FCA extends 10% drop notification suspension until end of 2021

Will review rule

Sophie King
clock • 2 min read

The Financial Conduct Authority (FCA) has extended the suspension of the 10% depreciation rule until the end of 2021 and said it will begin consulting on the regulation this spring.

In an update published on Friday (19 March), the regulator said it has extended temporary measures for firms until the end of 2021 while it undertakes policy work on the future of the requirement. It said the temporary relaxation had so far given it the "opportunity to consider the effectiveness", raising the hopes of critics it might not return at all at the end of 2021. The temporary coronavirus pandemic-related measures were first introduced in March 2020 as market volatility spiked. Firms providing portfolio management services or holding client accounts have had to notify clients ...

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