Financial Services Act 2012
Act
ParliamentParliament of the United Kingdom
Year2012
Citation2012 c. 21
Territorial extent[a]
Royal assent19 December 2012
Commencement[b]
StatusAmended
Original texthttp://www.legislation.gov.uk/ukpga/2012/21/contents/enacted
Revised texthttp://www.legislation.gov.uk/ukpga/2012/21/contents
Use new uk-legyes

The Financial Services Act 2012 (c. 21) is an act of the Parliament of the United Kingdom which implements a new regulatory framework for the financial system and financial services in the UK. It replaces the Financial Services Authority with two new regulators, namely the Financial Conduct Authority and the Prudential Regulation Authority, and creates the Financial Policy Committee of the Bank of England. This framework went into effect on 1 April 2013.[1]

Its main effect is to amend the Financial Services and Markets Act 2000.

Provisions

Under the act, the administration of Libor became a regulated activity overseen by the Financial Conduct Authority.[2] The act made consumer protection a core objective of the FCA.[3] The act made the FCA responsible for regulating insider trading.[4]

Knowingly or deliberately making false or misleading statements in relation to benchmark-setting became a criminal offence.[5] Laws relating to charitable industrial and provident societies were revised.

Reception

Donald Cruickshank criticised the legislation for, in his view, not dealing with the lack of competition in the sector.[6]

See also

Notes

  1. ^ Section 121.
  2. ^ Section 122.

References

  1. ^ Roberts, Jeffery & Tran, Edward (24 March 2013). "Financial Services Act 2012: A New UK Financial Regulatory Framework". Harvard Law School Forum on Corporate Governance and Financial Regulation. Archived from the original on 3 June 2013. Retrieved 9 February 2014./
  2. ^ "Financial Services Bill receives Royal Assent". GOV.UK. Retrieved 2021-07-31.
  3. ^ O’Mahony, Lorna Fox; Twigg-Flesner, Christian; Akinbami, Folarin (2015-06-01). "Conceptualizing the Consumer of Financial Services: a New Approach?". Journal of Consumer Policy. 38 (2): 111–117. doi:10.1007/s10603-015-9293-5. ISSN 1573-0700
  4. ^ Pham, Rebecca & Ausloos, Marcel (2022). "Insider trading in the run-up to merger announcements. Before and after the UK's Financial Services Act 2012". International Journal of Finance & Economics. 27 (3): 3373–3385. arXiv:2012.11594. doi:10.1002/ijfe.2325. ISSN 1099-1158
  5. ^ "House of Commons General Committee : Draft Uncertificated Securities (Amendment) Regulations 2013 Draft Financial Services Act 2012 (Consequential Amendments) Order 2013 draft financial services act 2012 (misleading statements and Impressions) Order 2013Draft Financial Services And Markets Act 2000 (Regulated Activities) (Amendment) Order 2013 (26 February 2013)". publications.parliament.uk. Retrieved 2021-07-31.
  6. ^ Stewart, Heather (2012-10-24). "Sir Donald Cruickshank attacks financial services bill". The Guardian. Retrieved 2026-01-29.