 General insurance pricing practices interim report
We have published the interim report of our market study into the pricing of home and motor insurance. We found that competition is not working well for all consumers in these markets.
While many people shop around, many loyal customers are not getting a good deal. We believe this affects around 6 million consumers. We also found that 1 in 3 consumers who paid high prices showed at least one characteristic of vulnerability.
Industry has acknowledged the need to address concerns about pricing practices and has been taking some steps to do this. However, we think we also need to intervene. We have set out a package of potential remedies to address the problems we have uncovered and we expect industry to work with us as we do so.
We invite your feedback on the interim report by 15 November 2019. We will take your views into account in our final report. We will also undertake further analysis, including into potential remedies, their costs and benefits. We will publish our final report in Q1 2020.
Our market study is part of a wider package of work we have underway in this sector. This includes working with firms following our Dear CEO letter to improve the oversight of pricing practices, implementing changes following the Insurance Distribution Directive and our work on value in the distribution chain.
Motor Finance Discretionary Commission Models consultation
On 15 October, we published a consultation paper proposing a ban on motor finance commission models that can incentivise a broker (including motor dealers) to charge a customer a higher interest rate. This follows on from our motor finance report in March and our subsequent policy and economic analysis. We are also consulting on minor amendments to our commission disclosure rules and guidance to give consumers more relevant information in all consumer credit markets. The consultation closes on 15 January 2020. We aim to publish a policy statement in early Q2 2020.
Gabriel users share suggestions for our new data collection platform
We will be introducing a new data collection platform to replace Gabriel. Over 1000 users and other Gabriel stakeholders shared their thoughts on the current system in our online survey. Their feedback will help shape how we develop the new platform, with some key changes reflecting the priorities they highlighted.
The feedback highlighted 3 key areas for improvements:
- accessing Gabriel
- viewing reporting schedules
- submitting data
Read more on how the feedback will help us shape the new platform. Our survey is still open and we would welcome further feedback.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Letter to Remuneration Committee Chairs
We’re sorry - the link to the letter in September’s Regulation round up was broken. Please see the 2019 Remuneration Committee Chair letter here. This letter was sent to Level 1 firms (deposit takers and investment firms with total assets exceeding £50bn).
We have published the letter on our website to share our findings from the 2018/19 remuneration round with all firms. The findings cover accountability, post-event risk adjustments and diversity and inclusion. The letter also explains our approach to assessing the remuneration policies and practices of Level 1 firms in 2019/20.
Directory data collection is underway for banks and building societies
We’re a month into collecting directory persons data to go on the Financial Services Register. Banks, building societies, credit unions and insurance companies (and their appointed representatives) must send us their data by 9 March 2020.
All other (solo) regulated firms must send us their data between 9 December 2019 and 9 December 2020.
We laid out plans for the directory in our Policy Statement. The Directory provides the clear, simple-to-access information and makes it more difficult for unsuitable people to operate in the UK market.
More information on the Connect submission process and materials are on our website.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
Overdraft pricing and competition remedies
We published a Policy Statement on Overdraft Pricing and Competition Remedies. Our new rules require firms to publish a range of overdraft pricing details as part of the quarterly information on current account services from July 2020. This information will clearly show the interest rates and the refused payment fees that firms charge consumers for an overdraft. We have also included details of an industry agreement which will be delivered by UK Finance and member firms. This agreement will help consumers by standardising the way firms show the cost of using an overdraft in pounds and pence.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
FCA and PRA changes to mortgage reporting requirements
We have published new rules that affect the data that mortgage lenders and administrators send us through Product Sales Data (PSD) and the Mortgage Lending and Administration Return (MLAR). If your firm is affected you must ensure you meet the requirements – our policy statement sets out timeframes. We plan to publish the technical documents (Data Reference Guide) in October 2019 and give firms access to our reporting system (Gabriel) test environment from November 2019. Firms that do not currently have access can request it through our contact centre.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Unfair terms – latest undertaking published under the Consumer Rights Act 2015 (CRA)
We have published an undertaking from The Co-operative Bank plc. (trading as Platform) about an unclear term in their mortgage contracts. We had concerns the term was not sufficiently transparent, as it was not clear what interest rate consumers would pay if the firm provided additional borrowing. The firm cooperated in resolving our concerns, including agreeing to pay an estimated £3.4m redress to affected consumers. We remind all firms to ensure their contracts comply with requirements for fairness and transparency under the UTCCRs and CRA.
Find out about our other undertakings on our website.
Information for P2P platforms for residential secured lending
P2P platforms for residential secured lending are likely to be carrying on regulated home finance arranging. If so, they will require the relevant permissions. Recent rule changes also mean that P2P platforms arranging home finance must take on the responsibilities of the home finance provider where this person is not required to be authorised as a provider.
Firms should review our changes to see if they are affected and make any necessary changes.
Live & Local 2019/20 events
Our new series of monthly Q&A roundtable discussions for mortgage intermediaries and lenders across the UK begins in Glasgow on 29 October. There is no set agenda for these sessions; attendees at each session decide the topics for discussion. We will be joined by Financial Ombudsman Service and an industry expert at each session.
These informal monthly ‘Ask the regulator’ events will run until March 2020. Visit our Live & Local webpage for further details and to register.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Directory data collection is underway for insurance companies
We’re a month into collecting directory persons data to go on the Financial Services Register. Banks, building societies, credit unions and insurance companies (and their appointed representatives) must send us their data by 9 March 2020.
All other (solo) regulated firms must send us their data between 9 December 2019 and 9 December 2020.
We laid out plans for the directory in our Policy Statement. The Directory provides the clear, simple-to-access information and makes it more difficult for unsuitable people to operate in the UK market.
More information on the Connect submission process and materials are on our website.
Launch of fourth value measures pilot
We have announced plans to launch the fourth General insurance (GI) value measures pilot.
Participating insurers will start to report their value measures data to us from 3 areas: claims frequencies, claims acceptance rates and average claims pay-outs. We aim to publish this data in Q1 2020.
Publishing value measures data was one of the remedies we proposed in our general insurance add-ons market study in 2014. This found poor value in both add-on and some stand-alone products.
Value measures is part of a wider package of work we’re undertaking in this sector to make sure the market is delivering competitive and fair prices for consumers. Other work includes pricing practices and the distribution chain.
Next steps for general insurance value measures
We consulted earlier this year on our plans to make reporting value measures data a requirement. An update outlining our next steps was included in the General insurance pricing practices (GIPP) market study interim report.
We have postponed the publication of a Policy Statement on these rules, so that we can consider this work alongside other relevant regulatory developments. These include remedies from the GIPP market study interim report.
Following consultation feedback, we also need to complete further work to refine our proposals.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Directory data collection is underway
We’re a month into collecting directory persons data to go on the Financial Services Register. Banks, building societies, credit unions and insurance companies (and their appointed representatives) must send us their data by 9 March 2020.
All other (solo) regulated firms must send us their data between 9 December 2019 and 9 December 2020.
We laid out plans for the directory in our Policy Statement. The Directory provides the clear, simple-to-access information and makes it more difficult for unsuitable people to operate in the UK market.
More information on the Connect submission process and materials are on our website.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Letter to Remuneration Committee Chairs
We’re sorry - the link to the letter in September’s Regulation round-up was broken. Please see the 2019 Remuneration Committee Chair letter here. We sent this letter was sent to Level 1 firms (deposit takers and investment firms with total assets exceeding £50bn).
We have published the letter on our website to share our findings from the 2018/19 remuneration round with all firms. The findings cover accountability, post-event risk adjustments and diversity and inclusion. They also explain our approach to assessing the remuneration policies and practices of Level 1 firms in 2019/20.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Letter to Remuneration Committee Chairs
We’re sorry - the link to the letter in September’s Regulation round-up was broken. Please see the 2019 Remuneration Committee Chair letter here. This letter was sent to Level 1 firms (deposit takers and investment firms with total assets exceeding £50bn).
We have published the letter on our website to share our findings from the 2018/19 remuneration round with all firms. The findings cover accountability, post-event risk adjustments and diversity and inclusion. They also explain our approach to assessing the remuneration policies and practices of Level 1 firms in 2019/20.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
Overdraft pricing and competition remedies
We published a Policy Statement on Overdraft Pricing and Competition Remedies. Our new rules require firms to publish a range of overdraft pricing details as part of the quarterly information on current account services from July 2020. This information will clearly show the interest rates and the refused payment fees firms charge consumers for an overdraft. We have also included details of an industry agreement which will be delivered by UK Finance and member firms. This will help consumers by standardising the way firms show the cost of using an overdraft in pounds and pence.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Directory data collection is underway for credit unions
We’re a month into collecting directory persons data to go on the Financial Services Register. Credit unions, banks, building societies and insurance companies (and their appointed representatives) must send us their data by 9 March 2020.
All other (solo) regulated firms must send us their data between 9 December 2019 and 9 December 2020.
We laid out plans for the directory in our Policy Statement. The Directory provides the clear, simple-to-access information firms need and makes it more difficult for unsuitable people to operate in the UK market.
More information on the Connect submission process and materials are on our website.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Help shape the pensions dashboard
The Money and Pensions Service recently appointed an Industry Delivery Group (IDG) to lead the delivery of the pensions dashboards programme. A pensions dashboard is a digital interface that will enable people to see all their lifetime pension savings in one place.
The IDG is currently looking for individuals to join its working groups. This is an exciting opportunity for representatives from different sectors to be directly involved in developing and testing the pensions dashboards.
Find out more about the working groups and how to join them.
Is your firm prepared for Brexit?
Unless a deal is approved or a further extension is agreed the UK will leave the EU without an implementation period on 31 October 2019. We continue to monitor developments and firms should check our website for updates and more information.
We expect all firms to continue to plan for all scenarios, including a no-deal Brexit at the end of October 2019.
You should consider the impact of Brexit on your business. You should have plans in place to address any risks for your firm and any impact it could have for your customers.
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
Register for Connect today
Register for Connect today. You will need to use our online platform, Connect, to submit your firm’s details - also known as a mandatory annual update. This will be a requirement from January 2020, so we suggest you register now in good time.
If you need help to register and update your firm details, visit our website, watch our video guide, or call 0300 500 0597.
From January 2020, you will be required to update and confirm the accuracy of your firm details annually (even if there is no change), in line with your Accounting Reference Date (ARD). This must be done using Connect.
We are currently emailing, calling and writing to firms to provide the necessary information and encourage registration.
FCA culture Webinar available on demand
On 4 October, the FCA hosted a webinar on transforming culture through employee motivation and recognition.
Jonathan Davidson (Executive Director of Retail Supervision and Authorisations, FCA) was joined by expert panelists Sarah Ellen O’Farrell (Lead Inventor, ?Whatif! Innovation), Parmjit Flora (Senior Operations Manager, Ocado) and Duncan Brown (Head of HR Consulting, Institute for Employment Studies)
The panel explored what motivates employees and how financial services leaders can use motivation and recognition to transform organisations’ cultures.
If you missed the discussion, register here to watch it on demand.
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