FCA Guidance on non-financial misconduct in the financial services sector

18 December 2025

From 1 September 2026, the FCA Code of Conduct sourcebook (COCON) will clarify that the non-financial misconduct (NFM) rules on bullying, harassment and similar behaviour between staff apply to non-banks as well as banks.  On 12 December the FCA confirmed that it would proceed with proposed NFM guidance in its Policy Statement 25/23:  Tackling non-financial misconduct in financial services. The final form NFM guidance includes new content: 

• additional guidance (including illustrative tables) on how the non-financial misconduct elements of COCON apply to mixed businesses (i.e. where a firm also conducts non-SMCR financial activities);
• flow-charts to help firms navigate which rules/ guidance apply (and their application); and
• clarification of the extent to which firms must investigate unproven allegations about private life (and interaction with social media provisions

This briefing explores the finalised NFM guidance and suggests preparatory steps that in-scope firms should consider taking.

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