As we approach the end of a year of dramatic change, attention turns to the future. To look at the coming year and what it may hold in store for IT services. Particular attention will be in relation to IT compliance. The need for systems and organisations to operate on the right side of the regulations in an era of data protection and cyber-threats will be more acute than ever.
“The use of outsourcing to the cloud and other third party IT services can have a positive impact on competition in financial services”
This quote, taken from the current FCA guidelines on cloud-based data storage, highlights the idea that, not only are cloud-services approved, but they can bring significant benefits.
In response to 2015 piece on Office 365 compliance in regulated industries, we've prepared this article to update you on the FCA's latest guidance (approval) of Cloud services and what you also need consider post Brexit.
In this article we cover what the FCA recently announced and more importanlty highlight the considerations your business needs to make when evaluating Cloud services. Cloud computing can deliver significant cost, flexibility and performance benefits which will help you tackle the uncertainty ahead.
If you’re a company who operate under the compliance regulations of the Financial Conduct Authority (FCA) then you need to be aware of your responsibilities when it comes to storing data. Ensuring that all reasonable measures have been implemented in relation to the safety, security and integrity of data is a critical component of your corporate diligence and duty. The FCA making this point abundantly clear on their data compliance fact sheet, available via their website.
Failure to abide by the FCA’s rules on data protection opens up the possibility of being subject to the full range of the Authority’s enforcement powers - the latest details of which can be found here.
The most recent Financial Conduct Authority (FCA) guidelines, published in November 2015 highlights specific criteria that needs to be met by financially regulated companies who are migrating their IT systems to the cloud, in whole or in part.The authority make clear they allow for the use of cloud-based services, including public services such as Office 365, saying:
While the Financial Conduct Authority (FCA) have given their approval for companies to outsource their IT and data storage to third party cloud providers, the consent comes with a number of guidelines, issued to ensure that such providers remain compliant.
Firms working within regulated industries, such as solicitor practices and financial services, are subject to strict regulatory standards. These standards extend across all aspects of business, including technology. Regulatory bodies, such as the Solicitors Regulation Authority and the Financial Conduct Authority, impose strict requirements around the management, processing and security of client data. Despite common misconceptions, these requirements do not preclude the use of Cloud based technologies.
In response to Brexit, we've published some update guidance for regulated business, that suppliments this article. Please see the link at the bottom of this article for more information.