REC 3.13 Delegation of relevant functions
- (1)
The purpose of REC 3.13 is to enable the FSA to monitor any significant instances where UK recognised bodies outsource their functions to other persons (as permitted 1under Regulation 6 of the Recognition Requirements Regulations or, in relation to an RAP, under regulation 13 of the RAP regulations1. See REC 2.2 and REC 2A.2).1
1 - (2)
The FSA does not need to be notified of every instance of outsourcing by a UK recognised body, but only where an activity or activities which form a significant part of a relevant function or which make a significant contribution to the performance of a relevant function are outsourced.
Where a UK recognised body makes an offer or agrees to delegate any of its relevant functions to another person, it must immediately give the FSA notice of that event, and:
- (1)
inform the FSA of the reasons for that delegation or proposed delegation;
- (2)
inform the FSA of the reasons why it is satisfied that it will continue to meet the recognition requirements or (for an RAP) RAP recognition requirements1 following that delegation;
- (3)
where it makes such an offer by issuing a written invitation to tender to another body or person, give the FSA a copy of that invitation to tender; and
- (4)
where it makes such an agreement, give the FSA a copy of that agreement.
A UK recognised body must immediately give the FSA notice, where it makes an offer or agrees to undertake any relevant function of another UK recognised body.