Regulation 6 Transfer of Directive Functions

After Article 12, insert—

“CHAPTER IIIA

Transfer of functions

Article 12A

Directive functions transferred to the Treasury

1.

The Treasury may make regulations by statutory instrument to further specify the principles laid down in rules made by the Financial Conduct Authority under the Financial Services and Markets Act 2000, equivalent to those in Article 25(1) of Directive 2016/97/EU^f1.

2.

Regulations made for the purpose set out in paragraph 1 must take into account:

(a)

the activities performed;

(b)

the nature of the insurance products sold; and

(c)

the nature of the insurance distributor^f2.

3.

Regulations made for the purposes set out in paragraph 1 shall not apply to insurance products referred to in rule 1.4.3(1) of the Product Intervention and Product Governance sourcebook.

4.

A statutory instrument which contains regulations under paragraph 1 is subject to annulment in pursuance of a resolution of either House of Parliament.

Article 12B

Directive functions transferred to the Financial Conduct Authority

The Financial Conduct Authority may make technical standards regarding a standardised presentation format of the insurance product information document to further specify the information referred to in rule 2.1 in Annex 3 to chapter 6 of the Insurance: Conduct of Business sourcebook.”^f3.