SUP 12.7 Notification and reporting requirements

1. (1)

   6This rule applies to a firm which intends to appoint an appointed representative or FCA registered tied agent.20

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   4

2. (2)

   20[deleted]

3. (3)

   A firm to which this rule applies 20 must complete and submit the form in SUP 12 Annex 3 to be received by the FCA no later than 30 days before the commencement of regulated activities by the proposed appointed representative20.

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4. (4)

   20[deleted]

1. (1)

   A firm16 other than:9

   9
   1. (a)

      a credit union; or9

   2. (b)

      a firm which intends to appoint an appointed representative to carry on only credit-related regulated activity;9

   must submit the form in SUP 12 Annex 3 via16 online 9submission16 at the FCA’s website at16 http://www.fca.org.uk or any of the methods set out in SUP 15.7.4R to SUP 15.7.5AR (Method of notification)16.

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2. (2)

   A credit union or a firm which intends to appoint an appointed representative to carry on only credit-related regulated activity9must submit the form in SUP 12 Annex 3 R in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).

3. (3)

   Where a firm is obliged to submit an application online under (1), if the FCA's information technology systems fail and online submission is unavailable for 24 hours or more, until such time as facilities for online submission are restored, a firm must submit the form in SUP 12 Annex 3 R in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).

1. (1)

   18A firm must notify the FCA in good time before:

   1. (a)

      20[deleted]

   2. (b)

      the number of its appointed representatives appointed to carry on regulated funeral plan activity increases through a material threshold.

2. (2)

   A firm that has appointed one or more appointed representatives to carry on regulated funeral plan activity must notify the FCA in good time before it appoints an appointed representative to carry on any other regulated activity for the first time.

18A firm must submit to the FCA within 80 business days of each calendar year end a list of those of its appointed representatives which:

1. (1)

   undertake regulated funeral plan activity; and

2. (2)

   are the subject of a multiple principal agreement (for the purposes of SUP 12.4.5BR).

1. (1)

   20[deleted] [Editor’s note: This provision now appears at SUP 12.7.7AR.]

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2. (1A)

   20[deleted] [Editor’s note: This provision now appears at SUP 12.7.7BR.]

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3. (1B)

   20[deleted] [Editor’s note: This provision now appears at SUP 12.7.7CR.]

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1. (2)

   Except where (4) applies, where 20there is a change in any of the information provided to the FCA under SUP 12.7.1R, a firm must complete and submit to the FCA the form in SUP 12 Annex 4R8 (Appointed representative or tied agent – change details16) within ten business days of that change being made or, if later, as soon as the firm becomes aware of the change. The Appointed representative or tied agent – change details16 form must state that the information has changed.4

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2. (3)

   [deleted]8

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3. (4)

   20A firm must complete and submit to the FCA the form in SUP 12 Annex 4R (Appointed representative or tied agent – change details) at least 10 days before a change taking effect to the category of regulated activities which the appointed representative is permitted or required to carry on and for which the firm accepts responsibility.

20If:

1. (1)
   1. (a)

      the scope of appointment of an appointed representative is extended to cover insurance distribution activities for the first time; and

   2. (b)

      the appointed representative is not included on the Financial Services Register as carrying on insurance distribution activities in another capacity; or

2. (2)

   the scope of appointment of an appointed representative ceases to include insurance distribution activity;

   the appointed representative’s principal must give written notice to the FCA of that change before the appointed representative begins to carry on insurance distribution activities under the contract (see SUP 12.4) or as soon as the scope of appointment of the appointed representative ceases to include insurance distribution activities.

20If:

1. (1)
   1. (a)

      the scope of appointment changes such that the appointed representative acts as a tied agent, MiFID optional exemption appointed representative or structured deposit appointed representative for the first time; and

   2. (b)

      the appointed representative is not included on the Financial Services Register; or

2. (2)

   the appointed representative ceases to act as a tied agent, MiFID optional exemption appointed representative or structured deposit appointed representative;

   the appointed representative’s principal must give written notice to the FCA of that change before the appointed representative begins to act as a tied agent, MiFID optional exemption appointed representative or structured deposit appointed representative (see SUP 12.4) or as soon as the appointed representative ceases to act as a tied agent, MiFID optional exemption appointed representative or structured deposit appointed representative.

If:20

1. (1)
   1. (a)

      the scope of appointment of an appointed representative is extended to cover MCD credit intermediation activity for the first time; and

   2. (b)

      the appointed representative is not included on the Financial Services Register; or

2. (2)

   the scope of appointment of an appointed representative ceases to include MCD credit intermediation activity;

   the appointed representative’s principal must give written notice to the FCA of that change before the appointed representative begins to carry on MCD credit intermediation activity under the contract (see SUP 12.4), or as soon as the scope of appointment of the appointed representative ceases to include MCD credit intermediation activity.

   [Note: article 31(4) of the MCD]

1. (1)

   As soon as a firm has reasonable grounds to believe that any of the conditions in SUP 12.4.2 R,SUP 12.4.6 R,11 SUP 12.4.8A R4, SUP 12.4.10A R or SUP 12.4.10B R11 (as applicable) are not satisfied, or are likely not to be satisfied, in relation to any of its appointed representatives, it must complete and submit to the FCA the form in SUP 12 Annex 4 R (Appointed representative notification form), in accordance with the instructions on the form.3

2. (2)

   In its notification under SUP 12.7.8 R (1), the firm must state either:

   1. (a)

      the steps it proposes to take to rectify the matter; or

   2. (b)

      the date of termination of its contract with the appointed representative (see SUP 12.8).

3. (3)

   [deleted]3

1. (1)

   8Subject to (2A), a 9 firm other than a credit union must submit the form as set out in SUP 12 Annex 4 R online at http://www.fca.org.uk using the FCA's online notification and application system12.

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2. (2)

   A credit union must submit the form in SUP 12 Annex 4 R in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).

3. (2A)

   If the notification:9

   1. (a)

      relates to an appointed representative whose scope of appointment covers only credit-related regulated activity; or9

   2. (b)

      is of a change to the scope of appointment of an appointed representative to add or remove credit-related regulated activity;9

   the firm must submit the form in SUP 12 Annex 4 in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).9

4. (3)

   Where a firm is obliged to submit an application online under (1), if the FCA's information technology systems fail and online submission is unavailable for 24 hours or more, until such time as facilities for online submission are restored, a firm must submit the form in SUP 12 Annex 4 R in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).

7If a MiFID investment firm17 appoints an FCA registered tied agent17 this section applies to that firm as though the FCA registered tied agent17 were an appointed representative.

1. (1)

   20A firm must notify the FCA if it intends to begin acting as a regulatory host.

2. (2)

   20The notification in (1) must be received by the FCA at least 60 days before the firm begins offering services as a regulatory host.

1. (1)

   20This rule applies to a firm that has appointed one or more appointed representatives.

2. (2)

   A firm must, once a year, submit the form in SUP 12 Annex 6R (On-going reporting by principal firms on their appointed representatives) to the FCA including information on:

   1. (a)

      numbers of complaints relating to each of the firm’s appointed representatives; and

   2. (b)

      revenue and remuneration attributed to each of the firm’s appointed representatives.

3. (3)

   The form in (2) must be submitted to the FCA within 60 business days of the firm’s accounting reference date using the appropriate online systems accessible from the FCA’s website.

4. (4)

   A firm must submit the form in (2) in respect of each 12-month period to its accounting reference date in respect of which it has been a principal to one or more appointed representatives (whether or not it was a principal for the complete 12-month period).

5. (5)

   In relation to an appointed representative with more than one principal, a firm need not report information about the appointed representative’s revenue from non-regulated activities if it is not the ‘lead-principal’ (see SUP 12.4.5DG).