FCA bashing is something of a sport in the trade press, and we’ve certainly levelled criticism at the regulator ourselves, so it was pleasing this week to have a good reason to portray the FCA as the hero rather than the villain.

As we reported this week, the FCA has taken the unusual step of reinstating the authorisation of cancelled IFA firm.

I don't recall this ever happening.

The firm, the Pentagon Partnership, based in Kent, had its Part 4A permissions (the ones that allow firms to carry out regulated business) revoked two months ago.

You can read more about the story here - FCA restores authorisation for cancelled firm - but the key factors were the unusual nature of the reinstatement and the fact FCA staff were praised for their handling of the matter by the man whose firm was cancelled.

Many firms get cancelled each month, often for non-payment of fees or failing to submit regulatory returns or just for having gone into liquidation. It’s a routine matter for the FCA and very few, if any, firms get reinstated but Kent-based Pentagon Partnership did.

I spoke to the owner, Paul Jefcoate, this week about the decision to reinstate his firm and to my surprise he was full of praise for the "kind and decent" way FCA staff had treated him before agreeing to reinstate his firm and annul the original cancellation.

The background is that prior to the cancellation he had suffered some extenuating personal circumstances which led to him getting a bit behind with the paperwork. Invoices weren’t paid and necessary forms returned to the FCA on time, as he admitted, but he wasn’t trying to dodge his responsibilities, just failing to keep up with the often substantial requirements of keeping a regulated firm in business.

As he told me, he explained all this to the FCA and they listened. They took on board what he said and to his pleasure and relief have cancelled the removal of his firm's regulatory permissions and allowed him to carry on.

We know the FCA takes a very tough line with regulation and firms and individuals are fined and banned on a regular basis. Last year the FCA levied fines totalling £176m. This is a key part of financial regulation but it is good to see that, where warranted, the FCA can change its mind. 

It is also heartening to hear that there are clearly some decent people at the FCA who take on board the fact that many advisers, particularly those running small firms, are really doing their best to serve clients and keep the FCA happy. They are not villains, just often decent folk trying to run a business and do a good job.

The story is also a reminder that, when it wants to, the FCA can show a welcome human face and, most importantly, is listening.

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Kevin O’Donnell is editor of Financial Planning Today and a journalist with 40 years of experience in finance, business and mainstream news. This topical comment on the Financial Planning news appears most weeks, usually on Fridays but occasionally other days.  Email: This email address is being protected from spambots. You need JavaScript enabled to view it. Follow @FPT_Kevin >Top Tip: Follow Financial Planning Today on Twitter / X @_FPToday for breaking news and key updates