New regulatory powers Designated activities regime Replacement of revoked Retained EU law
Section 1 of the Act revokes the retained EU law relating to financial services listed in Schedule 1. When that retained EU law is revoked, which will take place over several years, where appropriate the activities previously regulated in retained EU law can be designated by HM Treasury under the new designated activities regime in new Part 5A of FSMA, inserted by section 8 of this Act. HM Treasury will be able to provide, by way of regulations, for an activity to be a designated activity under this new regime. These "designated activity regulations" will be made under new section 71K of FSMA 2000. Under new section 71N(2) of FSMA 2000 the designated activity regulations will also be able to provide for the FCA to make rules in relation to designated activities or in relation to specified matters relating to designated activities.