The Financial Conduct Authority will speed up probes into firms to “increase the deterrent impact of its enforcement actions”.  

The City watchdog adds that it will also be more transparent when it opens and closes cases.  

It says: “As part of the new approach the Financial Conduct Authority has begun a consultation on plans to be more transparent when an enforcement investigation is opened.   

“Under the plans, the Financial Conduct Authority will publish updates on investigations as appropriate and be open about when cases have been closed with no enforcement outcome.”  

Currently, the body admits that “investigations are only announced in very limited circumstances”  

FCA joint executive director of enforcement and market oversight Therese Chambers says: “By being more transparent when we open and close cases we can enhance public confidence by showing that we are on the case.    

“At the same time, we will amplify the deterrent impact of our work by enabling firms to understand the types of serious failings that can lead to an investigation, helping them to change their own behaviour more quickly. Greater transparency will also drive greater accountability for us as an enforcement agency.”  

FCA joint executive director of enforcement and market oversight Steve Smart adds: “By delivering faster, targeted and transparent enforcement, we will reduce harm and deter others.   

“We will also make greater use of our intervention powers to stop harm in real time.

The body points out that any decision to announce a probe would be taken on a case-by-case basis and depend “on a variety of factors which will indicate whether to do so is in the public interest”.   

It adds: “These include whether the announcement will protect and enhance the integrity of the UK financial system, reassure the public the Financial Conduct Authority is taking appropriate action, or assist in any investigations.”  

The announcement of a probe does not mean that it “has decided whether there has been misconduct, or breaches of its requirements,” the watchdog says.  

It adds that investigations into individuals “will be different and the Financial Conduct Authority will not usually announce these types of investigations”.