IM&W - Authorisation as a regulated firm
Supporting both new market entrants with the UK regulatory authorisation application process, and existing firms with Change in Control (CiC) applications and Variation Of Permissions (VOP).
Regulatory Expectations
Firms that want to undertake regulated activities in the UK must be authorised by the FCA and, depending on the activities being undertaken, they may also require authorisation by the PRA. Without a clear plan, obtaining authorisation can be a challenging process. We are able to support firms with their journey to becoming authorised, including meeting the extensive set of requirements set by the regulator and preparing the documentation that needs to be submitted. It is important that firms demonstrate, through the authorisation process, that their internal processes support their ability to meet the relevant threshold conditions and that the granting of permission(s) will not harm the achievement of regulatory objectives.
A similar process applies to existing firms looking to undertake a VOP to either change or add to its regulatory activities, or a CiC process following a change of ownership and / or Mergers and Acquisitions (M&A) activity.
Timeline:
Regulators expect firms to be “Ready, Willing and Organised” in order to demonstrate their ability to comply with their applicable rules and guidance. A typical application follows a number of key stages with several documents expected to be prepared in advance. The typical timing from start to finish is on average about 12-18 months depending on complexity:
*The statutory timeline to review a complete application is 6 months under FSMA, but regulators note that the process can take up to 12 months for applications that are incomplete. Timeline provided based on an example of an IM&W firm.
Our capabilities:
Our Authorisations Team have deep expertise and a proven track record of helping manage the authorisation process to a successful completion. Together with Deloitte’s extensive network of SMEs and drawing on a team including ex-regulators and industry practitioners, we can support you throughout the end-to end application process, including navigating any nuances and potential pitfalls you may face when seeking approval from the regulator.
Core risk and regulatory support:
Timeline
Regulators expect firms to be “Ready, Willing and Organised” in order to demonstrate their ability to comply with the applicable rules and guidance. A typical application follows a number of key stages with several documents expected to be prepared in advance. The typical timing for a firm’s journey to authorization is on average about 12-18 months from start to finish depending on complexity.
*The statutory timeline to review a complete application is 6 months under FSMA, but regulators note that the process can take up to 12 months for applications that the FCA deems incomplete. Timeline provided based on an example of an IM&W firm.
Our capabilities
Our Authorisations Team have deep expertise and a proven track record of helping firms with the authorisation process, through to a successful completion. Together with Deloitte’s extensive network of SMEs and drawing on a team including ex-regulators and industry practitioners, we can support firms with the application process, including navigating any nuances and potential pitfalls faced when seeking approval from the regulator. Whether you need comprehensive, end-to-end support or assistance with a specific aspect of your application, we can tailor our support to your needs.
Other specialist support / capabilities:
Post-authorisation support
With authorisation being a key step in the development of a new financial services firm or business line, we understand that firms may also require support to ensure they embed and continue to meet regulatory requirements and expectations. We can provide tailored assistance and ad hoc support to assist with post-authorisation regulatory enhancements, whether that be with risk and compliance, governance, reporting or other areas such as transformation.
