This week has seen the FCA launch a market study on competition in the mortgage sector. In other news, the FCA has also published proposals for rules and guidance on payment protection insurance complaints.
FCA launches market study on competition in the mortgage sector
The FCA has launched a market study to consider whether competition in the market sector can be improved to benefit consumers. The FCA want to understand whether consumers are empowered to choose on an informed basis between products and services and are in a position to understand whether these represent good value for money. In line with this, the FCA has published the terms of reference for their mortgages market study.
FCA, 12 December 2016
Bank of England/TNS Inflation Attitudes Survey – November 2016
The Bank of England has published a press release which presents the results of their latest quarterly survey of public attitudes to inflation, undertaken between 4 and 8 November 2016.
FCA Handbook Notice 39
The FCA has published Handbook Notice 39, which sets out changes made to the FCA Handbook under instruments made by the FCA Board on 10 November 2016 and on 8 December 2016, and by the board of the Financial Ombudsman Service on 23 November 2016. The relevant instruments are:
- Pension Schemes Instrument 2016.
- Fees (Tariff Data for Insurers 2017/2018) Instrument 2016.
- Recovery and Resolution Directive (Amendment) Instrument 2016.
- Credit Unions Sourcebook (Amendments No9) Instrument 2016.
- Consumer Credit (Total Charge for Credit) Instrument 2016
- Wind-down Planning Guide Instrument 2016
- Standards for Designated Guidance Providers (Amendment) Instrument 2016
FCA, 9 December 2016
FCA statement on PPI
In its Consultation Paper 16/20 (August 2016), the FCA published proposals for rules and guidance on payment protection insurance (PPI) complaints. This included proposed rules and guidance concerning a deadline for PPI complaints, and on how firms should approach PPI complaints, following the Supreme Court’s judgment in Plevin vs Paragon Personal Finance Limited. A proposed timetable was set out in the consultation paper. The FCA will now make a further announcement in Q1 2017.
FCA 'Dear CEO' letter reminding debt management firms of annual review requirements
The FCA has published a "Dear CEO" letter in the light of its concerns with the way debt management firms are carrying out annual reviews of customers' debt management plans (DMPs).
FCA and Hong Kong Monetary Authority enter co-operation agreement
The FCA has published the co-operation agreement it has entered into with the Hong Kong Monetary Authority (HKMA) to promote innovation in financial services. Under the agreement, the FCA and the HKMA will closely collaborate on a number of initiatives, such as referrals of innovative firms, joint innovation projects, information exchange and experience sharing, to facilitate financial innovation in the UK and Hong Kong.
LSB call for input on digital channels
The Lending Standards Board (LSB) published a call for input (dated November 2016) relating to a standards development project on digital capabilities. The deadline for responses is 11 January 2017.
FCA summary of approach to collecting retail mediation activities data
The FCA has published a summary document setting out its reasons for collecting retail mediation activities (RMA) data and how it feeds into its supervisory approach. The document covers issues including:
- The FCA's reasons for collecting specific RMA information.
- The FCA's use of the RMA data in the supervision of firms.
- The FCA's use of RMA data in assisting it to meet its operational objectives of protecting consumers and protecting financial markets.
- Common RMA misreporting errors.
Further growth in asset finance and consumer finance in October 2016.
New figures released by the Finance & Leading Association (FLA) show that asset finance new business (primarily leasing and hire purchase) grew by 1% in October, compared with the same month last year. Furthermore the FLA figures also revealed a 6% growth in consumer finance.
FLA, 9 December 2016