Financial Conduct Authority
Authorisation & Compliance

Expert support for FCA authorisation and ongoing regulatory compliance — from regulatory scope assessment and business plan preparation through to Connect portal submission, compliance framework development, and post-authorisation obligations.

Speak to an FCA Regulatory Adviser

The Financial Conduct Authority (FCA) regulates financial services firms and markets in the United Kingdom. Carrying out regulated activities in the UK without FCA authorisation is a criminal offence under the Financial Services and Markets Act 2000 (FSMA). FCA authorisation is activity-specific and separate from company incorporation at Companies House — firms must typically be incorporated before applying for authorisation.

What is the FCA?

The Financial Conduct Authority (FCA) is the conduct regulator for financial services firms and financial markets in the United Kingdom. It operates under the Financial Services and Markets Act 2000 (FSMA) and has three primary statutory objectives: protecting consumers, enhancing market integrity, and promoting competition. The FCA authorises and supervises firms conducting regulated activities, sets conduct standards, and has enforcement powers including the ability to impose financial penalties, withdraw authorisation, and pursue criminal prosecution in serious cases.

Important: The FCA does not incorporate companies (that is the role of Companies House), does not approve foreign investment, and does not issue general business licences. FCA authorisation is granted to firms conducting specific regulated activities as defined in FSMA and the Regulated Activities Order (RAO). Firms must obtain the appropriate permissions before commencing regulated activity in the United Kingdom.

FCA Authorisation Categories

The type of FCA authorisation required depends on the regulated activities your firm intends to carry out. The FCA specifies the permissions, prudential requirements, and conduct obligations applicable to each category. Subject to prevailing FCA requirements, key authorisation types include:

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Appointed Representative (AR) A route to conducting regulated activities without direct FCA authorisation by operating under the regulatory oversight of an FCA-authorised Principal firm. The Principal assumes regulatory responsibility for the AR's regulated activities.
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Payment Institution (PI) For firms providing payment services, including money remittance, payment initiation, and account information services. Subject to the Payment Services Regulations 2017, safeguarding obligations, and prevailing FCA prudential requirements.
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Electronic Money Institution (EMI) For firms issuing electronic money and operating digital wallets or stored value products. Subject to the Electronic Money Regulations 2011, strict safeguarding controls, and prevailing FCA prudential capital requirements.
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Investment Firm For wealth managers, brokers, financial advisers, and asset managers conducting MiFID-equivalent investment activities. Subject to the UK Investment Firms Prudential Regime (IFPR), Senior Managers & Certification Regime (SMCR), and conduct of business obligations.

FCA Authorisation Process

We support firms through the FCA authorisation process, from initial regulatory scoping through to submission and post-authorisation compliance. The FCA assesses applications against the Threshold Conditions and reviews all aspects of governance, financial resources, and controls.

Regulatory Scope Assessment Identifying which regulated activities your firm intends to carry out, determining the applicable authorisation category (direct authorisation, AR, or registration), and confirming the regulatory permissions required.

Business Plan & Governance Preparation Preparing a Regulatory Business Plan covering your business model, target market, financial projections, governance arrangements, and senior management structure, including Senior Managers & Certification Regime (SMCR) mapping.

Compliance Framework & Application Submission Developing compliance policies, AML/KYC procedures, safeguarding arrangements, and risk frameworks, then submitting the completed application through the FCA's Connect portal with all required supporting documentation.

FCA Review & Authorisation Decision Supporting the firm through the FCA's assessment period, responding to case officer information requests, and addressing any concerns raised. Timelines vary by firm type and application complexity and are determined by the FCA.

Scope of Our FCA Consulting Services

FCA readiness assessments and regulatory gap analysis
Regulatory Business Plan preparation and review
AML/KYC policy drafting and compliance framework development
Governance structure design and SMCR mapping

FCA Connect portal application support and management
Safeguarding arrangements and prudential resources guidance
Ongoing compliance monitoring and regulatory reporting
Variation of Permission (VoP) applications and post-authorisation support

Who Requires FCA Authorisation?

Any firm wishing to carry out regulated activities in the UK — as defined under FSMA 2000 and the Regulated Activities Order — must obtain FCA authorisation or registration. Common examples include:

FinTechs, Payment & E-Money Firms

Firms offering digital payment services, e-money products, digital wallets, payment initiation, or account information services under the Payment Services Regulations or Electronic Money Regulations.

Investment & Wealth Management Firms

Wealth managers, investment advisers, stockbrokers, asset managers, and firms carrying out MiFID-equivalent investment activities in the UK market.

Consumer Credit & Lending Firms

Firms acting as credit brokers, consumer lenders, debt administrators, debt collectors, or providers of regulated credit agreements, hire purchase, or buy now pay later products.

Key Benefits of FCA Authorisation

Regulatory Credibility & Market Access FCA authorisation demonstrates to clients, counterparties, and institutional partners that your firm meets the UK's rigorous standards for consumer protection, market integrity, and governance.
Consumer Confidence Authorised firms are listed on the FCA Financial Services Register. Eligible customers may benefit from Financial Services Compensation Scheme (FSCS) protection and access to the Financial Ombudsman Service (FOS).
Compliance Framework & Governance The authorisation process drives firms to establish robust compliance frameworks, AML policies, governance structures, and risk management processes that support sustainable, responsible growth.
Banking & Safeguarding Readiness FCA authorisation is typically required by UK banks before opening safeguarding accounts for payment institutions and e-money firms, and for accessing payment scheme membership and banking partnerships.

Key Outcomes & Deliverables

FCA Authorisation Application Support End-to-end support for your FCA Connect portal application, including regulatory scope assessment, Regulatory Business Plan, governance documentation, SMCR mapping, and management of information requests from FCA case officers.

Compliance Framework & Governance Documentation A comprehensive suite of compliance policies, AML/KYC procedures, safeguarding arrangements, risk management frameworks, and regulatory reporting processes, designed to support your firm's ongoing FCA obligations post-authorisation.

Frequently Asked Questions

Yes. Any firm carrying out regulated activities in the UK, or marketing regulated financial services to UK clients, must be FCA authorised, FCA registered (for certain activities), or operate as an Appointed Representative under an FCA-authorised Principal. Carrying out regulated activities without authorisation is a criminal offence under FSMA 2000. The FCA Financial Services Register should be checked to confirm whether a firm or individual is authorised.

FCA authorisation timelines vary significantly depending on the type of authorisation, the complexity of the application, and the quality and completeness of the information submitted. The FCA does not guarantee fixed timelines, and processing periods are subject to the FCA's case management approach and any information requests raised during review. Applicants should allow sufficient time and ensure their applications are thorough and well-prepared before submission.

Prudential capital requirements vary by authorisation type and are set by the FCA in accordance with prevailing UK financial services legislation and FCA rules. Requirements differ between payment institutions, e-money institutions, investment firms, and consumer credit firms. Firms should refer to the FCA Handbook and the relevant prudential sourcebook applicable to their activity for current requirements, as these may be updated by the FCA.

The FCA requires a meticulous Regulatory Business Plan, extensive anti-money laundering (AML) controls, safeguarding proofs, and rigorous vetting histories for all Senior Managers.

No, you must first incorporate your UK company (usually an LTD) at Companies House because the FCA authorizes the registered corporate entity, not a theoretical business plan.

Yes, firms frequently apply for a 'Variation of Permission' (VoP) to add or remove regulated activities from their profile as their business model evolves.

Ready to Start Your FCA Authorisation Journey?

Speak to our FCA regulatory advisers for a confidential discussion about your authorisation requirements, regulatory scope, and the steps to obtaining FCA authorisation for your financial services firm.