Out of favour: Has the regulator lost interest in S166?

There has been a reported reduction in the regulator’s use of its FSMA Section 166 powers, which is in contrast to speculation of an increase last year. As such, many have questioned whether this regulatory tool, which gives the Financial Conduct Authority (FCA) power to commission an independent review of firms’ activities, has fallen out of favour. When viewed in conjunction with the wider regulatory picture, however, it is clear skilled person reviews continue to be an integral spanner in the FCA’s supervisory toolbox.   Fall in reports The number of S166 reports commissioned ...