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United Kingdom
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Financial Conduct Authority definition

What does Financial Conduct Authority mean? The Financial conduct authority (fca) is the UK’s statutory conduct regulator for financial services and markets. In legal practice it is central to FCA authorisation and permissions, compliance with the FCA Handbook (including the Principles for Businesses, SM&CR and the consumer Duty), market conduct obligations and enforcement risk. Established by amendments to the Financial Services and Markets Act 2000 (FSMA) made by the Financial Services Act 2012, the FCA replaced the Financial Services Authority in April 2013. It makes rules, supervises firms, and investigates and enforces breaches. The FCA is the conduct regulator for all authorised firms...

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UK Financial Conduct Authority: functions, objectives, legislative powers, governance, funding, and co-ordination with PRA, Bank of England, FOS and FSCS

Practice notes
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Why are the fca's functions relevant?

The financial conduct authority (FCA) sits within the regulatory framework that commenced on 1 April 2013. The Financial Services Act 2012 (FSA 2012) amended the Financial Services and Markets Act 2000 (FSMA 2000) and created the FCA—together with the Prudential Regulation authority (PRA) and the Financial Policy Committee (FPC)—and set out their objectives, functions and powers. The FCA has a broad mandate to:

  • regulate conduct in retail and wholesale markets
  • supervise the trading infrastructure behind those markets, and
  • oversee prudential regulation of firms not prudentially regulated by the PRA

What are the FCA's functions?

The FCA has a single strategic objective: to ensure the relevant markets for financial services function well. This is supported by three operational objectives centred on consumer protection, the integrity of the UK financial system, and competition and international competitiveness and growth. For more on the FCA’s objectives and powers, and its corporate governance, structure and constitution, including changes introduced by the Financial Services and Markets Act 2023 (FSMA 2023), see Practice Notes: Financial Conduct Authority—objectives and powers and FCA—corporate governance, structure and constitution...

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Web page updated on 22/05/2026

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