In all the post-referendum chaos around Brexit, and with the distraction of summer vacations, people might have missed some important information from the UK regulator about firms using ‘cloud’ services. In July, the Financial Conduct Authority (FCA) finalised its guidance on use of the cloud, and it is a very helpful piece of work. There are a few items worth highlighting:
- Although it is the FCA’s guidance, I think it’s a safe bet that this is also sensible guidance for firms regulated by the UK PRA (Prudential Regulatory Authority)
- the FCA has made the effort to publish this guide to remove some unhelpful perceptions about the cloud in financial services, so yes you are allowed to use the cloud!
- the simple message is that using the cloud to access software services is a perfectly sensible business approach. It’s no different to any other outsourcing arrangement. As long you understand the risks, and set up appropriate controls, then there are great benefits to be had. So go out and get them!