In a speech at the APCC Spring Conference 2026, Financial Conduct Authority executive director of Authorisations Sheree Howard reaffirmed that the authorisation process will remain deliberately demanding and positioned third-party compliance consultants as an important part of helping firms submit stronger applications and secure faster decisions. She linked rigorous market entry controls to outcomes including falling Financial Services Compensation Scheme compensation costs and a forecast reduction in the levy for 2026/27. Howard said effective consultants set clear boundaries so firms, not advisers, can explain their business model and operations in their own words, and she warned the FCA will intervene where advisers appear to be the dominant voice or coach applicants during interviews. She also called on consultants to hold clients to high standards, including advising firms to withdraw where they are not ready. The speech promoted early engagement tools and resources, including the pre-application support service (PASS) for Targeted Support, the Appointed Representatives regime as a route to build compliance capability, authorisations-focused webinars and on-demand sessions, innovation services including the Regulatory Sandbox (with a dedicated authorisation case officer for every firm), and the FCA’s "Minded to Approve" approach to earlier in-principle decisions. Looking ahead, Howard flagged Buy Now Pay Later becoming regulated on 15 July and the opening of the FCA’s new crypto regime gateway in September, with pre-application support for crypto due to open in July. From October 2027, crypto firms will need to be authorised to operate in the UK.
Financial Conduct Authority 2026-04-22
Financial Conduct Authority sets expectations for third-party consultants in authorisations and highlights BNPL and crypto timelines
The FCA’s executive director of Authorisations, Sheree Howard, reaffirmed that the authorisation process will remain deliberately demanding and highlighted third-party compliance consultants’ role in improving application quality and speed, while warning the authority will intervene where advisers dominate or coach applicants. She promoted early engagement tools such as the pre-application support service, the Appointed Representatives regime, innovation services including the Regulatory Sandbox, and the “Minded to Approve” approach. Howard also flagged forthcoming Buy Now Pay Later regulation from 15 July and the new crypto regime gateway opening in September, with UK authorisation required for crypto firms from October 2027.