With just two weeks to go until the deadline for brokers and
MGAs to comply with the new Senior Managers and Certification
Regime (SMCR), it is clear that firms are running out of time to
put the necessary processes in place.
The SMCR, which involves a shift towards individuals being held
personally accountable for the area of the business they manage and
an obligation on firms to police its employees, was first
introduced into the banking sector in March 2016 and is now being
extended to all FCA solo-regulated firms from 9 December.
Brokers and MGAs have so far been relatively lightly regulated;
however firms will now have an obligation to ensure its employees
comply with the FCA mandated Conduct Rules (CR) and of certifying
that employees are fit and proper (F&P) to carry out their job
function.
