Chapter 3: Accountability of regulators FCA and PRA panels and policy statements Section 46: Composition of panels
This section inserts new sections after section 1M of FSMA 2000 (FCA’s general duty to consult), after section 2L of FSMA 2000 (PRA’s general duty to consult), and after section 103(5) of FSBRA 2013 (regulator’s general duty to consult) to require the FCA, the PRA, and the PSR, when appointing persons to their statutory panels, to ensure all members are external to the FCA, the PRA, the PSR, the Bank of England, and HM Treasury.
	Subsection (2) inserts section 1MA into FSMA 2000 (composition of panels) which sets out that a person who receives remuneration from the FCA, the PRA, the PSR, the Bank of England, or HM Treasury is disqualified from being appointed as a member of a panel established under any of sections 1N to 1QA or 138IA of FSMA for the FCA. Section 1MA(2), as inserted by subsection (2) of this section, sets out that section 1MA(1) does not apply in respect of a panel if regulations made by HM Treasury provide for it not to apply to that panel. Section 1MA(3), as inserted by subsection (2) of this section, sets out that regulations made by HM Treasury using the power in sections 1MA(2) may include provision in respect of a panel generally, or in relation to descriptions of persons or cases, but that such regulations may not be exercised so as to specify these persons by name.
	Subsections (3) to (6) of section 46 make sections 1N (FCA Practitioner Panel), 1O (Smaller Business Practitioner Panel), 1P (Markets Practitioner Panel), and 1Q (Consumer Panel) of FSMA 2000 subject to section 1MA of FSMA 2000 as inserted by this section.
	Subsection (7) of this section inserts section 2LA (PRA’s general duty to consult) into FSMA 2000 which replicates, with appropriate amendments, the wording of section 1MA of FSMA 2000 for the PRA.
	Subsection (8) of this section makes section 2M (the PRA Practitioner Panel) of FSMA 2000 subject to section 2LA of FSMA 2000. Subsection (9) of this section inserts sections (5A) to (5C) into section 103 of FSBRA 2013 which replicate, with appropriate amendments, the wording of section 1MA of FSMA for the PSR.
	Section 47: Panel reports
	Subsections (1) and (2) permit HM Treasury, by regulations, to require specified statutory panels to produce annual reports to HM Treasury and to make provision about the contents of those reports.
	Subsections (3) and (4) require HM Treasury to lay a copy of each report before Parliament, and require the statutory panel to publish the report in such manner as it thinks fit.
	Subsection (5) defines statutory panels for the purposes of this section.
	Subsection (6) provides that regulations made under this section are subject to the negative procedure.