Regulation news: page 16
- September 2022
FCA publishes Dear CEO letter on cost-of-living expectations for insurance firms
The Financial Conduct Authority has written to insurance chief executives setting out what it expects on fair value, premium finance, vulnerable customers and claims handling during the cost of living crisis, and warned of multi-firm reviews.
Consumer Scotland responds to CAP and BCAP consultation on mid-contract price rise ads
Consumer Scotland has welcomed proposed advertising guidance on mid-contract price rises in broadband and mobile ads, while raising points on prominence, inflation terminology and variable contracts.
FPC withdraws mortgage affordability test
The Bank of England's Financial Policy Committee has withdrawn its mortgage affordability test, which required lenders to check borrowers could still pay if rates rose by 3 percentage points.
Government announces Energy Price Guarantee intervention in the energy market
The government's Energy Price Guarantee, announced in late August 2022, will substantially reduce the inflation shock facing households this winter, though private renters still face sharply rising rents.
Impossible choices briefing published
The Money Advice Trust has published a briefing calling on the Government and regulators to uprate benefits, support people in arrears and introduce a social tariff for energy.
LDI sector stress caused dysfunction in UK government bond markets
The Bank of England has said rapid and large moves in UK government debt interest rates in late 2022 exposed weaknesses in liability-driven investment funds, prompting regulatory action on resilience.
Liz Truss announces Energy Price Guarantee capping typical household energy bills at £2,500 for two years
Liz Truss announced an Energy Price Guarantee on her second full day as prime minister, capping typical household energy bills at £2,500 for two years.
Polling shows UK public oppose financial services deregulation in Financial Services and Markets Bill
Polling published before the second reading of the Financial Services and Markets Bill found 66% of a representative sample thought financial services regulation should increase or was about right, with 9% supporting less.
PSR to consult on APP scam reimbursement approach
The Payment Systems Regulator will consult in autumn 2022 on its preferred approach to reimbursing victims of authorised push payment scams, after the government set out plans to remove a legal barrier to regulatory action.
Which? publishes report calling for reform of UK consumer protections to support economic growth
Which? has published a September 2022 policy report arguing that reforming UK consumer protections would raise productivity and growth, and calling for updated rules, stronger CMA powers and wider access to alternative dispute resolution.
- August 2022
Full Fact finds Labour's energy plan understates cost by billions
Full Fact and the Institute for Fiscal Studies say Labour's £29 billion plan to freeze the energy price cap understates the cost by around £8 billion because it ignores higher winter energy use.
Labour calls for Parliament to be recalled over energy bills
Labour called on 18 August 2022 for Parliament to be recalled to freeze energy bills, but its £29 billion plan would not fully cover the cost of doing so, according to Full Fact and the IFS.
Labour announces £29 billion energy bills freeze plan
Sir Keir Starmer announced a Labour plan on 14 August to freeze domestic energy bills at the April 2022 price cap until the end of March 2023, at a stated cost of £29 billion.
Scottish Government opens consultation on reforms to statutory debt solutions and diligence
The Scottish Government has opened a consultation on reforms to Scotland's statutory debt solutions and debt recovery mechanisms, responding to recommendations from stakeholder-led policy reviews.
CfRC and Debt Justice publish joint response to SDRP consultation
The Centre for Responsible Credit and Debt Justice have jointly responded to HM Treasury's consultation on Statutory Debt Repayment Plans, calling for debts sold to collection agencies to be written down.
Citizens Advice reports 1 in 7 people still overpaying four years on
Citizens Advice says one in seven people are still overpaying for mortgages, broadband or mobile contracts four years after it first raised the loyalty penalty with the competition watchdog.
FCA withdraws BNPL adverts emphasising benefits without disclosing risks
The Financial Conduct Authority used its powers in August 2022 to withdraw buy now pay later adverts that emphasised the products' benefits without sufficiently disclosing the relevant risks.
Final Consumer Duty rules set to be introduced
The Financial Conduct Authority's final Consumer Duty rules were set to be introduced by 1 August 2022, following consultation on higher standards of care for retail financial services firms.
FPC withdraws affordability test Recommendation for mortgage lending
The Financial Policy Committee has withdrawn its affordability test Recommendation for mortgage lending from 1 August 2022, leaving the loan to income flow limit and the FCA's responsible lending rules in place.
TPR launches three-year strategy to tackle pension scams
The Pensions Regulator has launched a three-year strategy against pension scams, saying the cost of living crisis could leave more savers exposed to fraudsters targeting pension pots.
Which? responds to HM Treasury consultation on BNPL regulation
Which? has told HM Treasury that buy now pay later regulation is moving too slowly, should cover merchant-provided credit and short term interest free credit, and must not be held up by the Consumer Credit Act review.
- July 2022
FCA regulation of funeral plan providers begins
From 29 July 2022 the Financial Conduct Authority regulates firms and intermediaries providing and arranging pre-paid funeral plans, with FSCS protection for customers of authorised providers.
FCA publishes final rules and guidance for new Consumer Duty
The Financial Conduct Authority has published final rules and guidance for a new Consumer Duty, setting higher standards of consumer protection across financial services and giving firms until July 2023 to comply.
CMA issues Directions to Monzo Bank over transaction history failures
The CMA has issued Directions to Monzo Bank after it failed to send payment transaction histories to 13,566 account holders when their accounts closed between May 2021 and March 2022.
Guidance on leaseholder contribution caps first published
The government has published guidance setting out the maximum amounts qualifying leaseholders in England can be charged for non-cladding remediation, with caps based on property value and location.
Financial Services and Markets Bill published
The government published the Financial Services and Markets Bill on 20 July 2022, covering access to cash, scam reimbursement, stablecoin regulation, credit union products and the repeal of retained EU law.
Government response to draft Pensions Dashboards Regulations consultation published
The government has published its response to the consultation on the draft Pensions Dashboards Regulations 2022, setting out how the rules for the pensions dashboards service will be turned into law.
Consultation CP22/2 on further Confirmation of Payee participation closed
The Payment Systems Regulator's consultation on extending Confirmation of Payee closed on 8 July 2022, with plans to direct around 400 more payment firms to offer the name checking service.
Warm Home Discount (England and Wales) Regulations 2022 come into force
The Warm Home Discount (England and Wales) Regulations 2022 came into force on 7 July 2022, continuing the fuel poverty rebate scheme in England and Wales and setting a £150 prescribed rebate.
July Financial Stability Report introduces cost of living adjusted DSRs
The Bank of England's Financial Policy Committee introduced cost of living adjusted debt service ratios in its July 2022 Financial Stability Report, deducting taxes and essential spending from income to gauge debt affordability.