Introduction to the Senior Managers and Certification Regime
Senior Managers & Certification Regime, often abbreviated to SMCR or SMR, is a regulation which was implemented in March 2016 by UK regulators, namely the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA). The legislation was originally aimed at extending regulatory accountability to the senior managers within the top banks in an effort to curb corruption and enforce an increased culture of compliance in the UK's financial services market. In particular, the Senior Manager and Certification Regime aimed to establish a framework that would;
- Focus accountability on a narrower number of individuals at the top of the bank
- Encourage senior individuals to take greater responsibility for their actions
- Make it easier for both banks and regulators to hold individuals to account
Extension of Senior Managers and Certification Regime
SMCR is set to extend beyond the initial group of banks, building societies, credit unions, investment firms and insurance firms operating within the UK, to all Financial Conduct Authority (FCA) approved firms in 2018. This extension is expected to impact over 60,000 financial services firms operating in the UK and over 200,000 individuals working within those organizations. If you are assessing the impact that the extension of the legislation will have on your organization, then contact MyComplianceOffice today for a no obligation consultation, just click here.