Financial Services and Markets Act 2023

(104A) (1) This section applies where the Payment Systems Regulator issues a public consultation. (2) The Payment Systems Regulator must include information in the consultation about any engagement by the Payment Systems Regulator with the statutory panels of the Payment Systems Regulator, the FCA and the PRA in relation to the matters being consulted on. (3) The Payment Systems Regulator is not required under subsection (2) to include any information whose publication would in the opinion of the Payment Systems Regulator be against the public interest. (4) For the purposes of this section, the Payment Systems Regulator issues a public consultation if it publishes any proposals for the purpose of bringing them to the attention of the public (whether or not under a duty to do so imposed by an enactment). (5) In this section a “statutory panel”— (a) in relation to the Payment Systems Regulator, means a panel established under section 103(3), (b) in relation to the FCA, has the meaning given by section 1RA(8) of FSMA 2000, and (c) in relation to the PRA, has the meaning given by section 2NA(8) of FSMA 2000. (104B) The Payment Systems Regulator must keep under review generally any generally applicable requirements. (104C) (1) The Payment Systems Regulator must prepare and publish a statement of its policy with respect to its review of requirements under section 104B. (2) The statement must provide information about— (a) how representations (including by a relevant panel) can be made to the Regulator with respect to its review of requirements under section 104B, and (b) the arrangements to ensure that those representations are considered. (3) In this section “relevant panel” means— (a) a panel of the Payment Systems Regulator established under section 103(3), (b) a panel of the FCA mentioned in section 1RA(8) of FSMA 2000, and (c) a panel of the PRA mentioned in section 2NA(8) of FSMA 2000. (4) If a statement published under this section is altered or replaced by the Payment Systems Regulator, the Regulator must publish the altered or replaced statement. (5) A statement prepared under this section must be published by the Payment Systems Regulator in the way appearing to the Regulator to be best designed to bring it to the attention of the public. (104D) (1) The Treasury may by direction require the Payment Systems Regulator to carry out a review of any generally applicable requirement specified in the direction if— (a) the requirement has been in force for at least 12 months, (b) the Treasury consider that it is in the public interest that the requirement is reviewed, and (c) it does not appear to the Treasury that— (i) the regulator is carrying out, or proposes to carry out, a review of that requirement, or (ii) if the regulator proposes to carry out a review, the proposals are appropriate for the purposes of carrying out an effective review. (2) The Treasury must consult the Payment Systems Regulator before giving a direction under subsection (1). (3) In exercising the power under this section, the Treasury must have regard to the desirability of minimising any adverse effect that the carrying out of the review may have on the exercise by the Payment Systems Regulator of any of its other functions. (4) A direction under subsection (1) may— (a) specify the period within which a review must be carried out; (b) determine the scope and conduct of a review; (c) require the provision of interim reports during the carrying out of a review. (5) Provision made in a direction under subsection (4)(b) may include a requirement— (a) for a review to be carried out by a person appointed by the Payment Systems Regulator who is independent of the Regulator; (b) for any such appointment to be made only with the approval of the Treasury. (6) As soon as practicable after giving the direction the Treasury must— (a) lay before Parliament a copy of the direction, and (b) publish the direction in such manner as the Treasury think fit. (7) Subsection (6) does not apply where the Treasury consider that publication of the direction would be against the public interest. (8) A direction under this section may be varied or revoked by the giving of a further direction. (104E) (1) This section applies where the Treasury have given a direction to the Payment Systems Regulator under section 104D(1) to carry out a review. (2) The Payment Systems Regulator must provide a written report to the Treasury as to the opinion of the Regulator in relation to the following matters— (a) whether the requirements under review advance one or more of the payment systems objectives; (b) whether and to what extent the requirements are functioning effectively and achieving their intended purpose; (c) whether any amendments need to be made to the requirements and, if so, what those amendments should be; (d) whether any requirements should be withdrawn (with or without replacement); (e) whether any other action should be taken and, if so, what that action should be. (3) As soon as practicable after receiving the report the Treasury must— (a) lay before Parliament a copy of the report, and (b) publish the report in such manner as the Treasury think fit. (4) When complying with subsection (3) the Treasury may withhold material from the report if the Treasury consider that publication of the material would be against the public interest. (104F) (1) The Treasury may by regulations require the Payment Systems Regulator to exercise a power under this Part to impose a generally applicable requirement in relation to a specified activity or a specified description of person. (2) Regulations under this section may— (a) specify matters that the requirement must cover; (b) specify a period within which the requirement must be made. (3) But except so far as permitted by subsection (2), regulations under this section may not require the requirement to be imposed— (a) in a specified form or with specified content, or (b) to achieve or advance a specified outcome. (4) If no period is specified under subsection (2)(b) the requirement must be imposed as soon as reasonably practicable after the coming into force of the regulations. (104G) (1) Except as provided by subsection (2), the Payment Systems Regulator must consult the FCA Cost Benefit Analysis Panel, and that Panel must provide advice, about the following matters— (a) the preparation of a cost benefit analysis under section 104(3)(a) or (6); (b) the preparation of its statement of policy under section 104H. (2) The requirement to consult under subsection (1)(a) does not apply in such cases as may be set out in the statement of policy maintained under section 104H. (3) The FCA Cost Benefit Analysis Panel must— (a) keep under review how the Payment Systems Regulator is performing generally in carrying out its duties under section 104(3)(a) and (6), and (b) provide to the Payment Systems Regulator whatever recommendations the Panel thinks appropriate as a result of such review. (4) The Payment Systems Regulator must consider representations that are made to it by the FCA Cost Benefit Analysis Panel. (5) The Payment Systems Regulator must from time to time publish in such manner as it thinks fit responses to the representations. (6) In this section references to the “FCA Cost Benefit Analysis Panel” are to the panel established under section 138IA of FSMA 2000. (104H) (1) The Payment Systems Regulator must prepare and publish a statement of policy in relation to the preparation of cost benefit analyses for the purposes of section 104. (2) The statement must provide information about— (a) the methodology adopted in preparing cost benefit analyses; (b) matters to which the Payment Systems Regulator has regard in determining whether section 104(8) applies; (c) matters to which the Payment Systems Regulator has regard in determining whether section 104(10) or (11) applies in relation to the preparation of a cost benefit analysis; (d) arrangements to ensure that representations in connection with a cost benefit analysis that are made in accordance with section 104(3)(d) are considered; (e) cases in which the requirement to consult the FCA Cost Benefit Analysis Panel in relation to the preparation of a cost benefit analysis does not apply. (3) The statement may include whatever other information in relation to cost benefit analyses that the Payment Systems Regulator considers appropriate. (4) The Payment Systems Regulator may alter or replace a statement published under this section. (5) The Payment Systems Regulator must publish a statement as altered or replaced under subsection (4). (6) Publication under this section is to be made in such manner as the Payment Systems Regulator considers best designed to bring the statement to the attention of the public. (104I) (1) The Payment Systems Regulator must prepare and publish a statement of policy in relation to the appointment of members to any panel established under section 103(3). (2) The statement must provide information about— (a) the process adopted for making appointments; (b) matters considered in determining who is appointed. (3) The statement may provide whatever other information in relation to the making of appointments that the Payment Systems Regulator considers appropriate. (4) The Payment Systems Regulator may alter or replace a statement published under this section. (5) The Payment Systems Regulator must publish a statement as altered or replaced under subsection (4). (6) Before publishing a statement under this section the Payment Systems Regulator must— (a) consult the Treasury about the proposed statement, and (b) have regard to any representations the Treasury make in response to the consultation. (7) Publication under this section is to be made in such manner as the Payment Systems Regulator considers best designed to bring the statement to the attention of the public.

8

After section 107 insert—

(107A) (1) This section applies where it appears to the Payment Systems Regulator that there is a material risk that a relevant action it proposes to take would be incompatible with an international trade obligation. (2) The Payment Systems Regulator must give written notice to the Treasury of the proposed action before proceeding to take it. (3) Subsection (2) applies only if a duty to consult applies in respect of the taking of the relevant action. (4) For the purposes of subsection (1) the Payment Systems Regulator proposes to take a “relevant action” if it— (a) proposes to impose a generally applicable requirement, or (b) proposes to make changes to its general policies and practices. (5) For the purposes of subsection (3) a duty to consult applies in respect of a relevant action if— (a) the duty imposed by section 104 to publish a draft of a proposed requirement applies in respect of the action, or (b) any other duty (whether or not imposed by a provision of this Act) to publish the proposal to take the action in question applies. (6) The requirement imposed by subsection (2) must be carried out before the duty to consult in respect of the relevant action is carried out. (7) Subsection (8) applies in a case where a notice under subsection (2) is not given because of subsection (3). (8) The Payment Systems Regulator must give written notice to the Treasury of the relevant action it has taken as soon as reasonably practicable after taking it if it appears to the Regulator that there is a material risk that the action is incompatible with an international trade obligation. (9) In this section “international trade obligation” means an obligation of the United Kingdom that relates to financial services or markets under— (a) a free trade agreement, as defined by section 5(1) of the Trade Act 2021, or (b) the agreement establishing the World Trade Organisation signed at Marrakesh on 15 April 1994.

9

In section 110(1) (interpretation), at the appropriate place insert—

• “generally applicable requirement” has the meaning given by section 104(1);

.

10

In section 143 (orders and regulations: Parliamentary control), in subsection (2), after paragraph (b) insert—

(ba) regulations under section 102B (matters to consider when imposing generally applicable requirements); (bb) regulations under section 104F (power to require imposition of generally applicable requirements);

.

11

In Schedule 4 (the Payment Systems Regulator), after paragraph 7(2)(b) insert—

(ba) set out any engagement with a statutory panel established under section 103(3), (bb) set out how the Regulator has complied with the statement of policy on panel appointments prepared under section 104I in relation to the process for making appointments and the matters considered in determining who is appointed,

.

12

In Schedule 4, after paragraph 7 insert—

(7A) (1) The Treasury may (subject to this paragraph) at any time by direction require the Regulator to publish a report containing information about such matters as are specified in the direction. (2) The Treasury may give a direction under this paragraph requiring information to be published only if the Treasury consider that— (a) the information is reasonably necessary for the purpose of reviewing and scrutinising the discharge of the Regulator’s functions, and (b) other available information is not sufficient to meet that purpose. (3) Subject to sub-paragraph (4), the Regulator must publish a report prepared under a direction given under this paragraph in such manner, and within such period, as the direction may require. (4) Nothing in this paragraph requires the inclusion in the report of any information whose publication would be against the public interest. (5) A direction under this paragraph may not— (a) require a report to be published more than once in each quarter; (b) require the publication of information that is confidential information as defined by section 91(2). (6) The Treasury must consult the Regulator before giving a direction under this paragraph. (7) In exercising the power under this paragraph, the Treasury must have regard to the desirability of minimising any adverse effect that the preparation of the report required in accordance with the direction may have on the exercise by the Regulator of any of its other functions. (8) The Treasury must— (a) lay before Parliament a copy of a direction given under this paragraph, and (b) publish the direction in such manner as the Treasury think fit. (9) A direction under this paragraph may be varied or revoked by the giving of a further direction.

13

In Schedule 4, after paragraph 14 insert—

(14A) (1) This paragraph applies where the Regulator issues a relevant consultation. (2) For the purposes of this paragraph the Regulator issues a relevant consultation if it— (a) publishes proposed generally applicable requirements under section 104, (b) publishes a proposal under a duty imposed by another provision of this Act or by any other enactment, or (c) publishes other proposals about the exercise of any of its general functions. (3) The Regulator must, as soon as reasonably practicable after issuing the consultation, notify in writing the chair of each relevant Parliamentary Committee that the consultation has been issued. (4) The notification must specify the parts of the consultation (if any) that address the ways in which the proposals subject to consultation— (a) advance the Regulator’s payment systems objectives, (b) demonstrate that the Regulator has had regard to the regulatory principles in section 53 when preparing the proposals, and (c) engage with matters to which the Regulator must have regard under regulations made under section 102B. (5) The notification must also specify any other part of the consultation which the Regulator considers should be drawn to the attention of the relevant Parliamentary Committees. (6) References in this paragraph to the relevant Parliamentary Committees are references to— (a) the Treasury Committee of the House of Commons, (b) the Committee of the House of Lords which— (i) is charged with responsibility by that House for the purposes of this paragraph, and (ii) has notified the Regulator that it is a relevant Parliamentary Committee for those purposes, and (c) the Joint Committee of both Houses which— (i) is charged with responsibility by those Houses for the purposes of this paragraph, and (ii) has notified the Regulator that it is a relevant Parliamentary Committee for those purposes. (7) References in this paragraph to the Treasury Committee of the House of Commons— (a) if the name of that Committee is changed, are references to that Committee by its new name, and (b) if the functions of that Committee (or substantially corresponding functions) become functions of a different Committee of the House of Commons, are to be treated as reference to the Committee by which the functions are exercisable. (8) Any question arising under sub-paragraph (7) is to be determined by the Speaker of the House of Commons. (14B) (1) This paragraph applies where— (a) the Regulator issues a public consultation, and (b) a Committee of the House of Commons or the House of Lords, or a joint Committee of both Houses, has provided to the Regulator representations in response to the consultation. (2) For the purposes of this paragraph, the Regulator issues a public consultation if it publishes the draft of any proposals for the purpose of bringing them to the attention of the public (whether or not under a duty to do so imposed by an enactment). (3) The Regulator must give to the chair of the Committee concerned a written response to the representations. (4) The duty to respond imposed by sub-paragraph (3) applies only so far as the Regulator would not be under a corresponding duty to do so imposed by another enactment. (5) The Regulator is not required under sub-paragraph (3) to provide any information whose publication would in the opinion of the Regulator be against the public interest.

SCHEDULE 8

PART 1 — New Part 8B of FSMA 2000

1

After Part 8A of FSMA 2000 (short selling) insert—

(131M) This Part— (a) requires the Treasury to publish a statement of policy concerning cash deposit and withdrawal services, (b) enables the Treasury to designate persons involved in the provision of such services, and (c) gives the FCA functions in relation to designated persons. (131N) (1) This section defines “cash”, “cash access service”, “free cash access service” and “cash access coordination arrangements” for the purposes of this Part. (2) “Cash” means— (a) banknotes issued by the Bank of England, or an authorised bank in its capacity as an issuer of banknotes in Scotland or Northern Ireland (see Part 6 of the Banking Act 2009), or (b) coins made by the Mint, within the meaning of the Coinage Act 1971 (see section 11 of that Act). (3) A “cash access service” is— (a) a service which enables cash to be placed on a relevant current account (a “cash deposit service”), or (b) a service which enables cash to be withdrawn from a relevant current account (a “cash withdrawal service”). (4) A “free cash access service” is a cash access service that is— (a) a free of charge service which enables cash to be placed on a relevant personal current account, or (b) a free of charge service which enables cash to be withdrawn from a relevant personal current account. (5) “Cash access coordination arrangements” are arrangements— (a) which are designed to coordinate the provision of cash access services by two or more providers of such services, but (b) which do not directly provide cash access services to any person. (6) In relation to cash access coordination arrangements— (a) a reference to the “operator” of such arrangements is to any person with responsibility under the arrangements for managing or operating them; (b) a reference to the operation of such arrangements includes their management. (7) In this section, “relevant current account” has the meaning given by section 131O. (131O) (1) This section defines “current account”, “relevant current account”, “relevant personal current account” and “relevant current account provider” for the purposes of this Part. (2) “Current account” means an account by means of which one or more named persons are able to— (a) place cash, (b) withdraw cash, and (c) execute and receive payment transactions to and from third parties, including the execution of credit transfers. (3) For the purposes of subsection (2)(c), “payment transaction” means an act initiated by the payer or payee, or on behalf of the payer, of placing, transferring or withdrawing funds, irrespective of any underlying obligations between the payer and payee. (4) A “relevant personal current account” means a relevant current account held by one or more individuals for purposes outside any business, trade, craft or profession of that individual or those individuals. (5) “Relevant current account provider” means a person— (a) who has a Part 4A permission to accept deposits, and (b) who provides current accounts in reliance on that permission (“relevant current accounts”). (6) But the following are not relevant current account providers— (a) credit unions, within the meaning given by section 31(1) of the Credit Unions Act 1979 or Article 2(2) of the Credit Unions (Northern Ireland) Order 1985 (S.I. 1985/1205)(N.I.12); (b) a society that is registered within the meaning of the Friendly Societies Act 1974 (see section 111(1) of that Act) or incorporated under the Friendly Societies Act 1992. (7) The Treasury may by regulations— (a) amend a definition in this section; (b) amend any other provision of this Part in consequence of provision made under paragraph (a). (131P) (1) The Treasury must prepare a cash access policy statement. (2) A “cash access policy statement” is a statement of the policies of His Majesty’s Government concerning cash access services in the United Kingdom, or a part of the United Kingdom. (3) The reference to cash access services in subsection (2) includes free cash access services. (4) Policies may be stated in relation to, among other things— (a) cash deposit services and cash withdrawal services; (b) services provided in relation to current accounts of different descriptions; (c) services provided in predominantly urban areas and services provided in predominantly rural areas. (5) In preparing a cash access policy statement, the Treasury must— (a) consult the FCA, and (b) have regard to any report provided under section 131Q. (6) The Treasury must publish a cash access policy statement in such manner as they consider appropriate. (7) The Treasury— (a) must keep the cash access policy statement under review; (b) may prepare a revised statement (and subsections (5) and (6) apply in relation to any revised statement). (131Q) (1) The FCA must, on a request from the Treasury, prepare and send to the Treasury a report on a matter specified in the request. (2) The Treasury may only make a request under this section for a report that they reasonably require in connection with— (a) the preparation of a cash access policy statement (see section 131P), or (b) a decision whether or not to designate a person for the purposes of this Part (see section 131R). (3) A request for a report under this section— (a) must be made in writing, and (b) may require the FCA to send the report to the Treasury within such reasonable period as may be specified in the request (or such other period as may be agreed). (4) Nothing in section 348, or in regulations made under section 349, is to be taken as preventing or restricting the ability of the FCA to disclose information to the Treasury for the purposes of this section. (5) Subsection (4) does not apply in relation to information provided to the FCA by a regulatory authority outside the United Kingdom. (131R) (1) The Treasury may designate a person for the purposes of this Part if the person is— (a) a relevant current account provider, or (b) an operator of cash access coordination arrangements, and at least one of the participants in the arrangements is a relevant current account provider designated under this section. (2) A person is designated by giving the person (the “designated person”) a notice in accordance with this Part (a “designation notice”). (3) A designation notice must specify whether the person is designated in relation to— (a) the United Kingdom, (b) Great Britain only, or (c) Northern Ireland only. (4) A designation notice given to the operator of cash access coordination arrangements must specify the arrangements in as much detail as is reasonably practicable. (5) Before giving a designation notice to a person the Treasury must— (a) consult the FCA, (b) notify the person, and (c) consider any representations made. (6) A designated person must— (a) comply with rules made by the FCA under section 131V; (b) comply with directions given by the FCA to the designated person under section 131W. (131S) (1) The Treasury may designate a person for the purposes of this Part, in relation to the United Kingdom, Great Britain only, or Northern Ireland only (as the case may be), only if satisfied that doing so is likely to further the purpose mentioned in section 131U(1). (2) In considering whether to designate a relevant current account provider, the Treasury must have regard to— (a) the distribution of cash access services operated by the provider in the United Kingdom, Great Britain or Northern Ireland (as the case may be); (b) the distribution in the United Kingdom, Great Britain or Northern Ireland (as the case may be) of persons holding current accounts provided by the provider; (c) the provider’s share of the current account market in the United Kingdom, Great Britain or Northern Ireland (as the case may be); (d) the total value of the deposits held in current accounts provided by the provider in the United Kingdom, Great Britain or Northern Ireland (as the case may be). (3) If a relevant current account provider is part of a group which includes one or more other relevant current account providers, references in subsection (2) to the provider are to be read as references to— (a) the provider, and (b) each of those other relevant current account providers. (4) For the purposes of subsection (3), section 421 (meaning of “group”) applies with the omission of subsection (1)(g) of that section. (131T) (1) If a designation notice has been given to a person the Treasury may, by further notice, cancel the designation notice. (2) If a designation notice has been given to a person (including a designation notice as varied by a notice under this subsection), the Treasury may by further notice, vary the earlier notice. (3) If a further notice under subsection (2) would designate a person in relation to a part of the United Kingdom in relation to which the person was not designated by the earlier notice, sections 131R(3) and (5) and 131S apply in relation to the further notice. (131U) (1) The FCA must exercise its functions under this Part for the purpose of seeking to ensure reasonable provision of cash access services in the United Kingdom, or a part of the United Kingdom. (2) In this section references to cash access services include references to free cash access services. (3) “Reasonable provision” of cash access services is provision of such nature and extent as the FCA may determine, having regard to— (a) the cash access policy statement currently in effect (see section 131P), and (b) such other matters as it considers appropriate. (4) In making a determination for the purposes of subsection (3) the FCA must, in particular, have regard to any local deficiencies in provision of cash access services— (a) which the FCA is aware of, and (b) the impacts of which the FCA considers to be significant. (5) A local deficiency in provision of cash access services is a circumstance which limits the ability of persons in any locality in a part of the United Kingdom to— (a) withdraw cash from a relevant current account, or (b) place cash on a relevant current account. (6) In determining whether there are local deficiencies in the provision of cash access services, and the significance of the impacts of such deficiencies, the FCA must have regard to— (a) the cash access policy statement currently in effect, and (b) such other matters as it considers appropriate. (7) Those other matters may include (but are not limited to)— (a) the number of persons likely to be affected by the deficiency; (b) the characteristics of the persons likely to be affected by the deficiency; (c) the likely impact on the persons likely to be affected. (131V) (1) The FCA may make such rules applying to designated persons as appear to the FCA to be necessary or expedient for the purpose mentioned in section 131U(1). (2) Rules under this section must not require a designated person to do (or refrain from doing) any thing in relation to a part of the United Kingdom in relation to which the person is not designated. (3) Section 137T (general supplementary powers for rules made by a regulator) applies in relation to rules made by the FCA under this section as if, in paragraph (a), the reference to descriptions of authorised persons, activity or investment were to descriptions of designated persons and activities carried on by such persons. (4) Section 138A (modification or waiver of rules) applies in relation to rules made by the FCA under this section as if subsection (4)(b) were omitted. (5) Section 138I (consultation by FCA before making rules) applies to rules under this section as if, in subsection (2)(d), the reference to the FCA’s duties under section 1B(1) and (5)(a) were to the purpose for which the FCA must exercise its functions under this Part. (131W) (1) The FCA may give a direction under this section to a designated person if it considers that it is desirable to give the direction for the purpose mentioned in section 131U(1). (2) A direction under this section must not require a designated person to do (or refrain from doing) any thing in relation to a part of the United Kingdom in relation to which the person is not designated. (3) A direction under this section may require the person to— (a) take specified action; (b) refrain from taking specified action; (c) review, or take remedial action in respect of, past conduct. (4) A requirement imposed by a direction under this section may be expressed to expire at the end of a specified period, but the imposition of a requirement that expires at the end of a specified period does not affect the power to give a further direction imposing a new requirement. (5) A direction under this section— (a) may be revoked by the FCA by written notice to the person to whom it is given, and (b) ceases to be in force if the person to whom it is given ceases to be a designated person. (131X) (1) If the FCA proposes to give a direction under section 131W, or gives such a direction with immediate effect, it must give written notice to the designated person to whom the direction is given (or to be given). (2) A direction under section 131W takes effect— (a) immediately, if the notice under subsection (1) states that is the case, (b) on such other date as may be specified in the notice, or (c) if no date is specified in the notice, when the matter to which the notice relates is no longer open to review. (3) A direction under section 131W may be expressed to take effect immediately (or on a specified date) only if the FCA reasonably considers that it is necessary for the direction to take effect immediately (or on that date). (4) The notice under subsection (1) must— (a) give details of the direction; (b) state the FCA’s reasons for the direction and for its determination as to when the direction takes effect; (c) inform the designated person that the person may make representations to the FCA within such period as may be specified in the notice (whether or not the person has referred the matter to the Tribunal); (d) inform the designated person of the person’s right to refer the matter to the Tribunal. (5) The FCA may extend the period allowed under the notice for making representations. (6) The FCA must give the designated person written notice if, having considered any representations made by the person, it decides— (a) to give the direction proposed; (b) if the direction has been given, not to revoke the direction. (7) The FCA must give the designated person written notice if, having considered any representations made by the person, it decides— (a) not to give the direction proposed; (b) to give a different direction; (c) to revoke a direction. (8) A notice given under subsection (6) must inform the notified person of the person’s right to refer the matter to the Tribunal. (9) A notice under subsection (7)(b) must comply with subsection (4). (10) If a notice informs the designated person of the person’s right to refer a matter to the Tribunal, it must give an indication of the procedure on such a reference. (11) For the purposes of subsection (2)(c), whether a matter is open to review is to be determined in accordance with section 391(8). (131Y) (1) For the purposes of this Part, Part 11 (information gathering and investigations) applies in accordance with this section. (2) Sections 165A to 165C, 169 and 169A do not apply. (3) Any reference to an authorised person includes a person designated for the purposes of this Part (whether or not the person is an authorised person). (4) In addition— (a) references to an authorised person in sections 165 and 176(3A)(a) include a person mentioned in subsection (5) (whether or not the person is an authorised person); (b) sections 175 to 177 apply in relation to section 165 as modified in accordance with paragraph (a). (5) The persons are— (a) a relevant current account provider who is not a designated person for the purposes of this Part; (b) an operator of cash access coordination arrangements who is not a designated person for the purposes of this Part; (c) the operator of, or an infrastructure provider in relation to, a payment system, who is not a designated person for the purposes of this Part; (d) a person (other than a person mentioned in paragraph (a), (b) or (c)) who provides cash access services and is not a designated person for the purposes of this Part; (e) a person who provides a relevant service to a person mentioned in paragraph (a), (b), (c) or (d) and is not a designated person for the purposes of this Part. (6) In subsection (5)(c), “payment system”, and “operator” and “infrastructure provider” in relation to a payment system, have the same meanings as in Part 5 of the Financial Services (Banking Reform) Act 2013 (see section 110 of that Act). (7) For the purposes of subsection (5)(e), a “relevant service” is a service provided in connection with the provision of cash access services. (8) In relation to a person who is not an authorised person but is treated as such for the purposes of this Part (by virtue of subsection (3) or (4)), any reference to “either regulator” is to the FCA only. (131Z) For the purposes of enforcing a requirement imposed by or under this Part, Part 14 (disciplinary measures) applies as if— (a) any reference to an authorised person includes a person designated for the purposes of this Part (whether or not that person is an authorised person), and (b) section 206A (suspending permission to carry on regulated activities etc) were omitted. (131Z1) Rules made under paragraph 23 of Schedule 1ZA, in connection with the carrying out of any of the FCA’s functions under this Part, must not provide for the payment of fees to the FCA by any person other than a designated person who is a relevant current account provider. (131Z2) (1) Where the FCA is discharging a function under this Part, section 1B (FCA’s general duties) applies as if— (a) in subsection (1)(b), the reference to one or more of the FCA’s operational objectives were to the purpose mentioned in section 131U(1); (b) subsections (4) and (4A) (promoting effective competition in the interests of consumers and advancing competitiveness and growth) do not apply. (2) In discharging its functions under this Part, the regulatory principles in section 3B(1) have effect as if, in paragraph (g), the reference to the FCA’s objectives included the purpose mentioned in section 131U(1). (3) Section 395 applies in relation to a decision of the FCA made in connection with a function under this Part as if, in subsection (3)(a), the reference to the FCA’s operational objectives included the purpose mentioned in section 131U(1).

PART 2 — Consequential amendments to FSMA 2000

2

FSMA 2000 is amended as follows.

3

In section 3D (duty of FCA and PRA to ensure co-ordinated exercise of functions), in subsection (4), after “operational objectives”, insert “, or the purpose for which the FCA must exercise its functions under Part 8B (see section 131U(1))”.

4

In section 55H (variation by FCA at request of authorised person), in subsection (4), after “objectives” insert “, or the purpose for which the FCA must exercise its functions under Part 8B (see section 131U(1))”.

5

In section 55L (imposition of requirements by FCA), in subsection (6), after “objectives” insert “, or the purpose for which the FCA must exercise its functions under Part 8B (see section 131U(1))”.

6

In section 55T (persons whose interests are protected), after “operational objectives,” insert “the purpose for which the FCA must exercise its functions under Part 8B,”.

7

In section 232A (ombudsman scheme operator’s duty to provide information to FCA), after “objectives,” insert “, or the purpose for which the FCA must exercise its functions under Part 8B (see section 131U(1)),”.

8

In section 395 (the FCA’s and PRA’s procedures), in subsection (13), after paragraph (bbzb) insert—

(bbzc) 131W;

9

In section 429 (Parliamentary control of statutory instruments), in subsection (2), in the list of sections beginning with “90B” insert at the appropriate place “131O(7),”.

SCHEDULE 9

PART 1 — New Part 5A of the Banking Act 2009

1

After Part 5 of the Banking Act 2009 (payment systems) insert—