(1) FSMA 2000 is amended as follows.

(2) In the italic heading before section 415B, at the end insert "and co-operation".

(3) After section 415B (consultation) insert -

"415C Co-operation and consultation in relation to exercise of functions

(1) In exercising its functions under this Act a relevant organisation ("R") must -

(a) take such steps as R considers appropriate to co-operate with each of the other relevant organisations in relation to matters of interest to that organisation, and

(b) consult such other persons as R considers appropriate in relation to any matters that R considers to be of interest to those persons.

(2) A matter is of interest to another relevant organisation for the purposes of subsection (1) if it appears to R that it has, or is likely to have, significant implications in relation to -

(a) the exercise by that other relevant organisation of functions under this Act, or

(b) the functioning generally of relevant markets within the meaning of section 1F.

(3) The relevant organisations must prepare and publish a statement of policy with respect to compliance with the duty under subsection (1).