Upper Tribunal Tax and Chancery Chamber

UT/2023/37 - [2024] UKUT 00229 (TCC)

Fecha: 05-Ago-2024

The law

The law

Threshold Conditions

12.

Section 19 FSMA provides that a person must either be authorised by the Authority or exempt from authorisation in order to carry on regulated activities in the UK by way of business. Regulated activities include advising borrowers about the liquidation of a debt owed under a credit agreement or consumer hire agreement.

13.

Section 24(1) FSMA provides that it is an offence if a person:

(a)

describes himself (in whatever terms) as an authorised person;

(b)

describes himself (in whatever terms) as an exempt person in relation to the regulated activity; or (c) behaves, or otherwise holds himself out, in a manner which indicates (or which is reasonably likely to be understood as indicating) that he is–

(i)

an authorised person; or

(ii)

an exempt person in relation to the regulated activity.

14.

Schedule 6, FSMA sets out the threshold conditions that must be met in order to be authorised by the Authority. Section 55B(3) FSMA requires the Authority to:

ensure that the person concerned will satisfy, and continue to satisfy, in relation to all of the regulated activities for which the person has or will have permission, the threshold conditions.

As regards Promethean, the relevant threshold condition is that set out in paragraph 2E(c) of Schedule 6, namely that the firm “must be a fit and proper person having regard to all the circumstances” including “the need to ensure that [its] affairs are conducted in an appropriate manner, having regard in particular to the interests of consumers”.

Consumer protection