Part XRules and Guidance
Chapter IRule-making Powers
Procedural provisions
152Notification of rules to the Treasury
1
If the Authority makes any rules, it must give a copy to the Treasury without delay.
2
If the Authority alters or revokes any rules, it must give written notice to the Treasury without delay.
3
Notice of an alteration must include details of the alteration.
153Rule-making instruments
1
Any power conferred on the Authority to make rules is exercisable in writing.
2
An instrument by which rules are made by the Authority (“a rule-making instrument”) must specify the provision under which the rules are made.
3
To the extent to which a rule-making instrument does not comply with subsection (2), it is void.
4
A rule-making instrument must be published by the Authority in the way appearing to the Authority to be best calculated to bring it to the attention of the public.
5
The Authority may charge a reasonable fee for providing a person with a copy of a rule-making instrument.
6
A person is not to be taken to have contravened any rule made by the Authority if he shows that at the time of the alleged contravention the rule-making instrument concerned had not been made available in accordance with this section.
154Verification of rules
1
The production of a printed copy of a rule-making instrument purporting to be made by the Authority—
a
on which is endorsed a certificate signed by a member of the Authority’s staff authorised by it for that purpose, and
b
which contains the required statements,
is evidence (or in Scotland sufficient evidence) of the facts stated in the certificate.
2
The required statements are—
a
that the instrument was made by the Authority;
b
that the copy is a true copy of the instrument; and
c
that on a specified date the instrument was made available to the public in accordance with section 153(4).
3
A certificate purporting to be signed as mentioned in subsection (1) is to be taken to have been properly signed unless the contrary is shown.
4
A person who wishes in any legal proceedings to rely on a rule-making instrument may require the Authority to endorse a copy of the instrument with a certificate of the kind mentioned in subsection (1).
155Consultation
1
If the Authority proposes to make any rules, it must publish a draft of the proposed rules in the way appearing to it to be best calculated to bring them to the attention of the public.
2
The draft must be accompanied by—
a
a cost benefit analysis;
b
an explanation of the purpose of the proposed rules;
c
an explanation of the Authority’s reasons for believing that making the proposed rules is compatible with its general duties under section 2; and
d
notice that representations about the proposals may be made to the Authority within a specified time.
3
In the case of a proposal to make rules under a provision mentioned in subsection (9), the draft must also be accompanied by details of the expected expenditure by reference to which the proposal is made.
4
Before making the proposed rules, the Authority must have regard to any representations made to it in accordance with subsection (2)(d).
5
If the Authority makes the proposed rules, it must publish an account, in general terms, of—
a
the representations made to it in accordance with subsection (2)(d); and
b
its response to them.
6
If the rules differ from the draft published under subsection (1) in a way which is, in the opinion of the Authority, significant—
a
the Authority must (in addition to complying with subsection (5)) publish details of the difference; and
b
those details must be accompanied by a cost benefit analysis.
7
Subsections (1) to (6) do not apply if the Authority considers that the delay involved in complying with them would be prejudicial to the interests of consumers.
8
Neither subsection (2)(a) nor subsection (6)(b) applies if the Authority considers—
a
that, making the appropriate comparison, there will be no increase in costs; or
b
that, making that comparison, there will be an increase in costs but the increase will be of minimal significance.
9
Neither subsection (2)(a) nor subsection (6)(b) requires a cost benefit analysis to be carried out in relation to rules made under—
a
section 136(2);
b
subsection (1) of section 213 as a result of subsection (4) of that section;
c
section 234;
d
paragraph 17 of Schedule 1.
10
“Cost benefit analysis” means an estimate of the costs together with an analysis of the benefits that will arise—
a
if the proposed rules are made; or
b
if subsection (6) applies, from the rules that have been made.
11
“The appropriate comparison” means—
a
in relation to subsection (2)(a), a comparison between the overall position if the rules are made and the overall position if they are not made;
b
in relation to subsection (6)(b), a comparison between the overall position after the making of the rules and the overall position before they were made.
12
The Authority may charge a reasonable fee for providing a person with a copy of a draft published under subsection (1).
156General supplementary powers
1
Rules made by the Authority may make different provision for different cases and may, in particular, make different provision in respect of different descriptions of authorised person, activity or investment.
2
Rules made by the Authority may contain such incidental, supplemental, consequential and transitional provision as the Authority considers appropriate.