REC 3.13 Delegation of relevant functions
- (1)
The purpose of REC 3.13 is to enable the FSA to monitor any significant instances where UK recognised bodies outsource their functions to other persons (as they are permitted to dounder Regulation 6 of the Recognition Requirements Regulations. See REC 2.2).
- (2)
The FSA does not need to be notified of every instance of outsourcing by a UK recognised body, but only where an activity or activities which form a significant part of a relevant function or which make a significant contribution to the performance of a relevant function are outsourced.
Where a UK recognised body makes an offer or agrees to delegate any of its relevant functions to another person, it must immediately give the FSA notice of that event, and:
- (1)
inform the FSA of the reasons for that delegation or proposed delegation;
- (2)
inform the FSA of the reasons why it is satisfied that it will continue to meet the recognition requirements following that delegation;
- (3)
where it makes such an offer by issuing a written invitation to tender to another body or person, give the FSA a copy of that invitation to tender; and
- (4)
where it makes such an agreement, give the FSA a copy of that agreement.
A UK recognised body must immediately give the FSA notice, where it makes an offer or agrees to undertake any relevant function of another UK recognised body.