How to Become FCA Regulated

In the UK, the Financial Conduct Authority (FCA) is an authorisation that oversees the behaviour of financial businesses and ensures that the market is fair.

If you’re to become FCA-regulated, we can help you understand how to obtain this regulation. Throughout this blog, we’ll explore the steps involved in becoming FCA-regulated as well as everything you need to know. Read on to find out more.

What is the Financial Conduct Authority?

The FCA stands for the Financial Conduct Authority. It was established in 2013 and operates as an independent UK body. Its primary objectives include:

Protecting customers
Identifying risks
Promoting healthy competition within the financial sector

All financial markets should be honest, fair and competitive so that consumers receive a fair deal. The FCA’s role is to make sure that all of these markets work well for the growth of the UK economy and businesses. They focus on reducing serious harm by setting higher standards and promoting competition.

Does Your Business Need to Be FCA Regulated?

Any business located in the UK must be authorised and regulated by the Financial Conduct Authority. However, there can be some exceptions, such as:

Professional firms: This includes solicitors or accountants
Appointed representatives who work on behalf of firms that are already authorised
Local authorities: This includes county councils, unitary councils and district councils

If you are unsure as to whether or not your business needs to be regulated by the FCA, make sure to refer to their handbook.

How Can You Become FCA Regulated?

The FCA wants you to take regulation seriously and be ready, willing and organised to comply with their current rules and guidance. Your application will need to be submitted to their Connect system. But first, you need to register before you submit your application.

Once you have completed this, the FCA will assess your application and you will have to pay an application fee.

It’s important to remember that becoming FCA-regulated takes time and it isn’t something that happens overnight. Some applications can take up to 12 months if they aren’t completed.

You will need to complete thorough research to understand the specific regulatory requirements that apply to your business. Take a look at the FCA’s guidance documents and handbooks to learn more about what requirements apply to you.

How Much Does it Cost?

The cost of becoming FCA-regulated depends on a wide range of factors, such as the type of business you run. The price to obtain this certification starts at £270 and goes all the way up to £217,500.

The price of becoming FCA-regulated is divided into different categories. It is a one-off payment, however, once you have been authorised, you will pay the Financial Conduct Authority a periodic fee each year.

What Are the Benefits of Becoming FCA Regulated?

Becoming regulated by the Financial Conduct Authority (FCA) offers a wide range of benefits for financial institutions, companies, and individuals operating within the UK financial services industry, such as:

Being FCA-regulated builds trust
The FCA regulation protects consumers
It can open doors for your business

This regulation promotes:

Trust
Enhanced reputation
Market confidence

Contact Haggards Crowther For Specialist Regularity Support

Here at Haggards Crowther, we offer a range of services for businesses and individuals, including specialist regularity support such as FCA regulation, audit support and non-statutory audits.

Our expert team has excellent knowledge and experience in FCA regulation. All businesses operating in the financial sector regulated by the FCA are required to comply with complex regulatory requirements, accounting and much more.

Although this may seem daunting, with us, it doesn’t have to be. We are here to help your business by providing you with a service tailored to your needs alongside several tax-related guides.

If you are dealing with FCA regulation, managing the finances or running a regulated business, we can help. For more information on the services we provide, contact us today, we are more than happy to help!