The FCA to regulate the pre-paid funeral plans sector from 29 July 2022

It was announced early last year that the Financial Conduct Authority (FCA) will start regulating the pre-paid funeral plan sector from 29 July 2022.

As this deadline fast approaches, it is important that you submit the required application if you intend to continue offering pre-paid funeral plans after this date. The regulation will extend to providers that enter into and administer funeral plan contracts, and intermediaries who sell funeral plans to customers on behalf of providers e.g. funeral directors.

There are two routes available to those impacted by the changes – direct authorisation or becoming an appointed representative of a principal firm.

To meet the requirements of the FCA, you will need to provide evidence of the following in your application:

• Evidence that you meet the FCA’s Threshold Conditions
• Details of financial resources required and your calculation
• A detailed regulatory business plan
• Client onboarding policies, procedures and notifications
• Details of how you will comply with the new requirements

If you are already regulated by the FCA, you may need to submit a variation of permission application.

For more information on the application process, please refer to the FCA website here.

To discuss your own circumstances or if you need support submitting an application form with the correct financial evidence, please get in touch with our EQ Healthcare team via healthcare@eqaccountants.co.uk or by calling one of our offices.