforms) Regulations
19.33.5 The RDC is the FCA’s decision maker for some decisions which require
warning notices or decision notices to be given under the Small and Medium Sized Business (Finance Platforms) Regulations as set out in DEPP 2 Annex 1G. The RDC will make its decisions following the procedure in DEPP 3.2 or,

FCA 2021/XX where appropriate, DEPP 3.3 or DEPP 3.4. For decisions made by executive procedures, the procedure to be followed will be those described in DEPP 4.

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