FCA on SMCR expectations of solo-regulated firms in light of COVID-19

Regulatory Updates | 07/04/20

The Financial Conduct Authority (FCA) has published a webpage setting out its expectations of the application by solo-regulated firms of the Senior Managers and Certification Regime with regard to COVID-19. The FCA recognises that some firms may need to make temporary arrangements to cover absences, or change Senior Manager responsibilities in response to the pandemic, and does not intend to enforce the requirement on firms to submit updated Statements of Responsibilities (SORs) if the change is:
• made to cover multiple sicknesses, or other temporary changes in direct response to the pandemic; and
• temporary, and expected to revert to previous arrangements once the situation has passed.
The FCA intends to issue a Modification to Consent to the 12-week rule to help firms using such temporary arrangements during the pandemic.