Who makes decisions on behalf of the FCA?

The correct choice, which highlights the role of the Regulatory Decisions Committee (RDC), points to an essential aspect of the governance structure within the Financial Conduct Authority (FCA). The RDC is designated to make decisions regarding regulatory actions and enforcement, particularly concerning individual firms and individuals. This includes the authority to issue fines, impose sanctions, and take enforcement actions, ensuring that decisions are made independently and with due process.

The RDC's function is critical because it embodies a level of separation within the FCA to uphold fairness and transparency in regulatory outcomes. This separation helps to eliminate potential biases that could arise if decisions were made solely by the executive leadership, thereby reinforcing the integrity of the regulatory process.

In contrast, other entities mentioned do not hold decision-making power on behalf of the FCA. For instance, the FCA chairman is primarily responsible for the strategic direction and oversight of the FCA, rather than day-to-day regulatory decisions. The Financial Ombudsman Service operates independently to resolve disputes between consumers and financial services firms, focusing on complaints rather than regulatory enforcement. The Treasury, while involved in financial regulation through high-level policy-making and oversight, does not engage directly in the FCA's regulatory decision processes. Understanding this distinction is crucial for comprehending the landscape of financial regulation in the UK