This Practice Note explains the Principles for Businesses (PRIN) set down by the financial conduct authority (FCA). The Principles form part of the FCA’s High Level Standards set out in the fca handbook. The Principles are a general statement of the fundamental obligations of firms and the other persons to whom they apply under the regulatory system.

The  Prudential Regulation authority (PRA) has equivalent high level standards which are found in the Fundamental rules contained in its Rulebook. Substantial differences between PRIN and the PRA's Fundamental Rules mean that dual-regulated firms will need to keep those differences in mind when considering how they comply with their conduct and prudential requirements. In particular, the PRA's Fundamental Rules include a requirement for firms to prepare for resolution so, if the need arises, they can be resolved in an orderly manner with a minimum disruption of critical services. For more information on the PRA's Fundamental Rules, see Practice Note: Prudential Regulation Authority—Fundamental Rules.

PRIN 1.1.7 G states that breach of the Principles may lead to enforcement action,