Committee publication · Correspondence · 14 July 2026

Correspondence from FCA on Annual Report and Accounts, dated 9 July 2026

From: Treasury Committee

Inquiry: Work of the Financial Conduct Authority

Summary

The FCA Chief Executive writes to the Treasury Committee Chair sharing the FCA's Annual Report and Accounts for 2025/26, highlighting progress against four strategic priorities: consumer protection (£200m insurance compensation, new Buy Now Pay Later rules), financial crime (17 convictions, illegal finfluencer crackdown), growth support (50 pro-growth measures, Scale-Up Unit launch), and regulatory efficiency (90% data return decommissioning, £16m annual savings). The FCA estimates £5.6bn in annual benefits to the economy—£7.2 return per £1 spent.

Key findings

  • FCA delivered £200 million in insurance compensation and introduced new Buy Now Pay Later rules to protect consumers
  • Secured 17 criminal convictions and led an international crackdown on illegal finfluencer promotions as part of financial crime strategy
  • Implemented nearly 50 pro-growth measures, including establishing a joint Scale-Up Unit with PRA and providing early approval certainty to 380+ firms
  • Reduced regulatory burden by decommissioning data returns for over 90% of firms, saving approximately £16 million annually
  • Quantifies annual economic benefit at £5.6 billion, representing £7.2 return for every £1 spent running the regulator

Tone

Supportive

Topics

financial-regulationconsumer-protectionfinancial-crimeeconomic-growth

Key actors

Nikhil Rathi, Dame Meg Hillier, FCA, PRA

Notable line

£5.6 billion in benefits to consumers, firms and the wider economy — equivalent to £7.2 for every £1 spent running the FCA.

Key Quotes

The report sets out the progress we've made across our four strategic priorities: helping consumers, fighting financial crime, supporting growth and becoming a smarter regulator.
Nikhil Rathi · summarising the FCA's strategic framework for 2025/26
We also continued to reduce unnecessary regulatory burden, helping us to be a smarter regulator, including through decommissioning data returns for over 90% of firms and saving approximately £16 million annually.
Nikhil Rathi · describing efficiency gains and cost reductions
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Source · parliament.uk record ↗

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