FCA restricts ten principal firms after toughening AR rules

ARs are managed by authorised firms, known as principals, which are responsible for ensuring their ARs comply with FCA rules, rather than being directly authorised by the FCA. Since the introduction of tougher rules to regulate principals in 2023, ten firms have been placed under restriction over the last six months. The regulator said it had written to more than 3,000 principals about their obligations to properly oversee the behaviour and conduct of their ARs, while collecting data on every AR. Additionally, the FCA created a new supervision department with more than 30 staff ear...