On 22 January 2026, the FCA hosted an in-person event in London, Gateway to Growth. The session supported the FCA’s broader commitment to supporting the competitiveness and continued development of the UK financial sector, a core pillar of its five-year strategy. ACA attended by invitation, offering direct insight into the FCA’s current thinking on authorisation of new firms and growth.
The FCA is reframing its application process as part of the UK’s growth agenda. Process improvements point to a more open and efficient approach for firms entering or scaling in the market, with clearer expectations around how buy-side firms engage with the regulator.
The panel brought together senior voices from across the regulatory and policy landscape, including Nikhil Rathi, Chief Executive of the FCA, Sheree Howard, Executive Director of Authorisations and Joint Interim Chief Operating Officer (COO), Laura Dawes and Dominic Cashman, both Directors of Authorisations, and Rahul Ahluwalia, Chief Executive Officer of the Office for Investment Financial Services. Their shared message was clear that authorisation remains rigorous, but it does not need to be slow, opaque, or adversarial.
For firms considering UK authorisation or reassessing how they engage with the regulator, the discussion offered timely insight into how the FCA is modernising its approach, while maintaining high standards of market integrity.
Consumer Protection and Growth Are Being Pursued in Parallel
A recurring theme throughout the event was the FCA’s focus on balancing the continued development and competitiveness of the UK financial services sector with consumer protection. The regulator recently launched a major multichannel campaign, “Check if it’s real, before you seal the deal,” designed to raise consumer awareness and promote the new Firm Checker tool.
The ambition is for the FCA to be the first port of call for consumers to verify whether a firm is genuine and authorised, reinforcing visibility and trust in the regulatory perimeter and reducing exposure to harm.
While the campaign is consumer-facing (and memorable — keep an eye out for “Emil the Seal”), it also signals heightened expectations for financial services firms launching in the UK to operate transparently and credibly from day one.
Authorisation Timelines Are Shortening
One of the most notable updates is the processing time. The FCA outlined significant progress in reducing delays, driven by increased resourcing and the targeted use of technology and AI.
In Q2 2025, 50% of authorisation decisions were made within four months. Between April and December 2025, 273 applications were received and progressed to a “minded to approve” decision, indicating that the FCA was satisfied with the information and representations made during the application process and, subject to the firm satisfactorily addressing any remaining issues, the FCA was inclined to grant authorisation. During that quarter, 99.5% of applications met the prevailing statutory timelines.
Current approval times are now in line with, and in some cases ahead of, statutory targets: six months for complete applications and twelve months for incomplete ones. Looking ahead, the FCA expects these deadlines to tighten further to four months and ten months, respectively.
For applicants, the implication is clear: delays are increasingly less about regulator capacity and more about application quality and firm readiness.
The Regulator Wants to Be Engaged With, Not Feared
Addressing persistent myths around authorisation, Joint Interim COO Sheree Howard likened the regulator’s role to airport security, a necessary control that has evolved to move people through efficiently without compromising risk management.
She challenged the perception that the FCA is unapproachable or inherently slow, reinforcing that applications from both UK and overseas firms are welcome. However, openness should not be mistaken for leniency. The FCA is committed to robust scrutiny, paired with earlier and more constructive engagement.
For many prospective applicants, particularly those yet to interact directly with the regulator, this perception can create an unnecessary sense of apprehension, something the FCA is increasingly working to dispel through earlier, more human-centred engagement.
Technology will increasingly support this effort, particularly in handling queries and reviewing documentation, but the FCA was clear that human judgement will remain central to decision-making. AI is intended to improve efficiency, not replace accountability.
Pre-Application Engagement Is Being Actively Encouraged
The FCA also highlighted its Pre-Application Support Service (PASS), which allows prospective applicants to engage with the regulator before submitting a formal application.
Through PASS, both UK and overseas firms can request meetings to discuss how their business model fits within the regulatory framework. This support extends to new authorisations and transactions that trigger a change in control, helping firms make informed decisions before committing significant time and resources to intensive projects.
Early dialogue, when used well, can reduce misalignment and prevent avoidable delays later in the process.
Provisional Licences Aim to Lower Barriers to Entry
Looking ahead, the introduction of provisional licences represents another step towards a more flexible authorisation regime. While both HM Treasury and the FCA have signalled a clear intention to introduce this regime, its implementation is dependent on primary legislation and available parliamentary time, meaning formal timelines have not yet been confirmed.
The two bodies are currently determining the eligibility criteria and scope for this new regime, but have confirmed that it will not be available for firms seeking dual regulation by the FCA and Prudential Regulation Authority (PRA). These time-limited permissions should allow firms to operate in a controlled environment under close regulatory oversight while progressing towards full authorisation. For growth-oriented firms, this could offer a more practical route into the UK market without compromising regulatory standards.
The FCA Is Tackling Structural Barriers Beyond Authorisation
Beyond application mechanics, the FCA acknowledged broader challenges faced by new market entrants, including difficulties opening bank accounts. The regulator is working collaboratively with other agencies to address these friction points and support firms relocating or establishing operations in the UK, including through visa and relocation pathways.
In our discussions with FCA directors, we also raised the role of third-party advisors in the authorisation process. The FCA recognises the value of using experts, while cautioning against over-reliance. Ultimately, firms must retain ownership of their applications and demonstrate a genuine understanding of their business and the regulatory environment in which it operates.
Encouragingly, the FCA is also promoting more direct communication between itself and applicants, including early-stage phone calls, to reduce unnecessary back-and-forth post-submission with the aim of accelerating progress.
What Firms Should Do Now to Improve Authorisation Outcomes
Firms preparing for FCA authorisation should take proactive steps to align with the regulator’s evolving expectations:
- Engage early through pre-application discussions to test assumptions and clarify scope
- Invest time in producing complete, well-evidenced applications that demonstrate operational readiness
- Ensure senior management can clearly articulate the firm’s business model, risks, and controls
- Use advisors strategically, while retaining internal accountability for regulatory decisions
- Prepare for ongoing supervision, not just the point of authorisation
With faster timelines now the norm, firms that come prepared with clear documentation, strong governance evidence, and early engagement are far better positioned to move smoothly through the process.
Authorisation Is Becoming More Navigable, But No Less Exacting
The Gateway to Growth event reinforced that the FCA is serious about supporting a thriving UK financial sector. Processes are improving, engagement is increasing, and timelines are shortening.
For firms willing to meet the regulator halfway, with clarity, realism, and operational substance, authorisation is increasingly a gateway rather than a hurdle.
To explore these themes in more depth, watch our webcast series, The FCA Launch, Build, and Scale Journey, which examines how firms can build investor confidence while navigating FCA authorisation.
How ACA Can Support Your FCA Journey
Achieving FCA authorisation and sustaining a strong compliance framework thereafter remains complex and resource-intensive. The right support can make the difference between momentum and delay.
Our teams provide end-to-end FCA authorisation support alongside ongoing advisory services, helping firms secure their licence and operate confidently within the regulatory perimeter.
For firms seeking a fully integrated solution, our Mirabella Managed Solutions delivers comprehensive, white-glove services across the full lifecycle, from regulatory applications through to implementation, oversight, and execution of a robust compliance programme.
Through Mirabella Managed Solutions, firms benefit from:
- Deep FCA expertise from former regulators and experienced compliance professionals
- Embedded operational support across governance, regulatory filings, monitoring, and SM&CR
- Technology-enabled oversight to enhance visibility and audit readiness
- End-to-end compliance execution, including Anti-Money Laundering (AML)/Know Your Customer (KYC), prudential requirements, transaction reporting oversight, and tailored training
Whether launching a new UK entity or scaling an existing FCA-authorised firm, we help firms operate confidently under their own licence, while freeing internal teams to focus on growth. Connect with us to discover how we can help you navigate these emerging requirements.