Status: Please note you should read all Brexit changes to the FCA Handbook and BTS alongside the main FCA transitional directions. Where these directions apply the 'standstill', firms have the choice between complying with the pre-IP completion day rules, or the post-IP completion day rules. To see a full list of Handbook modules affected, please see Annex B to the main FCA transitional directions.

CASS 13.3 Statutory trust

CASS 13.3.1R

1A firm receives and holds client money as trustee on the following terms:

  1. (1)

    for the purposes and on the terms of the claims management client money rules and the claims management client money distribution rules;

  2. (2)

    subject to (3), for the customers for whom that money is held, according to their respective interests in it;

  3. (3)

    on failure of the firm, for the payment of the costs properly attributable to the distribution of the client money in accordance with (2); and

  4. (4)

    after all valid claims and costs under (2) and (3) have been met, for the firm itself.