What is the focus of the FCA's 'fit and proper' test?

The focus of the FCA's 'fit and proper' test is to assess the suitability of individuals in key roles within a financial firm. This evaluation is crucial as it ensures that those in significant positions possess the necessary integrity, competence, and financial acumen to carry out their responsibilities effectively. The test looks at various factors, including past conduct, experience, qualifications, and whether an individual has the appropriate characteristics to act in the best interests of clients and the integrity of the financial system.

This process helps maintain high standards within the financial industry, safeguarding not only consumers but also the overall stability of the financial markets. By ensuring that key individuals in firms are fit to perform their duties, the FCA aims to promote trust and confidence in financial services.