The Financial Conduct Authority is reviewing its panel of external companies used to scrutinise regulated firms in a tender process valued at up to £120 million.
This morning (20 July 2016), the UK regulator announced it was inviting companies to bid to join its Skilled Persons review panels across 12 areas such as financial crime, regulatory reporting and management of client assets.
In the tender document released today, firms have been told that the total value of the contract is between £60 million and £120 million.
These external experts can be used by the FCA and/or the Bank of England and the Prudential Regulation Authority in two ways.
They can be commissioned to research and write a report on a regulated firm where the regulator has concerns about aspects of the business. Alternatively, these companies can be used to collect and update information on businesses.
The last Skilled Person Panel went live from 1 April 2013 and the next panel will be effective from April 2017.
Panels are divided between:
a) Client Assets,
b) Governance and accountability,
c) Controls and risk management,
d) Conduct of business,
e) Financial crime,
f) Deposit takers and clearing houses,
g) Insurance,
h) Credit, market, pension and liquidity risk,
i) Operational risk,
j) Technology,
k) Threat intelligence and
l) Penetration testing.
A spokeswoman for the FCA declined to comment on the tender process.