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SUP 5.1 Application and purpose

Application

SUP 5.1.1R
  1. (1)

    1This chapter applies to every firm.

  2. (2)

    The rules, and the guidance on rules in SUP 5.5 (Duties of firms), do not apply to a UCITS qualifier.

SUP 5.1.1AR

6In respect of the FCA's power in section 166 of the Act (Reports by skilled persons), reference to a firm in SUP 5.5.1 R, SUP 5.5.5 R and SUP 5.5.9 R includes a recognised investment exchange.

SUP 5.1.1BG

6In respect of the FCA's power in section 166 of the Act (Reports by skilled persons), the guidance in this chapter applies to a recognised investment exchange in the same way as it applies to a firm.

SUP 5.1.1CD

2SUP 5.5.1R and SUP 5.5.5R apply to CBTL firms in relation to their CBTL business as if a reference to firm in these rules were a reference to a CBTL firm and a reference to section 166 of the Act were a reference to section 166 of the Act, as applied by article 23(2)(b) of the MCD Order.

SUP 5.1.1DG

2SUP 5.5.1R and SUP 5.5.5R apply to former CBTL firms in relation to their CBTL business as guidance and as if:

  1. (1)

    a reference to firm in those rules were a reference to a CBTL firm;

  2. (2)

    section 166 of the Act were a reference to section 166 of the Act as applied by article 23(2)(b) of the MCD Order; and

  3. (3)

    the word “must” were replaced by the word “should”.

SUP 5.1.1EG

2The guidance in SUP 5.2.1G, SUP 5.3, SUP 5.4 (except SUP 5.4.1AG), and SUP 5.5 (except SUP 5.5.10G and SUP 5.5.11G) applies to CBTL firms and former CBTL firms in relation to their CBTL business as if:

  1. (1)

    a reference to firm in that guidance included a CBTL firm;

  2. (2)

    a reference to a section of the Act were a reference to that section as applied by article 23 of the MCD Order if applicable; and

  3. (3)

    a reference to the FCA's functions under the Act were a reference to the FCA's functions under Part 3 of the MCD Order.

SUP 5.1.2G

This chapter (other than the rules, and guidance on rules, in SUP 5.5 (Duties of firms)) is also relevant to certain unauthorised persons within the scope of section 166 of the Act (Reports by skilled persons) (see SUP 5.2.1 G).

SUP 5.1.2AG
  1. (1)

    3This chapter also applies, as guidance, to a designated bank,5 designated credit reference agency or a designated finance platform5:

    1. (a)

      in relation to its activities under the Small and Medium Sized Business (Credit Information) Regulations or in relation to its activities under the Small and Medium Sized Business (Finance Platforms) Regulations, as the case may be5;

    2. (b)

      as if, in relation to the activities in (a), references to “must” in SUP 5 were read as “should”; and

    3. (c)

      where it is not a firm, as if it were a firm.

  2. (2)

    Regulation 26 of the Small and Medium Sized Business (Credit Information) Regulations applies Part 11 of the Act which includes the provisions concerning skilled persons in relation to activities of a designated bank or a designated credit reference agency under those Regulations. Regulation 23 of the Small and Medium Sized Business (Finance Platforms) Regulations has the same effect in relation to a designated bank under those Regulations or a designated finance platform.5

  3. (3)

    In relation to a designated bank or a designated credit reference agency, a reference in this chapter to the regulatory system includes the requirements applicable to such a person set out in the Small and Medium Sized Business (Credit Information) Regulations. In relation to a designated finance platform or a designated bank, a reference in this chapter to the regulatory system includes the requirements applicable to such a person set out in the Small and Medium Sized Business (Finance Platforms) Regulations5.

  4. (4)

    The application of section 166 by regulation 26 of the Small and Medium Sized Business (Credit Information) Regulations or by regulation 23 of the Small and Medium Sized Business (Finance Platforms) Regulations 5does not include the persons set out in section 166(11). Therefore, any reference to those persons in this chapter does not apply in relation to a designated bank,5 designated credit reference agency or a designated finance platform5.

  5. (5)

    In relation to an appointment under section 166A as applied by the Small and Medium Sized Business (Credit Information) Regulations or the Small and Medium Sized Business (Finance Platforms) Regulations5, any reference in this chapter to a breach of rules concerning collecting and keeping up-to-date information is a reference to contravention of the requirement under regulation 24 of the Small and Medium Sized Business (Credit Information) Regulations or under regulation 23 of the Small and Medium Sized Business (Finance Platforms) Regulations, as the case may be5.

Purpose

SUP 5.1.3G

6The purpose of this chapter is to give guidance on the FCA’s4 use of the power in section 166 (Reports by skilled persons) and section 166A (Appointment of skilled person to collect and update information) of the Act. The purpose is also to make rules requiring a firm to give assistance to a skilled person and, where a firm is required to appoint a skilled person, to include certain provisions in its contract with a skilled person. These rules are designed to ensure that the FCA4 receives certain information from a skilled person and that a skilled person receives assistance from a firm.

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