Training Seminar Todays slides can be found: - - PowerPoint PPT Presentation

Training Seminar

Todays slides can be found: www.linkedin.com/company/nara-training/

Our speakers are invited to our Training Days for their insight, reputation and experience; they are encouraged to be provocative, to question and to challenge. As such the views expressed by our speakers represent their individual opinions and as such are not necessarily the views or adopted policies of nara.

Congratulations to our successful peer interview candidates : Jason Martin, Sophia Sangchi and Hayley Simmons

Welcome & Introduction

COLIN JENNINGS – CHAIR NARA

UK Housing Market: Buy to Let

NARA Training Day November 2017

Jeffrey Matsu Senior Economist

Headline price balance consistent with a flatter trend in house price inflation

Expectations tell a similar story

Demand has softened

Average inventory of unsold stock remains near record lows

Transactions likely to remain subdued

Over 50% of respondents feel London and the South East markets are expensive

Elsewhere a high proportion of respondents see the market at fair value

Across the UK the average time to complete a sale is now 18 weeks

Expectations signal a moderation in rental growth

Rents are projected to remain flat across the capital

Further out, rents are expected to increase at a faster pace than house prices

Macro Story

Drivers for buying a residential property vs 1 year ago

Source: UBS

Over-leveraged households

Source: DCLG, ONS, Nationwide, Halifax

House Price-to-Income Ratio

Composition of the outstanding mortgage stock

Source: Bank of England

BTL Mortgage Advances

Source: UK Finance

Mortgage Advances By Buyer Type (000s)

Source: UK Finance

BTL Landscape

 Impacts of tax changes  Enhanced regulation on industry  Market dynamics

Borrowers’ and lenders’ resilience

Source: Bank of England

BoE toolkit to deal with risks from the UK mortgage market

Feedback loops

Source: Bank of England

Cheap liquidity

Source: Bank of England

ten-year real government bond yields

Mortgage spreads have fallen

Source: Bank of England

Bank Rate and Gross Rental Yields

Source: Capital Economics

Mortgages Extended at Fixed Interest Rates

Bank of England playbook

1)

Sustained above-trend growth

2)

Sustained firming in domestic cost pressures

3)

Core inflation moves toward 2% target

Policy Normalisation

 Domestic vs global forces  Growth vs inflation  Economics vs politics  Uncertainty and risk

Hindsight Perspective

Source: Financial Times (03 Jan 2016)

Will monetary policy be tighter or looser by the end of 2016? How much will it change?

Hindsight Perspective

Source: Financial Times (03 Jan 2016)

What effect are government policies likely to have on housing supply and demand in 2016? How much will they contribute to likely changes in house prices?

Thank you

Wales Conflict and Linkedin

JULIAN HEALEY – CEO NARA

Why?

Registration Licensing

• Registration
• Landlord – however defined
• Housing Stock – your charged properties

Law of Property Act 1925 v. Housing (Wales) Act 2014 Score: 0 1

Registration

• 1. Landlord – LPA deemed as such
• Once and for all registration in that capacity
• One off fee - £35
• Provision for joint appointments
• 2. Properties under the LPA control
• Can add to and remove as appointments made

and cases closed

• Property should already be on the system…………

Exceptions

The requirement in section 4(1) [to be registered]does not apply – (a) if the landlord has applied to the licensing authority to be registered in relation to that dwelling and the application has not been determined; (b) for a period of 28 days beginning with the date the landlord’s interest in the dwelling is assigned to the landlord; (c) if the landlord takes steps to recover possession of the dwelling within a period of 28 days beginning with the date the landlord’s interest in the dwelling is assigned to the landlord, for so long as the landlord continues to diligently pursue the recovery of possession;

Education (aka Licensing)

Licensing (1)

Licensing required if as Receiver (Landlord) you are:

(a) collecting rent; (b) being the principal point of contact for the tenant in relation to matters arising under the tenancy; (c) making arrangements with a person to carry out repairs or maintenance; (d) making arrangements with a tenant or occupier of the dwelling to secure access to the dwelling for any purpose; (e) checking the contents or condition of the dwelling, or arranging for them to be checked; (f) serving notice to terminate a tenancy.

Licensing (2)

Or even just: (a) arranging or conducting viewings with prospective tenants; (b) gathering evidence for the purpose of establishing the suitability of prospective tenants (for example, by confirming character references, undertaking credit checks or interviewing a prospective tenant); (c) preparing, or arranging the preparation, of a tenancy agreement; (d) preparing, or arranging the preparation, of an inventory for the dwelling or schedule of condition for the dwelling.

1. Download the Guide for LPA Receivers. 2. Register in the format agreed. 3. Schedule the properties and keep the list up to date – especially when you exit. 4. Employ a managing agent – and make sure they are licensed under the Act.

Conflict GN2

Linkedin

INSURANCE & RISK MANAGEMENT

2017

JLT SPECIALTY LIMITED 47

EFFECTS OF THE INSURANCE ACT 2015

JLT SPECIALTY LIMITED 48

EFFECTS OF THE INSURANCE ACT Reasonable Search Fair Presentation Fire Risk Management Health & Safety Asset protection Liability protection

POST APPOINTMENT CLAIMS 2017

49 JLT SPECIALTY LIMITED

CONTACT INFORMATION

Ed Brittain 0121 626 7821 07795 400 877 Ed_Brittain@jltgroup.com

JLT Specialty Limited The St Botolph Building 138 Houndsditch London EC3A 7AW Tel +44 (0)20 7528 4000 Fax +44 (0)20 7528 4500 www.jltspecialty.com Lloyd’s Broker. Authorised and regulated by the Financial Conduct Authority. A member of the Jardine Lloyd Thompson Group. Registered Office: The St Botolph Building, 138 Houndsditch, London EC3A 7AW. Registered in England No. 01536540. VAT No. 244 2321 96.

Confidentiality The information contained within this document is strictly confidential and may not be reproduced or disclosed to any third party without the prior written approval of JLT Specialty Limited. Intellectual Property Rights All intellectual property rights of Jardine Lloyd Thompson Group plc, its affiliates and/or its professional advisors shall remain the property of Jardine Lloyd Thompson Group plc, its affiliates and/or its professional advisors. Nothing herein shall be construed as conferring to you by implication or otherwise any licence or right to use any intellectual property of Jardine Lloyd Thompson Group plc, its affiliates and/or its professional advisors. Duty of Disclosure Under the laws of England and Wales, Scotland and Northern Ireland, JLT has a duty to remind you of a policyholder's (and its insurance agent's) duty to make a fair presentation of the risk, and to disclose all material circumstances, and the consequences of not doing so. It is necessary to disclose all information which would influence the judgement of a prudent insurer in determining whether or not to accept a risk, and upon what terms. Failure to comply with this duty may give the insurer the right to void the policy from its inception, or to impose different terms, or to reduce the amount paid on any claim. If your contract is not subject to such laws, your duty of disclosure and the consequences of its breach may vary from that stated above. For further information please refer to our Business Protocol document and if any further material requires to be disclosed or if you have any question as to what should be disclosed please refer to your normal JLT contact.

NARA GDPR Overview| 2 November 2017

TLT LLP TLT LLP

GDPR – an overview

• GDPR applies from 25 May 2018
• Data Protection Bill sets out UK-

specific clarifications and applies GDPR in the UK post-Brexit

• Aim to create unified data protection

regime fit for digital age

• New rules strengthen current data

protection requirements

• Builds on the existing data protection

regime but with some significant additions

TLT LLP TLT LLP

Key definitions

• Personal data – information relating to an identifiable, living individual.

This will include name and contact details, information about assets owned, rents payable, debts owed, family and lifestyle details, employment details etc.

• Processing Data – includes collection, recording, storing, retrieving,

consulting, using, disclosing by transmission, erasing and destroying

• Controller – the organisation that determines the purposes and means of

processing

• Processor – an organisation that processes personal data on behalf of a

controller.

• Where a party has a high level of discretion over what data is collected and

the purposes for which it is used they will be a controller

TLT LLP TLT LLP

Data Protection Principles (1)

• Lawful, fair and transparent processing
• Specific, explicit and legitimate purposes and no

incompatible use

• Adequate, relevant and limited to what is necessary
• Accurate and kept up to date

TLT LLP TLT LLP

Data Protection Principles (2)

• Kept for no longer than is necessary
• Kept securely
• Controller is responsible for demonstrating compliance with

the principles above

TLT LLP TLT LLP

Key GDPR changes

Accountability Data protection impact assessments Privacy by design and by default

• Demonstrate

compliance

• Documented policies

and procedures

• Required for high risk

processing

• Identify privacy risks

and mitigating actions

• Data minimisation
• Pseudonymisation

TLT LLP TLT LLP

Key GDPR changes

Consent Privacy notices Data processor contracts

• Higher standard
• Audit trail required
• Expanded notices
• Clear and accessible
• New mandatory

clauses

• Expanded due

diligence

TLT LLP TLT LLP

Key GDPR changes: data subject rights

Data Subject Rights

Information (Articles 13 and 14) Access (Article 15) Rectification (Article 16) Erasure (to be forgotten) (Article 17) Restrict Processing (Article 18) Data Portability (Article 20) Object to Processing (Article 21) Automated decisions and/or profiling (Article 22)

TLT LLP TLT LLP

Key GDPR changes

Breach notification Fines Regulatory powers

• To regulators unless

low risk

• To individuals if high

risk

• €20million or 4% of

global turnover

• Audits
• European Data

Protection Board

TLT LLP TLT LLP

GDPR – Issues for Receivers

• What personal data are you collecting – do you need it all?
• How are you keeping personal data confidential – who can see it?
• Consider pseudonymisation of data – sale information etc
• When is data being destroyed?
• Data Subject Access Requests
• Are your contractors holding personal information – are they keeping it

safe?

• Have a documented policy and evidence of compliance and review

TLT LLP

Questions?

alison.deighton@tltsolicitors.com 0333 006 0160 philip.collis@tltsolicitors.com 0333 006 0285

Page 62

AML & POCA

Page 63

• Proceeds of Crime Act 2002 (“POCA”)
• Terrorism Act 2000 (“TA”)
• Money Laundering, Terrorist Financing and Transfer of

Funds (Information on the Payer) Regulations 2017 (SI 2017/692) (“MLR 2017”)

• Fourth Money Laundering Directive (EU) 2015/849

(“MLD4”)

• Terrorist Asset-Freezing etc Act 2010 (“TAFA”)
• Criminal Finances Act 2017 (“CFA”)
• Second Wire Transfer Regulation (EU) 2015/847

(“WTR2”)

Glossary

Page 64

• Three principle offences of money laundering :
• Concealing , disguising, converting, transferring or removing

criminal property out of the jurisdiction

• Entering into or becoming concerned in an arrangement that

facilitates the acquisition, retention, use or control of criminal property

• Acquiring, using or possessing criminal property
• Failure to disclose (ss330-332)
• Tipping off (s.333A)
• Prejudicing an investigation (s342)
• NB s.314 POCA 2002 – obtaining / disposal of property re

insolvency

POCA

Page 65

• MLR 2017 came in to force on 26 June 2017 and creates a number of new
• ffences in its own right, placing a greater emphasis on a risk-based

approach :

• Contravening a relevant requirement (in addition to one attaching to the

Wire Transfer Regulations)

• Prejudicing an investigation
• Provides for a corporate officer to be charged in addition to the body

corporate where consent or connivance can be evidenced

• Provides for similar prosecutions re partnerships and unincorporated

associations (lack of supervision by officers)

MLR 4 – new regime

Page 66

• Compulsory when have knowledge or suspicion of ML or TF, failure

to do so strips you of any defence to the principal offence and liable to a failing to report offence

• A relevant person must have system for internal referrals re POCA /

TA, including appointed a nominated officer to receive internal reports and decide whether to report externally to NCA

Suspicious activity reports (SARs)

Section Offence Who can commit the offence

330 Failure to disclose ; regulated sector Anyone acting in the regulated sector 331 Failure to disclose ; nominated

• fficer in regulated sector

Nominated officer 332 Failure to disclose ; nominated

• fficer in unregulated sector

Nominated officer

Page 67

• Different offences across the regulated

and unregulated sectors

• Criminal offence to disclose that a SAR or

ML investigation is being considered or conducted, and that disclosure is likely to prejudice an investigation

• Both sectors are subject to an additional
• ffence

regarding the tampering / interference with documents

Tipping off and prejudicing an investigation

Page 68

• Obligation is absolute
• Not risk-based approach although some

components allow for flexibility, therefore requires risk assessment

• Permitted to rely on third party but

principal remains liable

Client due diligence

Page 69

• A relevant person must train relevant

employees on the law re AML and TF on how to recognise and deal with issues

• No prescribed for or frequency
• Every two years appears to be good

standard although annually

Training

Page 70

Are we paranoid ?

www.alcumusgroup.com

Fire Safety Legislation Presentation

Anthony Buck

72 Presentation Aim

• This presentation is about the fire safety legislation & management

policy and procedures that should be operated and the required response of key personnel.

• This presentation will give an overview of fire safety legislation as well

as the management procedures that should be operated at properties.

73 Fire Safety Legislation

Legal Requirement Regulatory Reform (Fire Safety) Order 2005 Part 3 of the Fire (Scotland) Act 2005 and the Fire Safety (Scotland) Regulations 2006 Article 50 of the Fire and Rescue Services (Northern Ireland) Order 2006 and the Fire Safety Regulations (Northern Ireland) 2010 Replaced most other legal requirements with regard to fire safety Place duties on the “Responsible Person” (“Duty holder” in Scotland, “Appropriate Person” in Northern Island) Guidance documents have been produced by the various governments to assist.

74 Detail

• 20+ Sector specific documents
• Not prescriptive
• Guidance only, legislation only has key functional

requirements achieved through risk assessment

• Fire Precautions necessary for life safety
• Reduction of risk from dangerous substances
• Means of fire warning
• Means of fighting fire
• Means of escape
• Emergency Procedures
• System of maintenance
• Provision of information
• Training
• Coordination/Cooperation
• Measures need to be appropriate to risks, but flexible
• “Where necessary”

75 The Responsible Person (Duty Holder/Appropriate Person)

Undertake a Risk Assessment Consider who is at risk Remove/reduce risk of fire Make general fire precautions Eliminate/reduce risk from dangerous substances Create an emergency plan

76

Who is the “Responsible Person”?

77 The Responsible Person is…

• The employer in relation to any work place is to any extent under his control
• r
• The person in control of a premise (As occupier or otherwise)
• r
• The owner

Also every person who has to any extent control of those premises relating to matters under his control. Ensure the duties imposed upon them are complied with in respect to those premises so far as requirements relate to matters within his control

78 Competent Person

Who is the Competent Person under the Regulations?

“18.—(1) The responsible person must, subject to paragraphs (6) and (7), appoint one or more competent persons to assist him in undertaking the preventive and protective measures.” Therefore competent persons can include: Fire Risk Assessor - Fire Alarm Engineer - Extinguisher Service Technician - Caretaker/Building Manager (weekly tests, etc) - Etc. A person is to be regarded as competent where he has sufficient training and experience or knowledge and other qualities to enable him properly to assist in undertaking the preventive and protective measures. (6) & (7) – Allow RP’s to be the Competent Person as well for any area in which they have the necessary skills & experience. (8) requires competent employees to be used in preference to outside contractors where they exist.

79 Fire Risk Assessment

Simple Five Step Process The purpose of the risk assessment is;

• To reduce the risk of fire hazards

to as low as level as possible;

• To assist the RP in deciding what

physical fire precautions and management arrangements are necessary to ensure the safety of people in the premises.

80

What are the benefits of undertaking a Fire Risk Assessment?

81 Benefits of a Fire Risk Assessment

• Compliance with statute law
• No Enforcement Notices (Public Register)
• No Prohibition Notices (Loss of Trade)
• No prosecution/fines/imprisonment
• No negative press
• Compliance with insurance requirements maintaining cover
• Possible premium rebates for certain controls
• Payout more likely should loss occur
• Reduce the likelihood of fire
• Avoid Injury & Death
• Avoid loss of trade, affecting suppliers & customers as well
• Avoid negative press
• Avoid damage to the environment
• Should tailor precautions to the risk reducing overspend with little benefit

82 Recording of a Fire Risk Assessment

11.—(1) The responsible person must make and give effect to such arrangements as are appropriate, having regard to the size of his undertaking and the nature of its activities, for the effective planning, organisation, control, monitoring and review of the preventive and protective measures. (2) The responsible person must record the arrangements referred to in paragraph (1) where— (a)he employs five or more employees; (b)a licence under an enactment is in force in relation to the premises; or (c)an alterations notice requiring a record to be made of those arrangements is in force in relation to the premises.

83 What to expect if a Fire Safety Inspector Calls

• right of entry any workplace at any reasonable hour, without giving notice, though

notice may be given where appropriate.

• part or full inspection to check out the workplace, the work activities, your

management of fire safety, and audit your fire risk assessment

• may offer guidance or advice to help you.
• may also talk to employees or their representatives, take photographs, serve notices

and take action if there is a risk to fire safety that needs to be dealt with immediately.

• Informal Advice, Enforcement Notice, Prohibition Notice, Alterations Notice
• 21 days to appeal, right to apply for determination by Secretary of State where there

is a disagreement on the measures required to correct an issue

84 Fire & Rescue Services Act 2014 7(2)(d) Visit

Local crews regularly visit premises to gather risk data:

• Persons at risk
• Hazardous substances and processes
• Familiarisation with premises layout
• Familiarisation with fire service facilities in premises

They have a power of entry under the Fire & Rescue Services Act but are not Enforcement Officers and may not have the specialist training to correctly advise on fire precautions in commercial premises.

85 Defences

• Due Diligence

(But NOT 8,1(a) take general fire precautions for employee safety or 12 dangerous substance risk) prove that it was not practicable or reasonably practicable to do more than was in fact done to satisfy the duty or requirement. (But onus on accused, not prosecution) Determination of disputes by Secretary of State (before court action) 36- responsible person or any other person with control has failed to comply; and the enforcing authority and that person cannot agree on the measures which are necessary to remedy the failure.

www.alcumusgroup.com

Thank you, Any Questions?

Stephen.copp@alcumusgroup.com

Mayer Brown is a global legal services organisation comprising legal practices that are separate entities ("Mayer Brown Practices"). The Mayer Brown Practices are: Mayer Brown LLP, a limited liability partnership established in the United States; Mayer Brown International LLP, a limited liability partnership (regulated by the Solicitors Regulation Authority and registered in England and Wales number OC 303359); and JSM, a Hong Kong partnership (and its associated entities in Asia). The Mayer Brown Practices are known as Mayer Brown JSM in Asia. In Brazil Mayer Brown is in association with Tauil & Chequer Advogados, a Brazilian law partnership.

NARA Training Day Rochdale 2 November 2017

Conflicts of interest

Will Glassey

Partner, Mayer Brown International LLP

wglassey@mayerbrown.com

What is a Conflict of Interest?

• What is the central duty of a Professional?

– To advise and represent clients objectively and independently without regard to the consequences to any third party or the professional

• A conflicting interest is an interest which detracts from the

professional’s ability to discharge that duty. It may be: – An “Party” Conflict – An “Own Interest” Interest – A “Confidential Information” Conflict

935718280 88

What was the problem?

• Perception of “double dipping” / prejudice to consumers
• Adverse Press
• Questions in Parliament
• Potential threat to confidence in Profession

935718280 89

RICS response (1)

• Regulatory objectives of RICS:
• Royal Charter:

– “to secure the advancement and facilitate the acquisition of that knowledge which constitutes the profession of a surveyor” – “to maintain and promote the usefulness of the profession for the public advantage in the United Kingdom and in any other part of the world.”

• Per RICS:

– “To assure competence and thereby enhance members’ professional status through providing confidence to consumers and markets”

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RICS Response (2)

• Existing Rule:

"Members shall at all times act with integrity and avoid conflicts of interest and avoid any actions or situations that are inconsistent with their professional obligations".

• Regulation

– Enforcement v Education – Rules v Guidance

• The effect of Regulation should not be to disadvantage

Members in competitive markets

935718280 91

RICS response (3)

• Working Group formed June 2015
• Consultation Summer 2016
• Professional Statement published 1 March 2017
• UK Commercial Property market investment agency

Professional Statement on Conflicts of Interest to be launched Monday 22 May 2017

• Both effective 1 January 2018

935718280 92

What is an RICS Professional Statement

• “A document that provides members with mandatory

requirements or a rule that a member or firm is expected to adhere to.”

• The term also encompasses practice statements, Red Book

professional standards, global valuation practice statements, regulatory rules, RICS Rules of Conduct and government codes

• f practice.
• Global and all disciplines

935718280 93

Structure of the Professional Statement

• Introduction
• Professional Statements on:

– Conflicts of Interest – Confidential Information

• Definitions
• Supporting Guidance Notes:

– General Commentary Notes – Supporting Commentary Notes

935718280 94

Conflicts of Interest (1)

1.1 An RICS member or regulated firm must not advise or represent a client where doing so would involve a Conflict of Interest or a significant risk of a Conflict of Interest; other than where all of those who are or may be affected have provided their prior Informed Consent. Informed Consent may be sought only where the RICS member or regulated firm is satisfied that proceeding despite a Conflict of Interest is: (a) in the interests of all of those who are or may be affected and (b) is not prohibited by law, and that the conflict will not prevent the member or regulated firm from providing competent and diligent advice to those that may be affected.”

935718280 95

Conflicts of Interest (2)

• Systems , management and records
• Professional Statements 1.2, 2.2 and 2.3/ Guidance note 1

– Identify and manage conflicts – Keep records of decisions – Implement systems (by 1 January 2018) “appropriate to the size and complexity of their business” – Individuals are not required to ‘vet’ their firm’s systems, but they are required to know their firm has considered them

935718280 96

Confidential Information

• 2.1 RICS members and regulated firms must maintain

confidentiality of Confidential Information unless disclosure is required or permitted by law, or the RICS member or regulated firm concerned can demonstrate that the relevant party consented to the disclosure before it was made.

• 2.2 Every RICS member working independently or within a

non-regulated firm or within a regulated firm must provide to every client all the information that is material to that client’s professional assignment of which that RlCS member has knowledge.

• Definition of Confidential Information

935718280 97

Informed Consent

• Acting with a conflict of interest is permitted with Informed

Consent

• RICS considered the alternative of an absolute prohibition
• Informed Consent means what it says. Affected clients should:

– Understand the conflict and what its consequences might be – Give consent freely and unambiguously – In writing

• Can a client ever be asked to consent to an Own Interest

Conflict?

935718280 98

Information Barriers

– What can they do?

• Facilitate acting with a Conflict and Informed Consent

– What can they not do?

• Become a regular business tool
• Overcome a Conflict on their own

– Where should the risk lie?

935718280 99

Other issues

• How to manage personal conflicts
• Will it overcome a Conflict if separate but related firms act?

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UK Commercial Property Market Investment Agency Professional Statement

• Effective 1 January 2018
• Absolute prohibition on dual agency (double dipping)
• Special rules for Related Firms

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Thanks, and Questions

935718280 102

Panel case discussion

Doug Robertson Daniel Hardy Nick O’Reilly