Search Legislation

Financial Services (Banking Reform) Act 2013

Section 27: Statement of policy

188.Section 27 inserts new sections 63ZD and 63ZE into FSMA. These sections require the regulators to prepare and issue statements of policy about the giving of approvals subject to conditions or time limits.

189.Section 63ZD requires both regulators to prepare and issue a policy about how they will use the power to give conditional or time-limited approval for performance of a designated senior management function in relation to a relevant authorised person, and how they will vary such approvals after they have been given (whether on application by a firm or on their own initiative). The regulators will be free to update their policy at any time, but they must always ensure the most recent policy has been published (so that it is accessible to those whom it may affect).

190.Section 63ZE sets out the procedure to be followed before issuing a statement of policy. Subsection (1) requires the regulators to consult each other before publishing a statement of policy (or revising a previously published statement). However, the FCA only has to consult the PRA where the policy relates to FCA-designated senior management functions in PRA-authorised persons. Subsection (1) also requires a regulator to publish a draft of a statement of policy. The draft policy must be accompanied by a notice inviting representations within a specified time (subsection (3)). The issuing regulator must have regard to any representations made ((subsection (4)) and, if it goes ahead and issues the statement, it must also publish a general account of the representations made to it and its response to them (subsection (5)). The process must be repeated if the regulator decides to proceed with a significantly different policy and it must also publish details of the differences (subsection (6)). If a regulator proposes to alter or replace an existing statement it must also follow the procedural requirements set out in this section.

Back to top


Print Options


Explanatory Notes

Text created by the government department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. Explanatory Notes were introduced in 1999 and accompany all Public Acts except Appropriation, Consolidated Fund, Finance and Consolidation Acts.


More Resources

Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • correction slips
  • links to related legislation and further information resources