Explanatory Notes

Financial Services and Markets Act 2000

2000 CHAPTER 8

14 June 2000

Commentary on Sections

Part I: the Regulator

Section 5: The protection of consumers

39.Subsection (2) sets out factors to which the Authority must have regard when considering the appropriate degree of protection.  These are, briefly, the degree of risk involved, the sophistication and experience of the parties to the transaction, the need of customers for advice and information and the general principle that consumers should take responsibility for their decisions.  There is no obligation on the Authority to place particular weight on any one of these factors.