SUP TP 1 Transitional provisions

Definitions for these transitional provisions, additional to those in the Glossary, are provided at paragraph 16 of the table.

1

SUP 3.3.2 R (1)

R

Auditors

A firm will not contravene SUP 3.3.2 R (1), if the office of auditor is filled at commencement. The auditor filling the office at that time will be deemed to be appointed under SUP 3.3.2 R.

From commencement

Commencement

2

SUP 3.9 and SUP 3.10

R

Expired16

3

SUP 3.9.4 R

R

Expired16

3A

SUP 3.10

R

Expired16

3B

SUP 3.10.6 R, SUP 3.10.7 R

G

Expired16

3C

SUP 3.10

R

Expired16

4

SUP 4.3.1 R (1) and SUP 4.4.1 R (1)

R

Actuaries

A firm will not contravene SUP 4.3.1 R (1) or SUP 4.4.1 R (1) to the extent that the office of actuarial function holder, with-profits actuary or appropriate actuary is filled by an actuary appointed on or before 31 December 2004, provided that that actuary was appointed in accordance with the statutory requirements, or the requirements of the regulatory system, in force at that time.14

From commencement

Commencement

4A13

SUP 413

R13

Anything done before 31 December 2004 for the purposes of an amended provision in SUP 4 has effect as if done under that provision.13

From 31 December 200413

31 December 200413

4B13

[deleted]14

144BA

SUP 4.3.16AR (3) and SUP 4.3.16AR (4)

R

The rules apply in respect of each financial year commencing on or after 1 January 2005.

From 31 December 2004

31 December 2004

4C13

[deleted]14

4D13

[deleted]14

4E13

[deleted]14

5

SUP 4.3.3 R

R

If a firm's actuary14 has been appointed by a previous regulator under statutory or contractual powers and remains in office immediately before commencement, that appointment will be deemed to have been made under SUP 4.3.3 R, but on the terms of the actual appointment.

From commencement

Commencement

6

SUP 8.6.1 G

R

Expired16

6A

SUP 9.4

G

Individual guidance

From 19 July 2001

21 June 2001

(1)

If a person acts in accordance with individual written guidance:

(a)

given to him by any previous regulator (or body whose functions were assumed by a previous regulator);

(b)

relating to any pre-commencement provision; and

(c)

in the circumstances contemplated by that guidance;

then the FSA will proceed on the footing that the person has complied with the aspects of any provision in or under the Act (including a rule or guidance in the Handbook) to which the guidance relates if:

(d)

that provision is substantially similar to the pre-commencement provision in relation to the matter with which the guidance is concerned;

(e)

the guidance was current immediately before commencement; and

(f)

the guidance has not been superseded.

(2)

SUP 9.4.2 G - SUP 9.4.4 G are relevant for individual guidance in (1) in the same way as for individual written guidance given by the FSA.

(3)

References to “individual written guidance” in (1) and (2) include a written concession from a pre-commencement provision which is substantially similar to guidance in the Handbook.

8

SUP 10.13.6 R

R

Expired16

288D

SUP 10.13.6 R (Ceasing to perform a controlled function) and SUP 10.13.3 D (Moving within a firm)

R

The obligation to submit Form C or Form E does not apply in relation to a person who:

(a) ceases to perform a controlled function because that controlled function ceases to exist on 1 February 2007; or

(b) performs a function which falls within the description of a different controlled function after 1 November 2007 as a result of TP 8AR.

From 1 February 2007 in relation to the sole trader function and 1 November 2007 in all other cases.

From 1 February 2007 in relation to the sole trader function and 1 November 2007 in all other cases.

9

SUP 12.5.5 R

SUP 12.5.7 R

R

Expired16

9A

SUP 15.8.4 G

R

Notification of Delegation

From 13 February 2004 to 13 February 2007

13 February 2004

(1)

Subject to (2), SUP 15.8.4 G does not apply to a UCITS management company which became authorised before 13 February 2004.

(2)

Paragraph (1) does not apply in relation to any UK firm which exercises an EEA right under the UCITS Directive (in which event the rule applies in relation to acts of delegation occurring on or after the date on which the firm begins to exercise such rights).

9B12

SUP 12.512

R12

A firm conducting designated investment business need not amend its written contract with anappointed representative(appointed before 15 January 2004) to take account of amendments to SUP 12.5 coming into force between 30 June 2004 and 30 June 2005, until 30 June 2005 or the date on which the contract is next updated (whichever is earlier).12

From 30 June 2004 until 30 June 2005, that is, 12 months.12

Commencement, and as amended with effect from 30 June 200412

10

SUP 16.4.5 R

SUP 16.5.5 G

R

Expired16

10A9

SUP 16.4

SUP 16.59

R9

SUP 16.4 (Annual controllers report) and SUP 16.5 (Annual close links report) do not apply to a firm with permission to carry on only insurance mediation activity, mortgage mediation activity, or both.9

(1) in respect of mortgage mediation activities, 31 October 2004 - 31 March 2005;

(2) in respect of insurance mediation activities, 14 January 2005 - 31 March 2005,9

1 April 20059

11

SUP 16.6

SUP 16.7

SUP 16.8

R

Expired16

12

SUP 16.7.7 R;

SUP 16.7.9 R,

SUP 16.7.11 R,

SUP 16.7.16 R,

SUP 16.7.24 R,

SUP 16.7.26 R,

SUP 16.7.35 R,

SUP 16.7.44 R,

SUP 16.7.46 R,

SUP 16.7.48 R,

SUP 16.7.57 R

R

Expired16

12A

SUP 16.7.38 R

R

An investment management firm which, before 1 December 2003, was already submitting consolidated financial returns in the form in:

(a) SUP 16 Ann 10R; or

(b) SUP 16 Ann 7R (with associated guidance in SUP 16 Ann 8G);

may continue to use these forms instead of the consolidated financial resources return in SUP 16 Ann 5R.

From 1 December 2003 until, but not including, the date on which the provisions of the Financial Groups Directive take effect in the United Kingdom.

1 December 2003

12B9

SUP 16.7.54 R;9

SUP 16.7.76 R9

SUP 16.7.79 R9

SUP 16.7.80 R9

R9

(1)9

Where a rule in SUP 16.7 requires a firm to submit information using the RMAR on a half-yearly basis, and the firm has:9

From 1 April 20059

91 April 2005

9(a)

9annual income of less than £5m but more than £60,000 in total from insurance mediation activity, mortgage mediation activity and its permitted activities as a personal investment firm11, and

(b)

9an accounting reference date which

(i)

9falls between 31 December 2004 and 31 March 2005; or

9(ii)

9falls between 30 June 2005 and 30 September 2005

9this must be read as a reference to providing the first return in accordance with SUP TR 12CR.

9(2)

9Where a rule in SUP 16.7 requires a firm to submit information using the RMAR on a half-yearly basis, and the firm has:

9(a)

9annual income of less than £5m but more than £60,000 in total from insurance mediation activity, mortgage mediation activity and its permitted activities as a personal investment firm11, and

(b)

9an accounting reference date which is not within (1)(b);

9the first return must cover the firm's first full financial half-year which starts on or after 1 April 2005 and be submitted 30 business days after period end.

9(3)

9Where a firm is carrying on regulated activities before 1 April 2005 and is required under a rule in SUP 16.7 to submit information using the MLAR, the first return must cover the firm's first full financial quarter which starts on or after this date and be submitted 20 business days after period end.

9(4)

9Where a rule in SUP 16.7 requires a firm to submit information using the RMAR on a half-yearly basis, and the firm has:

9(a)

9annual income of less than £60,000 in total from insurance mediation activity, mortgage mediation activity and its permitted activities as a personal investment firm11, and

(b)

9an accounting reference date which falls between 31 December 2004 and 30 December 2005,11

the relevant rule must be read as requiring the first return to be provided in accordance with SUP TR 12DR.11

(5)11

Where a rule in SUP 16.7 requires a firm to submit information using the RMAR on a quarterly basis, and the firm has an accounting reference date which falls between 31 December 2004 and 30 December 2005 the relevant rule must be read as requiring the first return to be provided with SUP TR 14B.11

12C9

R 9

If SUP TR 12B R (1) - (3) applies, the firm's first return must be provided as follows:9

Accounting reference date9

Reporting period starts9

Reporting period ends9

Return to be provided9

Between 30 June 2005 and 30 September 20059

1 April 20059

Accounting reference date within 20059

30 business days after period end.9

31 December 200411

1 April 200511

30 June 200511

30 business days after the period end11

Between 1 January 2005 and 31 March 200511

1 April 20059

6 months after the accounting reference date within 200511

30 business days after period end9

12D9

R9

(1)9

If SUP TR 12BR (4)SUP TR 12BR (4) applies, the firm's first return must be provided as follows:9

Accounting reference date9

Reporting period starts9

Reporting period ends9

Return to be provided9

31 December 200411

1 April 200511

30 June 200511

30 business days after period end11

(Note 1)11

Between 1 January 2005 and 31 March 200511

1 April 20059

6 months after the accounting reference date within 200511

30 business days after period end

(Note 1)9

Between 1 April 2005 and 29 June 20059

the day following the11 accounting reference date within 20059

6 months after the accounting reference date within 2005911

30 business days after period end

(Note 1)9

Between 30 June 2005 and 29 September 20059

1 April 20059

Accounting reference date within 20059

30 business days after period end9

Between 30 September 2005 and 30 December 20059

The day after 116 months preceding the 11accounting reference date within 20059

Accounting reference date within 2005

30 business days after period end9

12E9

R9

(2)9

If SUP TR 12BR (4) applies, the firm's second return must be provided as follows:9

Accounting reference date11

Reporting period starts11

Reporting period ends11

Return to be provided11

Between 30 June 2005 and 29 September 20059

the day following the accounting reference date11 within 20059

6 months after the accounting reference date within 200511

30 business days after period end

(Note 1)9

12F9

SUP 16.7.77 R9

R9

A mortgage administrator or mortgage lender must submit an annual report and audited accounts annually, 3 months after the firm's accounting reference date9

31 October 2004 - 31 March 20059

1 April 20059

12G15

SUP 16.7.7 R; SUP 16.7.9 R; SUP 16.7.11 R; SUP 16.7.16 R; SUP 16.7.20 R; SUP 16.7.24 R; SUP 16.7.26 R; SUP 16.7.28 R; SUP 16.7.35 R; SUP 16.7.57 R; SUP 16.7.62 R; SUP 16.7.65 R; SUP 16.7.73 R;

R

(1) Where a rule in SUP 16.7 requires a firm to submit information using the RMAR on a half yearly basis the relevant rule must be read as requiring the first return to be provided in accordance with SUP TR 12HR.

(2) Where a firm is carrying on regulated activities on or before 1 January 2007 and is required under a rule in SUP 16.7 to submit information using the MLAR, the first return must cover the firm's first full financial quarter which starts on or after this date and be submitted 20 business days after period end.

From 1 January 2007 - 31 December 2007

1 January 2007

12H15

R

If SUP TR 12G R (1) applies, the firm's first return must be provided as follows:

Accounting reference date (dates inclusive)

Reporting period starts

Reporting period ends

Return to be provided

Between 1 January and 31 March

The day after the accounting reference date within 2007

6 months after the accounting reference date within 2007

30 business days after period end.

Between 1 April and 30 June

1 January 2007

Accounting reference date within 2007

30 business days after period end.

Between 1 July and 30 September

The day after 6 months preceding the accounting reference date within 2007

Accounting reference date within 2007

30 business days after period end.

Between 1 October and 31 December

1 January 2007

6 months before the accounting reference date within 2007

30 business days after period end.

1712I

SUP 16.7.54 R

R

Until 6 September 2006, an authorised professional firm will not contravene SUP 16.7.54 R if it submits to the FSA the annual questionnaire that was contained in SUP 16 Annex 9R immediately prior to 6 July 2006.

6 July 2006 - 6 September 2006

6 July 2006

1812J

(1)

SUP 16.7.24 R, SUP 16.7.25 R and 16.7.25A R, SUP 16.7.27 R and 16.7.27A R

R

A securities and futures firm that is a BIPRU investment firm is not required to submit the Annual Reporting Statement, the Annual Reconciliation and the Consolidated Supervision Return under SUP 16.7.25 R and SUP 16.7.27 R (as appropriate).

1 January 2007 to 31 December 2007

Commencement and 1 January 2007

18(2)

SUP 16.7.35 R, SUP 16.7.36 R and SUP 16.7.36A R

R

An investment management firm that is a BIPRU investment firm is not required to submit the Annual Financial Return, the Consolidated Supervision Return and the Consolidated Financial Resources Return under SUP 16.7.36 R.

1 January 2007 to 31 December 2007

Commencement and 1 January 2007

18(3)

SUP 16.7.67 R, SUP 16.7.68 R and SUP 16.7.68A R

R

A UCITS investment firm is not required to submit the Consolidated Supervision Return under SUP 16.7.68 R.

1 January 2007 to 31 December 2007

13 February 2004 and 1 January 2007

18(4)

SUP 16.7.76 R, SUP 16.7.77 R and SUP 16.7.77A R

R

A personal investment firm that is a BIPRU investment firm is not required to submit the Consolidated Supervision Return under SUP 16.7.77 R.

1 January 2007 to 31 December 2007

1 April 2005 and 1 January 2007

18(5)

SUP 16.7.16 R and SUP 16.7.17 R

R

A building society will not be required to submit reports MFS1, MFS1 Supp, MFS2 and QFS2 for reporting dates after 1 January 2008

From 1 January 2008

Commencement

13

SUP 16.8

R

In Forms 1R(1) to (3) in SUP 16 Annex 6R , for any life policy promoted beforecommencement, a reference to “direct offer financial promotion” must be read as a reference to “direct offer advertisement”, as defined in the rulebook of the PIA at the time the policy was promoted.

From commencement for 6 years

Commencement

14

SUP 16.8

R

SUP 16.8 does not apply to an insurer (including a friendly society) which was not a member of the PIA immediately before commencement.

From commencement for 6 years

Commencement

14A9

SUP 16.11.7 R9

R9

9Until 1 July 2006, a firm will not contravene SUP 16.11.7 R if it does not complete the data reporting field 'Advice at the point of sale' (see SUP 16 Annex 21).9

1 April 2005 - 30 June 20069

1 April 20059

14B

R

If SUP TR 12B R (5) applies, the firm's first return must be provided as follows:

Accounting reference date11

Reporting period starts11

Reporting period ends11

Return to be provided11

31 December 200411

1 April 200511

30 June 200511

30 business days after period end11

Between 1 January 2005 and 31 March 200511

1 April 200511

6 months after the accounting reference date within 200511

30 business days after period end11

(Note 2)11

Between 1 April 2005 and 29 June 200511

The day following the accounting reference date within 200511

3 months after the accounting reference date within 200511

30 business days after period end11

(Note 2)11

Between 30 June 2005 and 29 September 200511

1 April 200511

Accounting reference date within 200511

30 business days after period end11

(Note 2)11

Between 30 September 2005 and 30 December 200511

The day after 6 months preceding the accounting reference date within 200511

3 months preceding the accounting reference date within 200511

30 business days after period end11

(Note 3)11

14C11

16.10.411

R11

A firm whose accounting reference date falls between 1 April 2005 and 30 June 2005 (inclusive) need not comply with SUP 16.10.4 R until its accounting reference date in 2006.11

1 April 2005-30 June 200511

1 April 200511

14D11

16.11.311

R11

The report under SUP 16.11.3R (1) for the quarter 1 April to 30 June 2005, together with the report for the quarter 1 July to 30 September 2005 must be submitted within 20 business days after the end of the 1 July-30 September 2005 quarter.11

1 April 2005-30 June 200511

1 April 200511

15

SUP 17

R

Transaction Reporting

From commencement

Commencement

(1)

A firm: to whom SUP 17 applies under SUP 17.1.1 (1)(c); and

(2)

which was authorised under the Financial Services Act 1986 immediately before commencement otherwise than through membership of the SFA;

must comply with SUP 17 as if it were:

(1)

aninvestment management firm, if it was a member of IMRO immediately before commencement, or

(2)

a personal investment firm, otherwise.

15A

Rules in SUP 20

R

Expired16

15B

Transitional ruleSUP 1615A

G

Expired16

16

Paragraphs 1 to 15

R

Definitions

From commencement

Commencement

In these transitional provisions:

(1)

“pre-commencement provision” means a provision repealed or revoked by or under the Act or a rule or guidance of the firm's previous regulator, including (where the context permits) any relevant provision which it replaced before commencement; and

(2)

“substantially similar” means substantially similar in purpose and effect.

1710

SUP 20.4.4 R (4)10

R10

The periodic fee modification set out in SUP 20.4.4 R (4) does not apply to the A.2, A.18 and A.19 activity groups until 1 April 2005.10

From 31 October 2004 to 31 March 200510

1 April 200210

SUP

G

GEN contains some technical transitional provisions that apply throughout the Handbook and which are designed to ensure a smooth transition at commencement . These include transitional provisions relevant to record keeping and notification rules.

From commencement of the relevant provision in SUP

Various dates

Note 2 = Sections A, B, C, D, E of the RMAR should be reported for the 3 months to the reporting end date.11

Note 3 = This should only cover sections A, B, C, D, E of the RMAR11

1.

The purpose of the transitional provisions in the following table is to carry forward existing written concessions relating to pre-commencement provisions - for example, formal waivers or modifications given by IMRO, PIA or SFA (“an SRO”) and the recognised professional bodies, written concessions from the standards in the FSA's Guide to Banking Supervisory Policy, and formal written consents and determinations made by an SRO under an SRO rule.

2.

An existing written concession is only carried forward if the pre-commencement provision to which it relates is substantially similar to a rule in the Handbook. The substantially similar test should be applied to the specific element of the rule to which the written concession relates. An existing written concession from a pre-commencement provision which is substantially similar to written guidance in the Handbook is carried forward in the same way as pre-commencement individual guidance; see transitional provision 6A (Individual guidance) in the schedule of Transitional provisions applying to the Supervision manual only.

3.

An existing written concession is carried forward on a temporary basis only - for 12 months from commencement or, in the case of modifications relating to the Interim Prudential sourcebooks or SUP 16.6 (Compliance reports) or SUP 16.7 (Financial reports), until the relevant provisions cease to apply. A firm wishing to retain the benefit of a concession after that time will need to apply in good time for a waiver (see SUP 8 (Waiver and modification of rules)).

4.

An existing written concession is carried forward as an amendment to the rule to which it relates. Any such amendment has effect for all purposes (including FSA enforcement action and actions for damages under section 150 of the Act).

5.

An existing written concession is not carried forward if, and to the extent that, doing so would be inconsistent with a community obligation of the United Kingdom, in particular with the proper implementation of a directive.

6.

These transitional provisions do not apply to rules which are continued by designation of pre-commencement provisions rather than made as new rules. Written concessions of such rules are carried forward, to similar effect, as waivers (given under section 148 of the Act) by article 8 of The Financial Services and Markets Act 2000 (Transitional Provision and Savings) (Rules) Order 2001 (SI 2001/1534). The relevant rules are in IPRU(INV), those identified as designated rules in the schedule to IPRU(INV) entitled “Powers exercised”.19

[deleted]19

7.

Definitions for these transitional provisions, additional to those in the Glossary, are provided at paragraph 4 of the table.

1

Rules in: IPRU,SUP 16.6 and SUP 16.716

R

(1)

A rule listed in column (2) (includingevidential provisions, transitional rules and relevant defined expressions) is disapplied, or is modified in its application, to a firm:

from commencement until revoked.

Commencement

(a)

in order to produce the same effect, including any conditions, as a written concession had on a pre-commencement provision listed in paragraph 2; and

(b)

for the same period as the written concession would have lasted, if shorter than the period in column (5);

if

(c)

the rule is substantially similar to the pre-commencement provision in relation to the matter with which the written concession is concerned;

(d)

the written concession was current as respects the firm immediately before commencement;

(e)

there is no specific transitional rule relating to the written concession; and

(f)

the written concession has not been superseded by a waiver from the FSA.

(2)

Paragraph (1) does not have effect if, and to the extent that, it would be inconsistent with any community obligation of theUnited Kingdom.

2

Rules in: IPRU,SUP 16.6 and SUP 16.716

R

The pre-commencement provisions referred to in paragraph 1(1) are those contained in any of the following (including relevant defined expressions):

from commencement until revoked.

firm

(1)

the legislative provisions of the FSA as designated agency under the Financial Services Act 1986;

(2)

the rules of IMRO, PIA, SFA and the recognised professional body;

(3)

the Insurance Companies Act 1982 and relevant secondary legislation;

(4)

the Friendly Societies Act 1992, and relevant secondary legislation;

(5)

the Banking Act 1987, relevant secondary legislation and the FSA's Guide to Banking Supervisory Policy;

(6)

the Building Societies Act 1986, relevant secondary legislation and the Building Societies Commission's Prudential Notes, Guidance Notes and DCE (Dear Chief Executive) letters.

3

Rules in: IPRU,SUP 16.6 and SUP 16.716

R

Notification of relevance etc of concession

A firm which has the benefit of a written concession to which paragraph 1 applies must notify the FSA immediately if it becomes aware of any matter which is material to the relevance or appropriateness of the written concession.

from commencement until revoked.

Commencement

4

Rules in: IPRU,SUP 16.6 and SUP 16.716

R

Definitions

from commencement until revoked.

Commencement

In these transitional provisions:

(1)

“substantially similar” means substantially similar in purpose and effect; and

(2)

“written concession” means a waiver, exemption, concession, modification, consent, approval, determination or similar exercise of discretion which:

(a)

disapplied, or tended to reduce the burden of complying with, a pre-commencement provision (with or without conditions); and

(b)

was evidenced in writing.1287654321