The Financial Conglomerates and Other Financial Groups Regulations 2004

Changes over time for: Section 1

Alternative versions:

Changes to legislation:

The Financial Conglomerates and Other Financial Groups Regulations 2004, Section 1 is up to date with all changes known to be in force on or before 24 April 2024. There are changes that may be brought into force at a future date. Changes that have been made appear in the content and are referenced with annotations.

Changes to Legislation

Revised legislation carried on this site may not be fully up to date. Changes and effects are recorded by our editorial team in lists which can be found in the ‘Changes to Legislation’ area. Where those effects have yet to be applied to the text of the legislation by the editorial team they are also listed alongside the legislation in the affected provisions. Use the ‘more’ link to open the changes and effects relevant to the provision you are viewing.

View outstanding changes

Changes and effects yet to be applied to Regulation 1:

Regulations revoked by 2023 c. 29 Sch. 1 Pt. 2

Citation, commencement and interpretationU.K.

This section has no associated Explanatory Memorandum

1.—(1) These Regulations may be cited as the Financial Conglomerates and Other Financial Groups Regulations 2004 and come into force on 10th August 2004.

(2) In these Regulations—

“the Act” means the Financial Services and Markets Act 2000;

F1...

F2...

F3...

F4...

“competent authority”, except in the term “third-country competent authority” as defined in regulation 7(1), means [F5any authority in the United Kingdom] which is empowered by law or regulation to supervise regulated entities, whether on an individual or group-wide basis;

“the conglomerates directive” means Directive 2002/87/EC of the European Parliament and of the Council of 16th December 2002 on the supplementary supervision of credit institutions, insurance undertakings and investment firms in a financial conglomerate and amending Council Directives 73/239/EEC, 79/267/EEC, 92/49/EEC, 92/96/EEC, 93/6/EEC, 93/22/EEC, and Directives 98/78/EC and 2000/12/EC of the European Parliament and of the Council [F6as last amended by Directive 2011/89/EU of the European Parliament and of the Council;]

[F7“co-ordinator” means the competent authority which has been appointed as responsible for the co-ordination and exercise of supplementary supervision of a financial conglomerate based on the criteria in regulation 2A of these Regulations;]

F1...

[F8“financial conglomerate”, except in the term “third-country financial conglomerate” as defined in regulation 7(1), has the meaning given in the Glossary of definitions in the FCA Handbook as it has effect on 17th August 2022;]

[F9“financial sector” means a sector composed of one or more of the following entities—

(a)

a credit institution, an ancillary services undertaking or financial institution, as defined in Articles 4(1)(1), 4(1)(18) and 4(1)(26) of the capital requirements regulation (the banking sector);

(b)

an entity within the “insurance sector”, as defined by the Financial Conglomerates part of the PRA Rulebook as it has effect on 17th August 2022;

(c)

an investment firm, as defined in Article 4(1)(2) of the capital requirements regulation (the investment services sector);

(d)

a mixed financial holding company;]

[F10“ group” means a group of undertakings, which consist of—

(a)

a parent undertaking and its subsidiaries;

(b)

the entities in which the parent undertaking or its subsidiaries hold a participation as defined in article 4(1) (35) of the capital requirements regulation; and

(c)

undertakings linked to each other by a relationship within the meaning of a common management relationship as defined in article 4(38A) of the capital requirements regulation, including any subgroup thereof;]

F1...

[F10“management company” has the same meaning as regulation 2(2)(f)(c) of these regulations;]

[F10“mixed financial holding company” means a parent undertaking, other than a regulated entity, which, together with its subsidiaries, at least one of which is a regulated entity which has its head office in the UK, and other entities, constitutes a financial conglomerate;]

[F10“parent undertaking” has the same meaning given in article 4(15)(a) of the capital requirements regulation and any undertaking which, in the opinion of the regulator, effectively exercises a dominant influence over another undertaking;]

“relevant competent authorities” means those competent authorities F11... which are, or which have been appointed as, relevant competent authorities in relation to a financial conglomerate;

[F12“ regulated entity ” means—

(a)

a credit institution (within the meaning of Article 4(1)(1) of the capital requirements regulation);

(b)

an insurance undertaking or reinsurance undertaking (within the meaning of section 417 of the Financial Services and Markets Act 2000) or a third-country insurance undertaking or third country reinsurance undertaking (within the meaning of Regulation 2(1) of the Solvency 2 Regulations 2015);

(c)

a company, the regular business of which is the management of UCITS (as specified in article 51ZA of the Regulated Activities Order) in the form of common funds or of investment companies (collective portfolio management of UCITS), or an undertaking which would require permission under Part 4A of FSMA to carry on the regulated activity of managing a UCITS (as specified in article 51ZA of the Regulated Activities Order) if its registered office were located in the United Kingdom;

(d)

an investment firm within the meaning of Article 2(1A) of the Markets in Financial Instruments Regulations (EU) No 600/2014, or

(e)

an alternative investment fund manager within the meaning of regulation 4(1) of the Alternative Investment Managers Regulations 2013 and which is not within the definition of ‘management company’ in this regulation, or an undertaking that would require permission to be an alternative investment fund manager if its registered office were located in the United Kingdom; and ]

[F13“regulator” means the Financial Conduct Authority or the Prudential Regulation Authority;]

“supplementary supervision” means the supervision of a regulated entity to the extent and in the manner prescribed by the conglomerates directive.

(3) Save as is otherwise provided, any expression used in these Regulations which is defined for the purposes of the Act has the meaning given by the Act.

Textual Amendments

F1Words in reg. 1(2) omitted (31.12.2020) by virtue of The Financial Conglomerates and Other Financial Groups (Amendment etc.) (EU Exit) Regulations 2019 (S.I. 2019/264), regs. 1, 2(2)(a) (with reg. 6) (as amended by S.I. 2020/1031, reg. 3, Sch. para. 15 and with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)