Remuneration Reporting

The requirement for certain firms to submit a High Earners report (in relation to employees that earn a total of €1m or more in a financial year) has been contained within SUP 16.17 since 1 November 2012.

As a result of new final guidelines being issued by the European Banking Authority – which requires more detailed information – the FCA has published the revised rules in PS14/14 “CRD IV: data collection on remuneration practices”.

In addition to Banks and Building Societies the rules capture all IFPRU firms (including limited licence and limited activity IFPRU firms). Exempt CAD and BIPRU firms will also be captured, but only if they are part of a UK lead regulated group that contains an entity to which the reporting obligation applies – see SUP 16.7.4(12) for details.

SUP 16.17 also contains the rules relating to Remuneration Benchmarking and which is applicable to firms with total assets of £50 billion or more; the FCA advise that there are no firms regulated by them that fall within the scope of this requirement.

The revised rules, including the enhanced High Earners Report, can be found in Appendix 1 of PS14/14. The new rules came into force on 7 November 2014, which was also the date of publication of PS14/14.