The FCA recently published its 2021-2022 Business Plan covering many areas within the wholesale and retail space. This provides further evidence and also aligns with its recent updates on regulatory reporting that it’s looking to be more assertive across the industry. We note that the FCA states that it needs to transform and change the way it does things given the recent challenges such as Brexit, the pandemic and technology are placing on them, and have outlined three key changes which are:
- More innovative – taking advantage of data and technology to increase their ability to act decisively in the interests of consumers
- More assertive – testing the limits of their powers and engaging with partners to make sure they bring their powers to bear
- More adaptive – constantly learning and always adjusting their approach as consumer choices, markets, services and products evolve.
In addition, there are several references to data quality, technology, automation and innovative data analysis that will allow them to identify risks to concentrate on more closely. Hence, they will focus on the following during the next 12 months:
- Data: Strengthen the foundations of their data, improving accuracy and accessibility. This will mean they can use it more effectively to identify harm and intervene more quickly
- Information: Build capabilities to deliver automation and efficiencies, improve systems infrastructure and use technology to make operations more efficient
- Intelligence: Use advanced analytical techniques to proactively identify and prioritise firms or harms for investigation.
- To read the full FCA Business Plan visit its website.
- For a conversation with Francesco or one of our regulatory specialists about the above topics, please contact us.