An FCA-approved person's job may change from time to time as a result, for instance, of a change in personal job responsibilities or a firm's regulated activities. Where the changes will involve the person performing one or more FCA controlled functions different from those for which approval has already been granted, then an application must be made to the FCA for approval for the person to perform those FCA controlled functions. The firm must take reasonable care to ensure that an individual does not begin performing an FCA controlled function until the FCA has granted FCA-approved person status to that individual in respect of that FCA controlled function. Similarly, a firm must get the FCA's approval if a person is to start performing an FCA controlled function in relation to that firm when he already has the PRA's approval to perform a PRA controlled function in relation to that firm.
If a person is to perform an FCA controlled function for a firm for which he already performs a PRA controlled function or FCA controlled function as an approved person but he is not at the same time ceasing to perform an FCA controlled function or PRA controlled function, a firm should use Form A. It is not mandatory to complete all parts of the form. See the notes relevant to each form for full details.
A firm must use Form E where an approved person is both ceasing to perform one or more controlled functions and needs to be approved in relation to one or more FCA controlled functions within the same firm or group.
A firm must not use Form E if the approved person has never before been approved to perform a significant-influence function for any firm or has not been subject to a current approved person approval from the FCA or PRA to perform a significant-influence function in relation to any firm for more than six months.
A firm must not use Form E if a notification has been made or should be made
under SUP 10A.14.17 R (Changes in fitness to be notified under Form D) or SUP 10B.12.18 (the equivalent PRA rule) in relation to any controlled functions that that person is ceasing to perform (as referred to in (1)) or any controlled function that he is continuing to perform in relation to that firm or a firm in the same group.
SUP 10A.16.1 D explains how applications should be submitted.
If it is proposed that an FCA-approved person will no longer be performing an FCA controlled function under an arrangement entered into by one firm or one of its contractors, but will be performing the same or a different FCA controlled function under an arrangement entered into by a new firm or one of its contractors (whether or not the new firm is in the same group as the old firm), the new firm will be required to make a fresh application for the performance of the FCA controlled function by that person.
A firm must submit to the FCA a completed Form C, in the form set out in SUP 10A Annex 6R, no later than seven business days after an FCA-approved person ceases to perform an FCA controlled function. This does not apply if the firm has already notified the FCA of the proposal to do that using Form E in accordance with this chapter or has notified the PRA of the proposal to do that using the PRA's Form E in accordance with SUP 10B of the PRA's Handbook.
SUP 10A.16.2 R explains how notifications should be submitted.
Form C is qualified if the information it contains:
Notification under SUP 10A.14.10 R may be made by telephone, email or fax and should be made, where possible, within one business day of the firm becoming aware of the information. If the firm does not submit Form C, it should inform the FCA in due course of the reason. This could be done using Form D, if appropriate.
A firm can submit Form C or Form E to the FCA in advance of the cessation date. When a person ceases the arrangement under which he performs an FCA controlled function, he will automatically cease to be an FCA-approved person in relation to that FCA controlled function. A person can only be an FCA-approved person in relation to a specific FCA controlled function. Therefore, a person is not an FCA-approved person during any period between ceasing to perform one FCA controlled function (when he is performing no other FCA controlled function) and being approved in respect of another FCA controlled function.
Sending forms promptly will help to ensure that any fresh application can be processed within the standard response times.
If a firm becomes aware of information which would reasonably be material to the assessment of an FCA-approved person's, or a FCA candidate's, fitness and propriety (see FIT), it must inform the FCA on Form D, or (if it is more practical to do so and with the prior agreement of the FCA) by e-mail or fax, as soon as practicable.
If, in relation to a firm which has completed the relevant Form A (SUP 10A Annex 4D), any of the details relating to arrangements and FCA controlled functions are to change, the firm must notify the FCA on Form D (SUP 10A Annex 7R).
The notification under (1) must be made as soon as reasonably practicable after the firm becomes aware of the proposed change.
This also applies in relation to an FCA controlled function for which an application was made using Form E.
This rule also applies to a firm in respect of an approved person, to whom the grandfathering arrangements relating to the coming into force of the Act applied as if the firm had completed the relevant Form A for that person.
- (a) 1
- (b) 1
For the purpose of SUP 10A.14.24 R:
amounts paid for distress and inconvenience;
a free transfer out to another provider which transfer would normally be paid for;
goodwill payments and goodwill gestures;
interest on delayed settlements;
waiver of an excess on an insurance policy; and
payments to put the consumer back into the position the consumer should have been in had the act or omission not occurred; and
if a firm reports on the amount of redress paid under SUP 10A.14.24R (1)(b), the redress should not include repayments or refunds of premiums which had been taken in error (for example where a firm had been taking, by direct debit, twice the actual premium amount due under a policy); the refund of the overcharge would not count as redress.