House of Commons Amendments

Session 2010 - 12
Internet Publications
Other Bills before Parliament

197

House of Commons

Thursday 22 March 2012

Public Bill Committee

New Amendments handed in are marked thus

Amendments which will comply with the required notice period at their next appearance

Financial Services Bill

Note

The Amendments have been arranged in accordance with the Order of the

Committee [21 February 2012].

Mark Hoban

101

Clause  80,  page  148,  line  37,  leave out ‘312J or 345D of FSMA 2000, or’ and

insert ‘or 312J of FSMA 2000,

( )
section 345D of FSMA 2000 (whether as a result of section

345(2) or 345A(3) or section 249(1) of that Act), or’.

Mark Hoban

112

Schedule  18,  page  284,  line  7,  at end insert—

‘8A(1)
Section 249 (disqualification of auditor for breach of trust scheme rules) is

amended as follows.

      (2)
In subsection (1) for the words from “it may” to the end substitute “it may do

one or more of the following—

(a)
disqualify the auditor from being the auditor of any authorised

unit trust scheme or authorised open-ended investment

company;

(b)
publish a statement to the effect that it appears to the FCA that

the auditor has failed to comply with the duty;

(c)
impose on the auditor a penalty, payable to the FCA, of such

amount as the FCA considers appropriate.”

      (3)
For subsection (2) substitute—

Public Bill Committee: 22 March 2012
198

Financial Services Bill, continued

“(2)
Sections 345B to 345E have effect in relation to the taking of action

under subsection (1) as they have effect in relation to the taking of

action under section 345(2).”

      (4)
For the heading substitute “Disciplinary measures”’.

Mark Hoban

120

Schedule  18,  page  284,  line  43,  at end insert—

‘( )
in the heading, for “Authority’s” substitute “FCA’s”.’.

Mark Hoban

121

Schedule  18,  page  285,  line  18,  leave out ‘“section 44 or 45 of a Part IV

permission”’ and insert ‘paragraph (a)’.

Mark Hoban

122

Schedule  18,  page  285,  line  26,  leave out from ‘Part IV’ to end of line 27 and insert

‘substitute “Part 4A”’.

Mark Hoban

113

Schedule  18,  page  285,  line  41,  leave out from beginning to ‘subsection’ in line 2

on page 286 and insert ‘In section 409 (Gibraltar), in’.

Mark Hoban

114

Schedule  20,  page  311,  line  22,  leave out paragraphs 6 and 7 and insert—

‘5A
In relation to the first order under section 9K of the Bank of England Act 1998,

subsection (2) of that section (which relates to consultation) does not apply.

5B  (1)
This paragraph applies where a provision of Part 5 or 6 of this Act, or an

amendment of FSMA 2000 made by any provision of this Act, imposes on the

FCA, the PRA or the Bank of England, in connection with the making or

issuing of any rules or other instrument or document—

(a)
a public consultation requirement, or

(b)
a requirement (however expressed) to consult particular persons.

      (2)
The requirement may be satisfied—

(a)
by things done (wholly or in part) before the commencement of the

provision in question or the passing of this Act, and

(b)
by things done by the Financial Services Authority or the Bank of

England or by both of them.

      (3)
“Public consultation requirement” means a requirement (however expressed)

to publish a draft of the instrument or other document with or without other

material and to invite representations about it.

5C  (1)
The first order under section 22A of FSMA 2000 may, if it imposes on the PRA

a public consultation requirement in relation to any statement of policy

required by the order to be prepared by the PRA, provide that in relation to the

first statement of policy the requirement may be satisfied—

Public Bill Committee: 22 March 2012
199

Financial Services Bill, continued

(a)
by things done (wholly or in part) before the commencement of the

order or the passing of this Act, and

(b)
by things done by the Financial Services Authority or the Bank of

England or by both of them.

      (2)
“Public consultation requirement” has the same meaning as in paragraph 5B.’.

NEW CLAUSES

Debt management fees

Chris Leslie

Cathy Jamieson

Mark Durkan

Yvonne Fovargue

NC1

To move the following Clause:—

‘The FCA shall bring forward recommendations within a year of the

commencement of this Act to phase out the practice of directly charging

consumers fees or charges for the provision of debt management plans.’.

Depositor preference in insolvency

Chris Leslie

Cathy Jamieson

NC2

To move the following Clause:—

‘The Treasury shall bring forward regulations to ensure FSCS insured deposits

are moved above other unsecured creditors and above floating charge holders in

the creditor hierarchy in the event of insolvency or any imposition of losses in

resolution.’.

Building Society Investors Special Provisions: Members or depositors dying

Chris Leslie

Cathy Jamieson

NC3

To move the following Clause:—

‘(1)
Schedule 7 of the Building Societies Act 1986 is amended as follows:

Public Bill Committee: 22 March 2012
200

Financial Services Bill, continued

“(2)
In paragraph 1(1) for “£5,000” substitute “£15,000” and in paragraph

1(4) for “£5,000” substitute “£15,000”.’.

Mortgage rate warnings

Chris Leslie

Cathy Jamieson

Mark Durkan

NC4

To move the following Clause:—

‘The Treasury shall bring forward recommendations within six months of Royal

Assent of this Act regarding requirements for mortgage lenders to forewarn

existing customers about potential interest rate changes on the affordability of

their mortgage repayments.’.

Human rights and sustainable development reporting

Teresa Pearce

Lisa Nandy

NC5

To move the following Clause:—

‘In exercising its functions under Part 6 (Official Listing) of the Financial

Services and Markets Act 2000, the FCA must require applicants to report on the

human rights and sustainable development impacts of their activities in all

countries in which they operate.’.

Order of the House [6 FEBRUARY, as amended, 21 february]

That the following provisions shall apply to the Financial Services Bill—

Committal

1.
The Bill shall be committed to a Public Bill Committee.

Proceedings in Public Bill Committee

2.
Proceedings in the Public Bill Committee shall (so far as not previously

concluded) be brought to a conclusion on Thursday 22 March 2012.

3.
The Public Bill Committee shall have leave to sit twice on the first day on

which it meets.

Consideration and Third Reading

4.
Proceedings on Consideration shall (so far as not previously concluded) be

brought to a conclusion one hour before the moment of interruption on the

day on which those proceedings are commenced.

Public Bill Committee: 22 March 2012
201

Financial Services Bill, continued

5.
Proceedings on Third Reading shall (so far as not previously concluded) be

brought to a conclusion at the moment of interruption on that day.

6.
Standing Order No. 83B (Programming committees) shall not apply to

proceedings on Consideration and Third Reading.

Other proceedings

7.
Any other proceedings on the Bill (including any proceedings on

consideration of any further message from the Lords) may be programmed.

Order of the Committee [21 February 2012]

That—

(1)
the Committee shall (in addition to its first meeting at 10.30 am on Tuesday

21 February) meet—

(a)
at 4.00 pm on Tuesday 21 February;

(b)
at 9.30 am and 1.00 pm on Thursday 23 February;

(c)
at 10.30 am and 4.00 pm on Tuesday 28 February;

(d)
at 9.30 am and 1.00 pm on Thursday 1 March;

(e)
at 10.30 am and 4.00 pm on Tuesday 6 March;

(f)
at 9.30 am and 1.00 pm on Thursday 8 March;

(g)
at 9.30 am and 1.00 pm on Thursday 15 March;

(h)
at 4.00 pm on Tuesday 20 March;

(i)
at 9.30 am on Thursday 22 March.

(2)
the proceedings shall be taken in the following order: Clauses 1 to 3;

Schedule 1; Clause 4; Schedule 2; Clause 5; Schedule 3; Clauses 6 to 10;

Schedule 4; Clauses 11 to 13; Schedule 5; Clauses 14 to 20; Schedule 6;

Clauses 21 to 27; Schedule 7; Clauses 28 to 32; Schedule 8; Clauses 33 and

34; Schedule 9; Clause 35; Schedule 10; Clause 36; Schedule 11; Clauses 37

and 38; Schedule 12; Clause 39; Schedule 13; Clauses 40 and 41; Schedule

14; Clause 42; Schedule 15; Clause 43; Schedule 16; Clauses 44 to 90;

Schedule 17; Clauses 91 to 94; Schedules 18 and 19; Clauses 95 to 99;

Schedules 20 and 21; Clauses 100 to 103; new Clauses; new Schedules;

remaining proceedings on the Bill.

(3)
the proceedings shall (so far as not previously concluded) be brought to a

conclusion at 10.25 am on Thursday 22 March.



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