Following the exchange of letters between the FCA Practitioner Panel and the FCA (see Daily News on 27 August 2014), the FCA has published on its website data on the use of attestations in 2014 broken down by quarter, sector and conduct classification of firm.

In total, 59 attestations were obtained from senior managers of firms in 2014.

The data shows a marked increase in the use of attestations in the second half of 2014, being 43 in the second half compared with 16 in the first half of 2014.

Also, 21 attestations were obtained from senior managers in the wholesale and investment management sector, which was more than in any other sector.

The FCA explains the four principal situations for requesting attestations as:

• Notification: For emerging risks at firms that are unlikely to result in material harm to consumers or a negative impact on market integrity the FCA may ask an appropriate individual at a firm to attest that they will notify the FCA if the risk changes in its nature, magnitude or extent;
• Undertaking: Where the FCA wants a firm to take specific action within a particular timescale, but the risk is unlikely to result in material harm to consumers or a negative impact on market integrity, the FCA may ask for an attestation undertaking that the action will be taken;
• Self-certification: For more significant issues, but where the FCA is confident that the firm can resolve the issue itself, the FCA may ask for an attestation that the risks have been mitigated or resolved; and
• Verification: Where the FCA wants a firm to resolve issues or mitigate risks and verification of completion, the FCA may ask for an attestation confirming that the action and verification (for example by internal audit) has been completed.

In future, the FCA will publish data on the use of attestations every quarter.

This FCA webpage is available. http://bit.ly/1veGKl9