Financial Services and Markets Act 2000, section 67

Disciplinary measures: procedure and right to refer to Tribunal

Part V Performance of Regulated Activities

(1)If [F564a regulatorF564] proposes to take action against a person under section 66, it must give him a warning notice [F565; and if it proposes to take action under subsection (3)(aa) [F566 , (ab) or (ac)F566] of that section, it must also give each of the other interested parties a warning notice.F565]

(2)A warning notice about a proposal to impose a penalty must state the amount of the penalty.

[F567 (2A)A warning notice about a proposal—

(a)to suspend an approval, or

(b)to impose a [F568 conditionF568] in relation to the performance of a function,

must state the period for which the suspension or [F568 conditionF568] is to have effect.F567]

[F569 (2B)A warning notice about a proposal to limit the period for which an approval is to have effect must state the length of that period.F569]

(3)A warning notice about a proposal to publish a statement must set out the terms of the statement.

(4)If [F570a regulatorF570] decides to take action against a person under section 66, it must give him a decision notice [F571; and if it decides to take action under subsection (3)(aa) [F572 , (ab) or (ac)F572] of that section, it must also give each of the other interested parties a decision notice.F571]

(5)A decision notice about the imposition of a penalty must state the amount of the penalty.

[F573 (5A)A decision notice about—

(a)the suspension of an approval, or

(b)the imposition of a [F574 conditionF574] in relation to the performance of a function,

must state the period for which the suspension or [F574 conditionF574] is to have effect.F573]

[F575 (5B)A decision notice about limiting the period for which an approval is to have effect must state the length of that period.F575]

(6)A decision notice about the publication of a statement must set out the terms of the statement.

(7)If [F576a regulatorF576] decides to take action against a person under section 66, he may refer the matter to the Tribunal[F577 ; and if [F578 the regulatorF578] decides to take action under section 66(3)(aa) [F579 , (ab) or (ac)F579] , each of the other interested parties may also refer the matter to the Tribunal.F577]

[F580 (8)Approval” means an approval given under section 59.

(9) “Other interested parties”, in relation to [F581 a person (“A”) in relation to whom approval has been given, F581] are—

(a) the person on whose application the approval was given (“B”); and

(b)the person by whom A's services are retained, if not B.

F582 ...F580]

Read section 67 in the full Act → Definitions (3) Cases (5)

Definitions used in section 67

regulator

“regulator” has the meaning given in section 3A(2);

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

(4) Neither section 2AB(3)(d) nor the definition of “functions” in paragraph 1 applies for the purposes of sub-paragraph (2).

Defined in Sch.1ZB para.31(4) · see it in the full Act

(2A) The functions referred to in sub-paragraph (1)(a) include functions of the FCA under the Competition Act 1998 or the Enterprise Act 2002 as a result of Part 16A of this Act ; but this sub-paragraph is not to be regarded as limiting the effect of the definition of “functions” in paragraph 1.

Defined in Sch.1ZA para.23(2A) · see it in the full Act

(4) Neither section 1A(6)(d) nor the definition of “functions” in paragraph 1 applies for the purposes of sub-paragraph (2).

Defined in Sch.1ZA para.23(4) · see it in the full Act
the Tribunal

“the Tribunal” means the Upper Tribunal;

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

Cases considering section 67 (5)

Willford, R (On the Application Of) v Financial Services Authority

[2013] EWCA Civ 677 · 13 June 2013

The provision governed the warning and decision notices through which the Authority exercised its disciplinary powers. The statutory process culminated in the disputed Decision Notice (see paras [1]; [57]). The right to refer the disciplinary matter to the Upper Tribunal enabled a complete fresh determination and formed an integral part of the statutory scheme. It supplied the appropriate alternative remedy and made judicial review inappropriate in the circumstances (see paras [6]; [21]; [37]–[38]; [60]).

Markos Markou v The Financial Conduct Authority

[2023] UKUT 101 (TCC) · 28 April 2023

Confirms the requirement to give a warning notice before proposing a penalty for misconduct. The statutory notices were central to identifying the allegations forming the subject matter of the reference (see paras [28]; [132]-[150]). Confirms the requirement to give a decision notice when a penalty is imposed. The Tribunal used the contents of the Warning and Decision Notices to determine the scope of the reference (see paras [28]; [146]-[150]).

C, R (on the application of) v Financial Services Authority (FSA)

[2012] EWHC 1417 (Admin) · 25 May 2012

Provides the statutory framework for issuing warning and decision notices in disciplinary proceedings. (see paras [1], [12], [18]) Confirms the right to refer an FSA decision notice to the Upper Tribunal. The reference did not provide a suitable alternative remedy for the failure to give reasons because the Tribunal could not require the RDC to provide adequate reasons. (see paras [20], [77], [100]-[103])

What each judgment says about section 67 is in the case-law panel in the full Act.

Amendments and notes

32 notes from legislation.gov.uk

Amendments

  1. F564Words in s. 67(1) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 5 para. 15(2) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
  2. F565Words in s. 67(1) inserted (8.6.2010) by Financial Services Act 2010 (c. 28), ss. 24(1), 26(2)(d)(e), Sch. 2 para. 9(2)
  3. F566Words in s. 67(1) substituted (7.3.2016) by Financial Services (Banking Reform) Act 2013 (c. 33), s. 148(5), Sch. 3 para. 6(2); S.I. 2015/490, art. 2(1)(b) (with savings and transitional provisions in S.I. 2015/492 (as amended by S.I. 2015/1660)) this amendment is subject to savings and/or transitional provisions, see the commentary.
  4. F567S. 67(2A) inserted (8.6.2010) by Financial Services Act 2010 (c. 28), ss. 24(1), 26(2)(d)(e), Sch. 2 para. 9(3)
  5. F568Word in s. 67(2A) substituted (7.3.2016) by Financial Services (Banking Reform) Act 2013 (c. 33), s. 148(5), Sch. 3 para. 6(3); S.I. 2015/490, art. 2(1)(b) (with savings and transitional provisions in S.I. 2015/492 (as amended by S.I. 2015/1660)) this amendment is subject to savings and/or transitional provisions, see the commentary.
  6. F569S. 67(2B) inserted (7.3.2016) by Financial Services (Banking Reform) Act 2013 (c. 33), s. 148(5), Sch. 3 para. 6(4); S.I. 2015/490, art. 2(1)(b) (with savings and transitional provisions in S.I. 2015/492 (as amended by S.I. 2015/1660)) this amendment is subject to savings and/or transitional provisions, see the commentary.
  7. F570Words in s. 67(4) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 5 para. 15(2) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
  8. F571Words in s. 67(4) inserted (8.6.2010) by Financial Services Act 2010 (c. 28), ss. 24(1), 26(2)(d)(e), Sch. 2 para. 9(4)
  9. F572Words in s. 67(4) substituted (7.3.2016) by Financial Services (Banking Reform) Act 2013 (c. 33), s. 148(5), Sch. 3 para. 6(5); S.I. 2015/490, art. 2(1)(b) (with savings and transitional provisions in S.I. 2015/492 (as amended by S.I. 2015/1660)) this amendment is subject to savings and/or transitional provisions, see the commentary.
  10. F573S. 67(5A) inserted (8.6.2010) by Financial Services Act 2010 (c. 28), ss. 24(1), 26(2)(d)(e), Sch. 2 para. 9(5)
  11. F574Word in s. 67(5A) substituted (7.3.2016) by Financial Services (Banking Reform) Act 2013 (c. 33), s. 148(5), Sch. 3 para. 6(6); S.I. 2015/490, art. 2(1)(b) (with savings and transitional provisions in S.I. 2015/492 (as amended by S.I. 2015/1660)) this amendment is subject to savings and/or transitional provisions, see the commentary.
  12. F575S. 67(5B) inserted (7.3.2016) by Financial Services (Banking Reform) Act 2013 (c. 33), s. 148(5), Sch. 3 para. 6(7); S.I. 2015/490, art. 2(1)(b) (with savings and transitional provisions in S.I. 2015/492 (as amended by S.I. 2015/1660)) this amendment is subject to savings and/or transitional provisions, see the commentary.
  13. F576Words in s. 67(7) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 5 para. 15(3)(a) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
  14. F577Words in s. 67(7) inserted (8.6.2010) by Financial Services Act 2010 (c. 28), ss. 24(1), 26(2)(d)(e), Sch. 2 para. 9(6)
  15. F578Words in s. 67(7) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 5 para. 15(3)(b) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
  16. F579Words in s. 67(7) substituted (7.3.2016) by Financial Services (Banking Reform) Act 2013 (c. 33), s. 148(5), Sch. 3 para. 6(8); S.I. 2015/490, art. 2(1)(b) (with savings and transitional provisions in S.I. 2015/492 (as amended by S.I. 2015/1660)) this amendment is subject to savings and/or transitional provisions, see the commentary.
  17. F580S. 67(8)(9) inserted (8.6.2010) by Financial Services Act 2010 (c. 28), ss. 24(1), 26(2)(d)(e), Sch. 2 para. 9(7)
  18. F581Words in s. 67(9) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 5 para. 15(4)(a) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
  19. F582Words in s. 67(9) omitted (1.4.2013) by virtue of Financial Services Act 2012 (c. 21), s. 122(3), Sch. 5 para. 15(4)(b) (with Sch. 20); S.I. 2013/423, art. 3, Sch.

Modifications

  1. C266Ss. 66-70 applied (with modifications) (15.1.2013) by The Payments in Euro (Credit Transfers and Direct Debits) Regulations 2012 (S.I. 2012/3122), reg. 1, Sch. para. 1 (as amended (1.4.2013) by The Financial Services Act 2012 (Consequential Amendments and Transitional Provisions) Order 2013 (S.I. 2013/472), Sch. 2 para. 248(6)(a))
  2. C268Ss. 66-70 applied (with modifications) by S.I. 2011/99, Sch. 5 para. 1 (as substituted (7.3.2016) by The Financial Services (Banking Reform) Act 2013 (Consequential Amendments) Order 2016 (S.I. 2016/163), arts. 1, 4)
  3. C269Ss. 66-70 applied (with modifications) by S.I. 2009/209, Sch. 5 para. 1 (as substituted (7.3.2016) by The Financial Services (Banking Reform) Act 2013 (Consequential Amendments) Order 2016 (S.I. 2016/163), arts. 1, 3)
  4. C270Ss. 66-70 applied (with modifications) S.I. 2012/3122, Sch. para. 1 (as amended) (7.3.2016) by The Financial Services (Banking Reform) Act 2013 (Consequential Amendments) Order 2016 (S.I. 2016/163), arts. 1, 5
  5. C271Ss. 66-70 applied (with modifications) (1.1.2019) by The Securitisation Regulations 2018 (S.I. 2018/1288), reg. 1, Sch. 1 para. 1 (with Sch. 1 paras. 13, 14)
  6. C272Ss. 66-70 applied (with modifications) (30.4.2011) by The Electronic Money Regulations 2011 (S.I. 2011/99), regs. 1(2)(b), 62, Sch. 3 para. 1 (with art. 3) (as amended (1.4.2013) by The Financial Services Act 2012 (Consequential Amendments and Transitional Provisions) Order 2013 (S.I. 2013/472), Sch. 2 para. 196(5)(a) and (29.8.2023) by Financial Services and Markets Act 2023 (c. 29), s. 86(3), Sch. 2 para. 62(a) (with s. 2(3)); S.I. 2023/779, reg. 4(zz)(iv))
  7. C273Ss. 66-70 applied (with modifications) (13.8.2017 for specified purposes, 13.1.2018 in so far as not already in force) by The Payment Services Regulations 2017 (S.I. 2017/752), reg. 1(2)(b)(i)(6), Sch. 6 para. 1 (with reg. 3) (as amended (29.8.2023) by Financial Services and Markets Act 2023 (c. 29), s. 86(3), Sch. 2 para. 72(a) (with s. 2(3)); S.I. 2023/779, reg. 4(zz)(iv))
  8. C277S. 67 excluded (1.12.2001) by S.I. 2001/3592, arts. 1(2), 61(3), 85(5) (with art. 23(2))
  9. C278Ss. 66-70 applied (with modifications) (1.11.2009) by The Payment Services Regulations 2009 (S.I. 2009/209), regs. 1(2)(c), 95, Sch. 5 para. 1 (with reg. 3) (as amended (1.4.2013) by The Financial Services Act 2012 (Consequential Amendments and Transitional Provisions) Order 2013 (S.I. 2013/472), Sch. 2 para. 155(6)(a) (with Sch. 2 para. 156))
  10. C279Ss. 66-70 applied (with modifications) (11.2.2010) by The Cross Border Payments in Euro Regulations 2010 (S.I. 2010/89), reg. 19, Sch. para. 1
  11. C280S. 67 applied (with modifications) (26.7.2013 for specified purposes, 1.4.2014 in so far as not already in force) by The Financial Services Act 2012 (Consumer Credit) Order 2013 (S.I. 2013/1882), arts. 1(1), 3(3)
  12. C281Ss. 67-70 applied (with modifications) (14.1.2025 for specified purposes, 13.7.2026 in so far as not already in force) by The Short Selling Regulations 2025 (S.I. 2025/29), regs. 2(2)(3), 24, 25, Sch. 1 Pts. 1, 2; S.I. 2026/587, reg. 2(b)
  13. C282S. 67(4) modified (1.12.2001) by S.I. 2001/3592, arts. 1(2), 73(2), 74(2) (with art. 23(2))