MyComplianceOffice Blog

UK Finance, Britain’s trade association for banks in the country, has published the financial industry’s first major appraisal of the Senior Managers and Certifications Regime(SMCR). The requirements under SMCR were introduced by the Financial Conduct Authority (FCA) in 2016 as part of regulatory reforms following the 2007-09 financial crisis.  

Jonathon Davidson, executive director of supervision, retail and authorizations for the Financial Conduct Authority (FCA) is urging financial firms to consider the Senior Managers and Certification Regime (SMCR) as "a positive thing … as opposed to just a compliance thing which in a sense is constricting." Davidson's viewpoint was expressed as part of an FCA podcast focused on the extension of the SMCR to FCA solo-regulated firms beginning in December 2019. 

The Financial Conduct Authority (FCA) announced it has received just 29 responses to a call for feedback on its final consultation regarding planned Senior Managers and Certification Regime (SMCR) changes. The FCA said "most" responses were supportive of its proposals, but some firms asked for additional clarity on how the new rules would apply to them. 

With the Senior Managers and Certification Regime (SMCR) set to take effect on Dec. 9, solo-regulated financial firms in the U.K. are working hard to ensure they understand how the new rules will impact them and what they should consider when implementing new compliance measures.  

The Senior Managers and Certification Regime (SMCR) will apply to all solo U.K. firms regulated by the Financial Conduct Authority (FCA) starting this December. There are three main requirements organizations need to adhere to from both a compliance and human resources perspective to comply with the SMCR by the end of the year.