PIMFA, the trade association representing wealth managers and financial advisers across the UK, today publishes new guidance to help member firms navigate the FCA’s updated Handbook rules on non-financial misconduct.
The guide has been developed in partnership with the Chartered Insurance Institute (CII), the Chartered Institute for Securities & Investment (CISI) and law firm Clyde & Co.
Ahead of the new rules coming into force from 1st September 2026, the FCA has formally set out its expectations of both firms and regulated individuals in relation to non-financial misconduct which covers a wide range of behaviour, including harassment, bullying, discrimination, victimisation and the abuse of alcohol or drugs in the workplace.
The regulator considers that the unhealthy cultures such behaviour creates can facilitate wider wrongdoing, harming both markets and consumers.
PIMFA has developed the guidance, alongside its partners, to support members in understanding and applying the new rules, which have not been designed as a prescriptive checklist.
The new guidance is designed to address the need from firms to exercise judgement on how best to act in particular circumstances, for example for those operating in difficult grey areas such as the boundary between work and private life, or the relevance of social media activity.
The guide explores the legal and regulatory landscape, including how the FCA’s rules interact with obligations under the Equality Act 2010, and sets out the circumstances in which non-financial misconduct may amount to a breach of the Conduct Rules or affect an individual’s fitness and propriety.
The guidance also looks in detail at the role of workplace culture, setting out the drivers of good and bad culture and the practical steps firms can take to foster an environment where people feel able to speak up.
To help firms apply the rules in practice, the guide includes a series of worked scenarios covering situations from social media posts and after-work events through to allegations involving senior staff, alongside a checklist of actions for firms to consider.
“In order to create a healthy organisational culture, it takes a values-driven commitment from senior leadership to build trust, create psychological safety and foster an environment in which people can perform and thrive. That is not always easy, and balancing the demands of running a business with taking your people with you is a daily consideration for leaders.
“This guidance gives firms practical support in meeting the FCA’s expectations and, more importantly, in building the kind of workplace cultures our industry should be known for. Promoting the highest standards of conduct, standards with teeth, will help firms develop and sustain healthy, inclusive cultures in a sector that carries significant financial and personal responsibilities.”
Liz Field CEO at PIMFA
“Poor workplace behaviours harm people and damage businesses. High standards build high performance and business success. That’s why the CII is proud to support this guidance.”
Matthew Hill, Chief Executive of the CII
“Trust in financial services depends not only on technical competence, but also on the standards of behaviour people experience every day. The FCA’s rules on non-financial misconduct are an important step in reinforcing that message: poor conduct, bullying or harassment have no place in a profession built on integrity and public confidence.
“This guidance is designed to help firms apply the FCA’s expectations in practice and exercise professional judgement when difficult issues arise. That matters for consumers, for confidence and trust in UK financial services, and for showing the next generation that this is a sector where high standards matter.”
Tracy Vegro, OBE, CEO at CISI
“Ultimately, firms need to be confident not only in identifying and addressing misconduct, but also in fostering cultures where such behaviours are less likely to arise. Our contribution to this resource reflects that focus and supports firms in meeting those expectations.”
Chris Holme, Clyde & Co LLP
