FCA confirms minimum £20k capital resources rules for June 2016

Beginning 30 June 2016, the approximately 5,000 directly authorised personal investment firms (PIFs) in the market must hold the higher of £20,000 or 5% of their annual income from investment business. Firms are being given time to adjust and must hold £15,000 by 30 June 2016 and £20,000 by 30 June 2017. Some larger businesses, including those that hold client money, must hold 10% of their annual investment income. It follows a consultation with the market which ran between May and September. The previous capital resources requirement was a minimum of £10,000 or, if higher, an a...