Financial Services and Markets Act 2000, section 1D

The integrity objective

PART 1A The Regulators

(1)The integrity objective is: protecting and enhancing the integrity of the dfnUK financial system.

(2) The “integrity” of the dfnUK financial system includes—

(a)its soundness, stability and resilience,

(b)its not being used for a purpose connected with financial crime,

(c)its not being affected by [F16 contraventions by persons of Article 14 (prohibition of insider dealing and of unlawful disclosure of inside information) or Article 15 (prohibition of market manipulation) of the market abuse regulationF16] ,

(d)the orderly operation of the financial markets, and

(e)the transparency of the price formation process in those markets.

Read section 1D in the full Act → Definitions (2) Cases (8)

Definitions used in section 1D

integrity

(3) In this Schedule, References to “integrity” of the dfnUK financial system are to be read in accordance section 1D(2).

Defined in Sch.6 para.1A(3) · see it in the full Act
market abuse regulation

“market abuse regulation” means Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC , 2003/125/EC and 2004/72/EC , as it forms part of assimilated law ;

Defined in s.417(1) · see it in the full Act

Cases considering section 1D (8)

James Edward Staley v The Financial Conduct Authority

[2025] UKUT 203 (TCC) · 26 June 2025

The integrity objective supported a prohibition order because the chief executive’s serious integrity failures could adversely affect confidence in the financial system (see paras [504]-[511]).

In the matter of Thomas Seiler & Ors.

[2023] UKUT 133 (TCC) · 12 June 2023Defines

Defines the integrity objective as protecting and enhancing the integrity of the UK financial system, including preventing its use for purposes connected with financial crime. (see para [31])

The Financial Conduct Authority v Carillion Plc

[2020] EWHC 2146 (Ch) · 7 August 2020Limits

Confirms that the FCA’s proceedings arise within statutory strategic and integrity objectives, but holds that those wider objectives do not prevent the individual sanction process from being subject to the insolvency stay.

What each judgment says about section 1D is in the case-law panel in the full Act.

Amendments and notes

1 notes from legislation.gov.uk

Amendments

  1. F16Words in s. 1D(2)(c) substituted (3.7.2016) by The Financial Services and Markets Act 2000 (Market Abuse) Regulations 2016 (S.I. 2016/680), regs. 1, 10(2)