As the Russian invasion of Ukraine begins its fourth week, and financial sanctions imposed on Russian businesses and oligarchs intensify, the FCA has warned of the effects of such events on UK financial markets and organisations.
Firms have been advised to be cognisant of global events and government actions, and of the effect these may have on a firm’s business operations, assets and activities. Moreover, in the event of material changes to assets, firms are reminded of their obligations to publicly disclose any knowledge which would be deemed as inside information under the UK Market Abuse Regulation (MAR).
Cyber security
The FCA has further prompted UK firms to consider the threats to operations and cybersecurity, and if necessary, seek actions to bolster resilience and preparedness to any unforeseen disruption that may result from the volatile state of affairs. This includes clear suggestions for businesses to hold a review of business continuity plans and assess their capability to meet regulatory obligations in the event of disruptions.
The FCA has likewise stressed the significance of the timely reporting of cyber incidents or outages to ensure any harm to consumers and the market are minimised.
This recommendation follows a notice by the National Cyber Security Centre (NCSC) on the heightened risks of Cyber security threats to UK organisations. While the NCSC has yet to disclose any material cyber security threats to UK firms, the NCSC has encouraged firms to review the guidance found on the NCSC’s website which will assist firms in fortifying their cybersecurity protocols and reducing the risk of falling victim to cybercrime.
Please follow the link to be directed to the above mentioned NCSC guidance Actions to take when the cyber threat is heightened – NCSC.GOV.UK.
