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.

WDPG App 2.1 Leadership and responsibilities

WDPG App 2.1.1G

1For successful wind-down planning, it is important that a firm’s governing body (e.g. the Board of Directors of a company or partners of a partnership) fully understand the purpose and process of wind-down planning.

WDPG App 2.1.2G

The firm’s governing body is ultimately responsible for the effectiveness of wind-down planning, and so it needs to demonstrate leadership and set the strategy for the process.

WDPG App 2.1.3G

Effective wind-down planning is more likely if it is prepared by a working group leading the process and reporting to the governing body via a designated representative.

Effective

Less effective

Senior management leads a wind-down planning project and secures the governing body’s agreement to the principles of wind-down planning.

Finance Department works out the estimated costs of winding down the business (i.e. without considering the associated governance and operational planning elements).