The FCA has published a consultation paper and asked for comments on proposals to further reduce, or remove, some of the reporting requirements UK-based firms currently have to comply with.

Firms and individuals have until 14 May 2025 to send their comments, using a response form on the FCA’s website. Any proposed changes could affect up to 16,000 firms, it says.

The regulator has said the proposals are part of its recently announced strategy, and is aimed at removing data collection requirements that it no longer needs. There has been constant pressure from the government as well as from businesses to reduce the regulatory burden on firms, including rules that require firms to submit large sums of data with the regulator.

“The changes we propose will reduce the burden on regulated firms from having to send us data that adds relatively little value to our work and data that is duplicated elsewhere,” the FCA has said.

The proposed changes could streamline data reporting by firms, make the FCA’s Handbook easier to navigate as well as reduce reporting costs currently faced by firms. The FCA had already announced the launch of a new portal last month, aimed at making reporting easier. It became active on 31 March 2025.

According to the regulator, “firms can access My FCA as a single point of sign in for regulatory reporting tasks including submitting regulatory data and paying fees.”

What’s changing?

The FCA says the proposed changes will have an impact on three different areas of reporting and notifications which are currently part of the Handbook. These include:

• FSA039 – Client money and client assets. The proposal is to stop collecting this data, which is already collected from other reports such as the Client Money and Asset Return.
• Section F of the RMAR – RMA-F. The FCA says it is reviewing the RMAR returns to simplify them, delete duplication and remove redundant material.
• Form G – Individual adviser complaints notification. The FCA says it now uses firm level data collected via other complaints reporting to understand issues at individual firms. Therefore, the information submitted in Form G is excessive.

The proposed changes could affect:

• insurance intermediaries, mortgage intermediaries and retail investment
  intermediaries;
• MIFIDPRU investment firms, securities and futures firms, investment management
  firms, collective portfolio management firms and peer-to-peer lenders;
  
• firms with retail investment advisers, as defined in the Handbook glossary.

In terms of desired outcomes, the FCA says it wants to “collect the data we require to meet our statutory objectives at the lowest possible cost to industry.”

Removing reporting requirements for data that is no longer needed, and getting rid of guidelines that are not longer relevant, will make the Handbook much easier to navigate, the FCA said.