Financial Services Duty of Care Bill (HL Bill 41)
A
BILL
TO
Require the Financial Conduct Authority to make rules for authorised persons
to owe a duty of care to consumers in their regulated activities.
Be it enacted by the Queen’s most Excellent Majesty, by and with the advice and
consent of the Lords Spiritual and Temporal, and Commons, in this present
Parliament assembled, and by the authority of the same, as follows:—
1 Duty of the FCA to make rules introducing a duty of care
(1) The Financial Services and Markets Act 2000 is amended as follows.
(2) After section 137C, insert the following new section—
“137CA FCA general rules: duty of care
(1)
5The power of the FCA to make general rules includes the power to
introduce a duty of care owed by authorised persons to consumers in
carrying out regulated activities under this Act.
(2)
“Duty of care” means an obligation to exercise reasonable care and skill
when providing a product or service.
(3)
10“Consumer” has the meaning given in section 2(3) of the Consumer
Rights Act 2015.”
(3)
The FCA must make rules in accordance with section 137CA (FCA general
rules: duty of care) of the Financial Services and Markets Act 2000 which come
into force no later than six months after the day on which this Act comes into
15force.
2 Extent, commencement and short title
(1) This Act extends to England and Wales, Scotland and Northern Ireland.
(2) This Act comes into force on the day on which it is passed.
(3) This Act may be cited as the Financial Services Duty of Care Act 2019.