Firms limit corporate entertainment spend as FCA considers crackdown

Hospitality

Asset managers have revealed the hard limits they are imposing on entertainment budgets ahead of a potential FCA ban on corporate hospitality

Following guidance issued by the Financial Conduct Authority earlier this year, some groups have now placed a £50 limit on what they can freely spend or accept in terms of corporate hospitality, despite the regulator giving no guideline figures. In January, the FCA warned groups that events should be of reasonable and proportionate value, of a limited scale, and not used to channel business to firms. Last week, Investment Week revealed a growing belief that the FCA wants to see a ban on all forms of corporate entertainment. It is unconvinced of its value as a networking tool, and fear...