Financial Services and Markets Act 2000

The Financial Services and Markets Act 2000 (FSMA) is a UK law that regulates financial services, such as banking, investments, and insurance. It aims to protect consumers, ensure the stability of financial markets, and promote fair practices. The Act established the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA), which oversee firms to make sure they are operating safely, honestly, and transparently. It also sets out rules for licensing financial businesses and dealing with misconduct. Overall, FSMA helps maintain a trustworthy financial system that benefits individuals and the economy.