Citation, commencement and interpretation

1.-(1) These Regulations may be cited as the Financial Services and Markets Act 2000 (Exercise of Powers under Part 4A) (Consultation with Home State Regulators) Regulations 2013 and comes into force on 1st April 2013.

(2) In these Regulations-

"the Act" means the Financial Services and Markets Act 2000;

"the Regulated Activities Order" means the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001(2).

Connected persons: consultation with home state regulators

2.-(1) The circumstances specified in paragraphs (2) and (3) are prescribed for the purposes of section 55R(2) of the Act (consultation of home state regulator in considering an exercise of powers under Part 4A of the Act).

(2) The circumstance specified in this paragraph is that the regulator concerned is considering giving Part 4A permission of the kind described by section 55R(2)(a) of the Act and the permission does not relate only to a relevant activity.

(3) The circumstance specified in this paragraph is that the regulator concerned is considering varying a Part 4A permission given to a person of the kind described in section 55R(2)(a) of the Act and-

(a)the effect of the variation is to grant permission for the purposes of a single market directive other than the one for the purposes of which the existing permission was granted, and

(b)the permission does not relate only to a relevant activity.

(4) In this regulation-

"insurance mediation activity" means any of the following activities-

"relevant activity" means-

EXPLANATORY NOTE

(This note is not part of the Regulations)

Section 55R(2) of the Financial Services and Markets Act 2000 (c.8) ("the Act") requires the Financial Conduct Authority or the Prudential Regulation Authority ("appropriate regulator"), when it is giving permission under Part 4A of the Act in response to an application made by a person who is connected with certain EEA firms to consult with the home state regulator of the EEA firm in prescribed circumstances. The appropriate regulator must also consult the home state regulator when cancelling or varying such a permission, in prescribed circumstances.

These regulations prescribe two circumstances in which consultation with the home state regulator must take place. First, the appropriate regulator must consult the home state regulator when giving permission unless the permission relates only to a "relevant activity" (as defined by regulation 2(4)). Second, the appropriate regulator must consult the home state regulator when varying permission unless the permission relates only to a "relevant activity" or where the effect of the variation is to give permission for the purposes of a single market directive other than the one for the purposes of which the existing permission was granted.

A full impact assessment of the effect that these Regulations will have on the costs of business and the voluntary sector is available from Her Majesty's Treasury, 1 Horse Guards Road, London SW1A 2HQ or on www.hm-treasury.gov.uk and is published alongside the Regulations on www.legislation.gov.uk.