COBS TP 2 Other Transitional Provisions

202.-2

COBS, with the exception of COBS 15

R

Expired21

232.-2A

COBS 2.5.1R(1) to (3)

R

A firm need not comply with COBS 2.5.1R(1) to (3) in relation to an automatic renewal of an agreement for an optional additional product which was entered into on or before 31 March 2016 provided:

From 1 April 2016

On 1 April 2016

(1)

the automatic renewal of the agreement is on substantially the same terms. The phrase “on substantially the same terms” is to be interpreted in the same way as in COBS 2.5.1 (1) (b) and (c);

(2)

on the occasion of the first automatic renewal on or after 1 April 2016, the firm takes reasonable steps to ensure that the client is informed:

(a)

that the renewal of the agreement is optional;

(b)

that the client may elect not to renew the agreement; and

(c)

of the effect of the non-renewal of the agreement, if any, on the designated investment; and

(3)

the procedure to be used by clients for electing not to renew the agreement pays due regard to the interests of clients and treats them fairly.

292.-2B

COBS 2.3A

R

The rules and guidance on inducements in COBS 2.3A:

From 3 January 2018

3 January 2018 (and in relation to an insurance-based investment product, 1 October 2018)31

29(1)

apply to fees, commission, monetary and non-monetary benefits which are paid, provided or received by a firm in respect of:31

31(a)

(unless (b) applies)31 services that are provided to a client on or after 3 January 2018;

31(b)

(in relation to an insurance-based investment product) services that are provided to a client on or after 1 October 2018; and

29(2)

do not apply to fees, commission, monetary or non-monetary benefits which are paid, provided or received in respect of:31

31(a)

(unless (b) applies)31 services that are provided to a client before 3 January 2018;

31(b)

(in relation to an insurance-based investment product) services that are provided to a client on or after 1 October 2018

42.-1

COBS 4

R

Expired15

202.-1A

COBS 4.7.7 R to COBS 4.7.10 R

R

Expired21

332.-1B

COBS 4.5.12R to 4.5.15R

R

The rules specified in column (2) apply:

From 7 May 2019 to 7 August 2019

7 May 2019

(1)

from 7 May 2019 in respect of any authorised fund which is authorised on or after that date; and

(2)

from 7 August 2019 in respect of any authorised fund which is authorised before 7 May 2019.

2.1

COBS 6.1

G

(1) If a firm provides services of an ongoing nature to an existing client it need not provide information to that client that it would be required to provide under COBS to a new client but which it was not required to provide under COB.

(2) Services of an ongoing nature include safekeeping and administration investments and managing investments,

From 1 November 2007 indefinitely

1 November 2007

2.2

COBS 6.1

G

(1) If a firm provides a service for an existing client that is not of an ongoing nature and which relates to the same particular type of designated investment as a previous service, the firm need not provide information to that client that it would be required to provide under COBS 6.1 to a new client but which it was not required to provide under COB.

(2) But a firm should ensure that the client has received all relevant information in relation to a subsequent transaction, such as details of product charges that differ from those described in respect of a previous transaction.

From 1 November 2007 indefinitely

1 November 2007

382.-2B

COBS 9.4.11R(2)(e) and COBS 9.4.11R(6)(c)

R

In relation to a particular client, a firm need not comply with the requirements in rules in column (2) relating to charges in any default arrangement in any available qualifying scheme, where the firm’s work for the client on advice on pension transfer or pension conversion commenced prior to 1 October 2020 and is completed before 1 January 2021.

1 October 2020 to 31 December 2020

1 October 2020

382.-2A

COBS 9.4.12G(3) and COBS 9.4.12G(4)

G

In relation to a particular client, a firm need not consider the guidance in column (2) to the extent that it relates to the charges in any default arrangement in any available qualifying scheme, where the firm’s work for the client on advice on pension transfer or pension conversion commenced prior to 1 October 2020 and is completed before 1 January 2021.

1 October 2020 to 31 December 2020

1 October 2020

[deleted]6

182.2A

COBS 6.1E

R

[expired]26

182.2AA

COBS 6.1E

G

[expired]26

182.2AB

COBS 6.1E

G

[expired]26

182.2AC

COBS 6.1E

G

[expired]26

[deleted]6

62.2B

COBS 6.3

R

Expired15

62.2C

COBS 6.3

G

Expired15

472.2D

COBS 6.3

R

Expired21

472.2E

COBS 6.3.7 G

R

Expired21

382.2EA

COBS 19.1.2BR (3) and COBS 19.1.2BR(4)

R

In relation to a particular client, the rules in column (2) do not apply in relation to the default arrangement of the qualifying scheme where a firm’s work for the client on advice on pension transfer or pension conversion commenced prior to 1 October 2020 and is completed before 1 January 2021.

1 October 2020 to 31 December 2020

1 October 2020

382.2EB

COBS 19.1.6(7) to COBS 19.1.6(11)

G

In relation to a particular client, a firm need not consider the guidance in column (2) where the firm’s work for the client on advice on pension transfer or pension conversion commenced prior to 1 October 2020 and is completed before 1 January 2021.

1 October 2020 to 31 December 2020

1 October 2020

2.3

COBS 10.1.2 R

R

Expired15

2.4

COBS 10.1.2 R

G

Expired15

202.4-A

COBS 10.1.2 R

R

Expired21

42.4A

COBS 11.2

R

Expired15

42.4B

COBS 11.2

G5

Expired15

52.4C

COBS 11.2

R

Expired15

52.4D

COBS 11.2

R

Expired15

42.4E5

COBS 12.2 and COBS 12.3

R

Expired15

42.4F5

COBS 12.2 and COBS 12.3

G

Expired15

42.4G5

COBS 12.2 and COBS 12.3

R

Expired15

2.5

COBS 13

R

Expired15

1217

172.5-A

COBS 13.4.1 R

R

Expired21

122.5A

COBS 13.4.2 R

R

Expired21

172.5AA

COBS 13.5.1 R

R

Expired21

172.5AB

COBS 13.5.2 R

R

Expired21

172.5-B

COBS 13 Annex 2

R

Expired21

162.5B

COBS 13 Annex 2 2.3

R

Expired21

162.5C

COBS 13 Annex 2 2.4

R

Expired21

172.5D

COBS 13 Annex 3

R

Expired21

172.5E

COBS 13 Annex 4

R

Expired21

2.6

COBS 14.1 and COBS 14.2

R

Expired15

102.6A

COBS 14.2 and COBS 14.3

Expired15

Expired15

2.7

COBS 15

R

Expired15

2.8

COBS 16.3 (Periodic statements)

G

This transitional rule applies in relation to a periodic reporting period for a periodic statement that includes 1 November 2007.

A firm may choose to comply with either COBS 16.3 or COB 8.2 in providing any periodic statement2 in relation to which this rule applies.

From 1 November 2007 indefinitely

1 November 2007

42.8A

COBS 18

R

Expired15

42.8B

COBS 18

G

Expired15

42.8C

COBS 18

R

Expired15

42.8D

COBS 18

G

[deleted]7

42.8E

COBS 18

R

Expired15

222.8F

COBS 19.4.3 R

R

[expired]26

382.8F-B

COBS 19.1B.3R, COBS 19.1B.4R, and COBS 19.1B.5R.

R

The rules in column (2) do not apply in relation to a firm’s adviser charges, employer or trustee funded pension advice charge, or remuneration incurred in respect of work that is commenced prior to 1 October 2020 and is completed before 1 January 2021 where:

(1) a firm agreed in writing to be engaged by a retail client before 1 October 2020; or

(2) (in the case of an employer or trustee funded pension advice charge) a firm agreed in writing to be engaged by the employer or the trustee before 1 October 2020; and

(3) (in either case) the firm agreed in writing to provide full pension transfer or conversion advice on a contingent basis.

1 October 2020 to 31 December 2020

1 October 2020

382.8F-A

COBS 19.Annex 4AR(5)

R

In relation to a particular client, the rule in column (2) does not apply where a firm’s work for the client on advice on pension transfer or pension conversion commenced prior to 1 October 2020 and is completed before 1 January 2021.

1 October 2020 to 31 December 2020

1 October 2020

352.8FA

COBS 19.9.6AR(4)

R

(1) The rule in column (2) does not apply to a firm until 1 January 2020 and is replaced by TP 2.8FAR(2), the guidance in TP 2.8FB and the guidance in TP 2.8FC below.

(2) Where a retail client refuses to answer questions that would allow a firm to determine whether a pension annuity on an enhanced basis could be available, a firm must:

(a) include information warning the retail client that:

(i) a higher annual income might be obtained; or

(ii) at least the requested annual income might be obtained for a lower purchase price;

by searching the open market for a pension annuity; and

(b) as applicable, use the template in Part 3 or Part 6 of COBS 19 Annex 3R,

unless the firm obtains a market leading pension annuity in line with the guidance below in TP 2.8FC.

1 November 2019 to 31 December 2019

1 November 2019

352.8FB

COBS 19.9.6AR(4)

G

A firm in TP 2.8FAR(2) may consider it appropriate to include in the quote provided to the retail client a statement that the client may have health or lifestyle factors that could mean that they are eligible for a higher income.

For example, the wording in the “Did you know?” box in the template in Part 3 or Part 6 of COBS 19 Annex 3R could be adapted to reflect the fact that a client has refused to answer questions about their health or lifestyle.

1 November 2019 to 31 December 2019

1 November 2019

352.8FC

COBS 19.9.6AR(4)

G

Where a retail client refuses to answer a firm’s questions to allow the firm to determine whether the retail client is eligible for an enhanced annuity, the firm is encouraged to generate a market leading pension annuity quote using the same information that it used to generate its guaranteed quote and compare the two.

1 November 2019 to 31 December 2019

1 November 2019

34362.8G

COBS 19.10.30R(2)(b) and 19.10.34R

R

An operator of a personal pension scheme or stakeholder pension scheme must, within 6 months of 1 February 202141, identify which of its non-advised retail clients have more than 50% of their drawdown fund invested in cash-like investments (subject to COBS 19.10.32R) and provide those retail clients with a cash warning.

26 February 2021 to 1 August 202141

1 February 202141

34362.8H

COBS 19.10.43R

R

An operator of a personal pension scheme or stakeholder pension scheme must, within 6 months of 1 February 202141, identify which of its retail clients have value remaining in an expired fixed term product, such that COBS 19.10.43R applies, and provide those retail clients with warnings as set out in that rule.

26 February 2021 to 1 August 202141

1 February 202141

3436 2.8I

COBS 19.10.47G(13)

G

A firm to which TP 2.8GR applies should maintain a record of the number of retail clients provided with a cash warning in accordance with COBS TP 2.8GR.

26 February 2021 to 1 August 202141

1 February 202141

3436 2.8J

COBS 19.10.47G(17) and (18)

G

A firm to which TP 2.8HR applies should maintain a record of the number of retail clients provided with a warning in accordance with COBS TP 2.8HR.

26 February 2021 to 1 August 202141

1 February 202141

2.9

COBS 20.2.1 G to COBS 20.2.23 R; COBS 20.2.26 R8 to COBS 20.2.41 G

R

The provisions listed in column (2) do not apply to a firm if, and to the extent that, they are inconsistent with an arrangement that was formally approved by the appropriate regulator, a previous regulator or a court of competent jurisdiction, on or before 20 January 2005.

From 1 November 2007 indefinitely

1 November 200722

82.9A

COBS 20.2.24 R to COBS 20.2.25A R (Charging payments of compensation and redress to a with-profits fund)

R

The provisions listed in column (2) do not apply to a firm if, and to the extent that, they are inconsistent with an arrangement that was formally approved by the appropriate regulator, a previous regulator or a court of competent jurisdiction, on or before 31 July 2009.

From 31 July 2009 indefinitely

31 July 2009

2.10

COBS 20.2.42R (3) (Policyholder advocate: appointment and role)

R

Expired21

2.11

COBS TP 2.9

G

The rules and guidance on treating with-profits policyholders fairly (COBS 20.2.1 G – COBS 20.2.41 G;) may be contrary to, or inconsistent with, some arrangements that were formally approved by the appropriate regulator, a previous regulator or a court of competent jurisdiction, on or before 20 January 2005. The effect of TP 2.9 is that these rules do not apply to such arrangements if, and to the extent that, it is inconsistent with them.

A firm should be mindful, however, that, even if some or all of these rules are disapplied, the firm is still subject to the rules in the rest of the Handbook, including Principle 6.

From 1 November 2007 indefinitely

1 November 2007

42.12

COBS

R

[deleted]7

42.13

COBS

R

[deleted]7

82.14

COBS 20.2.24 R to COBS 20.2.25A R

R

(1) COBS 20.2.24 R to COBS 20.2.25A R have effect in relation to payments of compensation and redress arising out of events occurring on or after 31 July 2009.

(2) For payments of compensation and redress arising out of events occurring before 31 July 2009, COBS 20.2.23 R to COBS 20.2.25 R apply as they were in force on 30 July 2009.

From 31 July 2009 indefinitely

31 July 200913

[deleted]

[deleted]

[deleted]

92.16

COBS 9.4.10 G; COBS 13 Annex 2; COBS 13 Annex 3; COBS 14.2.1 R

R

Expired15

92.17

COBS 9.4.10 G; COBS 13 Annex 2; COBS 13 Annex 3; COBS 14.2.1 R

G

Expired15

142.18

COBS 20.2.53 R to COBS 20.2.60 G, SUP App 2.15G

R

(1) Unless (2) applies, and subject to (3), a firm that has ceased to effect new contracts of insurance in a with-profits fund must submit to the FCA a run-off plan of the type described in COBS 20.2.53R (2); COBS 20.2.56 R, and COBS 20.2.57 G, if it has not done so already, by 31 December 2012, regardless of when it closed to new business.

(2) Paragraph (1) does not apply to a firm if, and to the extent that, to comply would be contrary to or inconsistent with an arrangement that was formally approved by a court of competent jurisdiction, on or before 1 April 2012.

(3) A firm required by (1) above to produce a run-off plan:

(a) should consider the guidance in SUP App 2.15.6 G, 2.15.7G (11), 2.15.13 G, 2.15.14 G and 2.15.15 G to continue to apply to it, as appropriate;

(b) may demonstrate compliance with the guidance in SUP App 2.15.2 G, 2.15.3 G, 2.15.4 G and 2.15.5 G by reference to existing documents created by or for the firm, provided that it submits copies of relevant extracts to the FCA;

(c) may disregard the remaining provisions in SUP App 2.15G if to do so would be consistent with meeting the requirements of COBS 20.2.56R (1); and

(d) may otherwise tailor the run-off plan to reflect the fact that the fund in question has already been closed.

From 1 April 2012 indefinitely

1 November 2007 and 1 April 2012

142.19

COBS 20.2.53 R to COBS 20.2.60 G

G

The effect of COBS TP 2.18 is that firms which were not required to submit a run-off plan to the FCA because they ceased to effect new contracts of insurance before 1 November 2007 or because of previous transitional provisions in COBS, will need to submit a version of a run-off plan to the FCA, taking into account the fact that the fund has already closed, by 31 December 2012. However, this will not apply to the extent that it would be inconsistent with a formally approved court scheme.

From 1 April 2012 indefinitely

1 November 2007 and 1 April 2012

142.20

COBS 20.2.28 R

R

Expired15

142.21

COBS 20.2.36 R to COBS 20.2.36A R

R

Expired21

142.22

COBS 20.5.1 R to COBS 20.5.5 R

R

Expired15

192.23

The changes to COBS set out in Annex K of the Alternative Investment Fund Managers Directive Instrument 2013

R

Expired21

242.24

COBS 13 Annex 2

A firm will comply with the provisions listed in column (2) if it chooses to comply with the following amendments made to those provisions by the Conduct of Business (Pension Supplementary Rules) Instrument 2016 as if those amendments were already in force: COBS 13 Annex 2 2.4R (3); COBS 13 Annex 2 3.3R; COBS 13 Annex 2 3.4G; COBS 13 Annex 2 5.1R(2)(g)

25 April 2016 to 5 April 2017

6 April 2017

252.25

COBS 19.6A.5R

R

COBS 19.6A.5R does not apply where the instruction for the action giving rise to the early exit charge was received by the firm before 31 March 2017.

From 31 March 2017 indefinitely

31 March 2017

272.26

COBS 17.1.7R

R

An insurer need not comply with COBS 17.1.7R for contracts entered into or variations agreed before 1 August 2017.

From 1 August 2017

On 1 August 2017

282.27

The rules and guidance in COBS that relate to a NURS-KII document

R

Where the authorised fund manager of a non-UCITS retail scheme, or an ICVC that is a non-UCITS retail scheme, complies with the rules and guidance in COLL that relate to a NURS-KII document, in accordance with COLL TP 1.1.46R, by using a key investor information document (as modified by a general direction from the FCA), the rules and guidance in column (2) apply in relation to that document as if a reference to a “NURS-KII document” were a reference to that document.

From 1 January 2018 until 19 February 2018

1 January 2018

282.28

COBS TP 2.27R

G

The effect of COBS TP 2.27R is that where a modified form of a key investor information document has been produced for a non-UCITS retail scheme prior to 1 January 2018, firms may continue to use that document for a short period until the AFM of the KII-compliant NURS has had time to produce a replacement NURS-KII document that complies with COLL Appendix 2R.

From 1 January 2018 until 19 February 2018

1 January 2018

302.29

COBS 19.1.2R to COBS 19.1.4BR

A firm will comply with the provisions in column (2) if it chooses to comply with the following amendments made by Part 2 of the Conduct of Business Sourcebook (Pension Transfers) Instrument 2018 as if those amendments were already in force: COBS 19.1.1-A; COBS 19.1.2BR; COBS 19.1.2CR; COBS 19.1.2DG; COBS 19.1.2EG; COBS 19.1.3AR; COBS 19.1.3BG; COBS 19 Annex 4A; COBS 19 Annex 4B; COBS 19 Annex 4C; COBS 19 Annex 5.

If a firm does so, the reference to “comparison” in COBS 19.1.7BG must be read as a reference to “appropriate pension transfer analysis”.

1 April 2018 to 30 September 2018

1 October 2018

372.29A

COBS 19.5.5R(8) and 19.5.13R(1)

R

(1) The requirement to publish administration charges and transactions costs information does not apply in respect of the year 1 January to 31 December 2019. Accordingly, the first publication of administration charges and transactions costs information must be completed by 31 July 2021, in respect of the year 1 January to 31 December 2020.

(2) In respect of the year 1 January to 31 December 2020, the requirement to publish administration charges and transactions costs information applies to default arrangements only.

1 April 2020 to 31 July 2021

1 April 2020

372.29B

COBS 19.5.5R(6)(g) and 19.5.16R

R

The requirement to set out administration charges and transactions costs information only applies in respect of the annual report for the year 1 January to 31 December 2020 and future years.

1 April 2020 to 31 July 2021

1 April 2020

372.29C

COBS 19.5.5R(7)

R

The requirement to ensure the production of the annual report by 31 July each year, in respect of the previous calendar year, only applies in respect of the year 1 January to 31 December 2020 and future years.

1 April 2020 to 31 July 2021

1 April 2020

372.29D

COBS 19.5.5R(7)

G

The effect of COBS 19.5.5R(7) and TP 2.29CR is that, in respect of the year 2020 onwards, the annual report must align with the calendar year.

1 April 2020 to 31 July 2021

1 April 2020

372.29E

COBS 19.5.16R(2)

R

In respect of the year 1 January to 31 December 2020 only, the annual report need not explain how a relevant scheme member can access the costs and charges information for each alternative fund option that a member is able to select. This is because the publication of such information is not required in respect of that year, due to TP 2.29AR(2).

1 April 2020 to 31 July 2021

1 April 2020

372.29F

COBS 19.5.5R(9) and 19.5.17R

G

IGCs do not need to ensure that members of relevant schemes are provided with the annual communication required by COBS 19.5.5R(9) until after the first publication of administration charges and transaction costs information. As a result of TP 2.29AR, the first annual communication will be in respect of the information published for the year 1 January to 31 December 2020.

1 April 2020 to 31 December 2021

1 April 2020

322.30

COBS TP 2.31

G

The purpose of the transitional provision in COBS TP 2.31 is to treat the specified Glossary definitions (and the relevant provisions referred to within these definitions) of the Conduct of Business Sourcebook (Investment Pathways) Instrument 2019 coming into force on 1 February 202139 as in force to enable a firm and its IGCs to comply with the requirements of COBS 19.5 and the guidance in SYSC 3.2 and SYSC 4.1.

From 6 April 2020 to 31 January 202139

6 April 2020

322.31

COBS 19.5

R

The following Glossary definitions (and the relevant provisions referred to within these definitions) have the same meaning as in Annex A of the Conduct of Business Sourcebook (Investment Pathways) Instrument 2019 coming into force on 1 February 202139:

(1) capped drawdown pension fund;

(2) flexi-access drawdown pension fund;

(3) manufacture; and

(4) pathway investment.

From 6 April 2020 to 31 January 202139

6 April 2020

322.32

COBS 19.5.5R(2A)(c)

R

The rule in column (2) does not apply until 1 August 2020 and is replaced by the guidance in COBS TP 2.33.

From 6 April 2020 to 31 July 2020

6 April 2020

322.33

COBS 19.5.5R(2A)(c)

G

From 6 April 2020 to 31 July 2020, an IGC may consider it appropriate to consider the firm’s processes and procedures, and any related service legal agreements, regarding the processing of core financial transactions, as part of its assessment of value for money.

From 6 April 2020 to 31 July 2020

6 April 2020

322.34

COBS 19.5.5R(6)

R

In relation to the matters in COBS 19.5.5R(2A) to (2D), where the first annual report produced by the Chair of an IGC from 6 April 2020 relates to a year:

(1) that ends before 6 April 2020, the rule in column (2) does not apply; or

(2) that starts before (but ends after) 6 April 2020, the IGC is not required to comply with the rule in column (2) to the extent the IGC does not have sufficient information to produce a substantive report. In such cases where there is insufficient information to produce a substantive report, the Chair of the IGC must include a statement in the annual report to that effect.

From 6 April 2020 to 31 December 2020

6 April 2020

322.35

COBS 19.5.5R(6)(aa)

R

The rule in column (2) does not apply until 6 April 2021 and is replaced by the guidance in COBS TP 2.36 below.

From 6 April 2020 to 5 April 2021

6 April 2020

322.36

COBS 19.5.5R(6)(aa)

G

Where an annual report produced by the Chair of an IGC after 6 April 2020 relates to a year that ends before 6 April 2021, an IGC may consider it appropriate to report on the extent to which the firm has implemented its stated policies in relation to the matters in COBS 19.5.5R(2B) to (2D).

From 6 April 2020 to 5 April 2021