The UK Financial Conduct Authority (FCA) has published a consultation paper CP25/18 (CP) on tackling non-financial misconduct (NFM) in financial services, building on its 2023 consultation on diversity and inclusion in the financial sector. The CP is accompanied by a press release and updated webpage. The CP includes a final policy statement in Chapter 2, confirming the extension of existing NFM rules for banks to non-bank financial services firms. These final rules, which come into effect on 1 September 2026, amend the Code of Conduct and the Fit and Proper Test for Employees and Senior Personnel sourcebooks. The changes aim to align expectations across the sector regarding serious misconduct such as bullying, harassment and violence, and clarify when such behaviour constitutes a breach of FCA rules. In addition to finalising these rules, the FCA is consulting on proposed new FCA Handbook guidance to support consistent application of the NFM framework across firms. The deadline for comments is 10 September.
[View source.]
