The Financial Conduct Authority has published a letter from Nikhil Rathi, FCA Chief Executive, and Ashley Alder, FCA Chair, to Rachel Reeves, Chancellor of the Exchequer. The letter sets out how the FCA is supporting growth, the development of its strategy, the FCA's international role and approach to risk.
Regarding growth, the letter notes upcoming work in relation to PISCES, the new market for private company shares, the ongoing work to streamline the FCA rulebook, and consultations and proposals in relation to pensions and retail investments. On strategy for 2025-2030, the letter highlights the FCA's prioritization of financial crime and operational effectiveness as a regulator. Relating to the U.K.'s international leadership, the letter confirms the FCA's intention to advocate for global co-operation and openness but notes that on some issues it may choose initially to make progress with a smaller group of like-minded jurisdictions. Regarding risk, notably the FCA is seeking to understand the government's perspective on issues of compensation and where liability should fall in the context of the scale of the U.K. financial services sector.
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