Share

FCA consults on removing barriers to social investment

FCA consults on removing barriers to social investment
News

FCA consults on removing barriers to social investment

Finance | David Ainsworth | 15 Dec 2015

The Financial Conduct Authority, the consumer finance regulator, has opened a consultation into regulatory barriers to social investment.

The FCA call for input includes a proposal which could allow ordinary consumers to “self-certify” themselves as social investors, meaning that normal strict rules about marketing financial products would not apply to communications from charities and social enterprises.

Social investment organisations have questioned current regulations governing communications between social sector bodies and ordinary consumers who might want to lend money into the sector.

They say the rules currently make it harder for charities to ask supporters to make an investment – with a possibility they might get their money back – than to make a donation.

The FCA sent out its call for input after receiving feedback on its regulation of crowdfunding from organisations working in the social investment sector.

It said in a statement: “Practical ideas we have heard to date include creating a consistent minimum standard for social offers and enabling a new self-certified class of social investors to make a declaration about their social motivations and risk threshold which enables them to access such offers (perhaps subject to a maximum investment threshold).

The call for input will close on 14 March next year.

 

Comments

[Cancel] | Reply to:

Close »

Community Standards

The civilsociety.co.uk community and comments board is intended as a platform for informed and civilised debate.

We hope to encourage a broad range of views, however, there are standards that we expect commentators to uphold. We reserve the right to delete or amend any comments that do not adhere to these standards.

We welcome:

  • Robust but respectful debate
  • Strongly held opinions
  • Intelligent relevant discussion
  • The sharing of relevant experiences
  • New participants

We will not publish:

  • Rude, threatening, offensive, obscene or abusive language, or links to such material
  • Links to commercial organisations or spam postings. The comments board is not an advertising platform
  • The posting of contact details for yourself or others
  • Comments intended for malicious purpose or mindless abuse
  • Comments purporting to be from another person or organisation under false pretences
  • Gratuitous criticism, commentary or self-promotion
  • Any material which breaches copyright or privacy laws, or could be considered libellous
  • The use of the comments board for the pursuit or extension of personal disputes

Be aware:

  • Views expressed on the comments board are left at users’ discretion and are in no way views held or supported by Civil Society Media
  • Comments left by others may not be accurate, do not rely on them as fact
  • You may be misunderstood - sarcasm and humour can easily be taken out of context, try to be clear

Please:

  • Enjoy the opportunity to express your opinion and respect the right of others to express theirs
  • Confine your remarks to issues rather than personalities

Together we can keep our community a polite, respectful and intelligent platform for discussion.

FRSB finds that both the RSPCA and Battersea Dogs and Cats Home breached code in work with FIL

28 Jul 2016

The Fundraising Standards Board has found that the RSPCA and Battersea Dogs and Cats Home breached a number...

Deadline for completion of proposed PFRA and IoF merger delayed

27 Jul 2016

The Public Fundraising Association has delayed the deadline for the completion of its proposed merger...

Last of the Fundraising Initiatives Group agencies files for liquidation

27 Jul 2016

Premier Contact, the last of the Fundraising Initiatives Group agencies that was still operating, has...

Charitable funds used to buy night vision equipment for convicted terrorist

28 Jul 2016

The Charity Commission has removed a convicted terrorist as a trustee and transferred money he raised...

Terrence Higgins Trust loses tribunal case against former chief executive

28 Jul 2016

Sexual health charity, the Terrence Higgins Trust has lost a tribunal against its former chief executive,...

RNIB announces acting chief executive appointment to replace Lesley-Anne Alexander

27 Jul 2016

The Royal National Institute of Blind People has appointed Sally Harvey as acting chief executive officer...

Blockchain technology could ‘revolutionise’ charity regulation, says report

21 Jul 2016

Blockchain technology could eventually be used to carry out many of the functions of a traditional regulator,...

Macmillan, Cancer Research UK and Brooke use Pokemon Go to encourage fundraising

14 Jul 2016

Macmillan Cancer Support, Cancer Research UK and Brooke are among the charities to encourage fundraising...

Stop looking for a 'big bang' moment for digital transformation

4 Jul 2016

Charities should stop looking for a “big bang” moment in digital transformation and instead focus...

Join the discussion

 Twitter button

@CSFinance