Regulation news: page 17
- July 2022
Bank of England introduces new household debt affordability measure
The Bank of England's July 2022 Financial Stability Report set out a new measure of household debt affordability that adjusts income for essential spending and taxes before judging repayment burdens.
Committee recommends the UK Government consider legislating to mandate LINK membership
The Scottish Affairs Committee has recommended that the UK Government consider mandating LINK membership for card issuers and ATM operators through the Financial Services and Markets Bill.
FCA becomes regulator of funeral plans
The Financial Conduct Authority became responsible for regulating pre-paid funeral plan providers in July 2022, after concerns about the conduct of some firms in the sector.
- June 2022
Leasehold Reform (Ground Rent) Act 2022 comes into force
The Leasehold Reform (Ground Rent) Act 2022 came into force on 30 June 2022, ending financial ground rent on most new long residential leases in England and Wales.
Phase 1 CoP technical environment closes
Pay.UK closed the Phase 1 Confirmation of Payee technical environment on 30 June 2022, creating a single operating environment for the name checking service used to prevent misdirected payments and fraud.
Building Safety Act 2022 leaseholder protections come into force
Financial protections for leaseholders in buildings at least 11 metres or five storeys high with historical safety defects took effect on 28 June 2022 under the Building Safety Act 2022.
Further consultation on Pensions Dashboards Regulations launched
The Department for Work and Pensions opened a second consultation on the draft Pensions Dashboards Regulations 2022 on 28 June 2022, covering the Dashboards Available Point and information sharing between MaPS and TPR.
FCA announces data-led approach to tackling online scams faster
The Financial Conduct Authority is scanning about 100,000 new websites a day to spot apparent scams and asking hosts to shut them down, as part of an update on its data strategy.
Research quantifies local poverty premium across Britain
Research from Fair By Design and the University of Bristol puts the cost of the poverty premium at £4.5 million a year for each parliamentary constituency and £2.8 billion for the national economy.
Financial Policy Committee confirms withdrawal of affordability stress test Recommendation
The Financial Policy Committee confirmed it will withdraw its mortgage affordability stress test Recommendation, with the change taking effect from 1 August 2022, following a consultation in February.
Government publishes response to BNPL regulation consultation
HM Treasury has published its response to the consultation on regulating buy now pay later, setting out a wider scope that includes short-term interest-free credit from third-party lenders, with further information requested by 1 August 2022.
UK Government sets out plans to regulate Buy-Now-Pay-Later
The Treasury set out plans on 20 June 2022 to bring buy now pay later lending under FCA regulation, with affordability checks, Ombudsman access and draft legislation due later in the year.
Government announces intention to reform the Consumer Credit Act
The government announced on 16 June 2022 that it intends to reform the Consumer Credit Act 1974, the law covering credit cards, personal loans and consumer hire agreements, with a first consultation to follow.
FCA consults on updates to branch and ATM closure guidance
The Financial Conduct Authority consulted from 14 June to 26 July 2022 on updated guidance for bank branch and ATM closures, proposing to treat long-term cuts to opening hours or services as partial closures.
FOS publishes Discussion Paper on future funding model
The Financial Ombudsman Service has published a Discussion Paper on possible changes to how it is funded, proposing that the levy on firms recover its fixed overheads and that case fees be restructured.
Consultation published on protecting customers claiming tax repayments
A June 2022 consultation sought views on restricting repayment agents' use of assignments over income tax repayments, a practice later rendered void from 15 March 2023.
FCA consults on updated guidance for firms on branch and ATM closures or conversions (GC22/2)
The Financial Conduct Authority has opened a consultation on updated guidance for banks and building societies on branch and ATM closures, extending its expectations to partial closures and other changes.
FCA sends Dear CEO letter to more than 3,500 retail lending firms on supporting customers in financial difficulty
The Financial Conduct Authority wrote to more than 3,500 retail lending firms in June 2022 setting out its expectation that they support customers in financial difficulty, including those affected by the rising cost of living.
Government announces intention to reform the Consumer Credit Act 1974
HM Treasury has set out plans to move most of the Consumer Credit Act 1974 out of statute and into Financial Conduct Authority rules, opening a consultation that runs to 17 March 2023.
Government plans new APP scam reimbursement regulation
The government plans new regulation on authorised push payment scam reimbursement after a reported 40 per cent rise in the fraud, according to a June 2022 financial news round-up.
Government plans overhaul of consumer credit legislation
The government plans to overhaul consumer credit legislation alongside new regulation of Buy Now Pay Later credit and authorised push payment fraud, a June 2022 round-up of financial regulation news reports.
Government plans to regulate Buy Now Pay Later
The government plans to bring Buy Now Pay Later into regulation and overhaul consumer credit legislation, with Martin Lewis criticising the pace of the changes.
Ofcom introduces one-page pricing information rule
Ofcom has introduced rules requiring communications providers to give customers a one page document explaining pricing terms and conditions at the point of signing up, alongside guidance on example estimates for inflation-linked rises.
Stronger Nudge rules come into force
Stronger Nudge rules took effect on 1 June 2022, requiring pension providers to offer guidance to people accessing defined contribution savings, with take-up monitored afterwards.
Treasury Select Committee warns against international competitiveness mandate for regulators
The Treasury Select Committee has warned against an "international competitiveness" mandate for UK financial regulators, a measure embedded in the Financial Services and Markets Bill.
- May 2022
Ofwat publishes Paying fair guidelines on supporting residential water customers
Ofwat has published Paying fair, guidelines setting principles and minimum service expectations for water companies in England and Wales on helping residential customers pay bills, access help and repay debts.
Government announces FCA will receive new powers over cash access
The Government said on 19 May 2022 that the Financial Conduct Authority will get new powers to protect the availability of cash withdrawal and deposit facilities in local communities across the UK.
Government announces revamp of lasting power of attorney system
The government has set out plans to let people make a lasting power of attorney entirely online, with new identity checks, while keeping the paper route open.
Government publishes Statutory Debt Repayment Plan consultation
The government has published its consultation on the Statutory Debt Repayment Plan, a new statutory repayment scheme for England and Wales, with responses due by 5 August 2022.
BEIS consultation opened on expanding Warm Home Discount in Scotland
BEIS has opened a consultation on expanding the Warm Home Discount in Scotland to 50,000 more households, raising it from £140 to £150 and extending it to 2026.