FCA Enforcement Trends – 2 Takeaways

At the end of July the FCA published it’s annual report and latest operating metrics which includes details on enforcement trends.

Two quick take-aways:

1. Financial Penalties Have Reduced

Total value and size of fines has dropped from those reported in period 2021/22. The value is down from £313m in 2021/222 to £199m in 2022/23 with numbers increased from 11 to 24. The penalties were dominated by the £107.7m for Santander UK, announced in December 2022, for repeated anti-money laundering failures.

2. Investigations Are Taking Longer

The average time to complete investigations is now 41 months. Increasing from 34 months in 2021/22 and just 25 months in 2020/21. Regulatory and criminal investigations rates have slowed considerably.