The Financial Conduct Authority (FCA) has unveiled plans to make it easier for firms to test innovative products and secure regulatory approval as part of its work programme for 2025-2026.

Every firm using the FCA's Regulatory Sandbox to safely test innovative products will receive an authorisation case officer from the start of the process, helping to bring products to market faster. Since the sandbox launched in 2016, 195 firms serving UK consumers have been accepted into the programme.

The regulator is also extending its pre-application support service to all wholesale, payments, and cryptoasset firms, aiming to encourage these sectors to establish in the UK to fuel growth while maintaining standards. In the past year alone, the FCA has supported 80 wholesale firms through pre-application meetings.

Nikhil Rathi, chief executive officer of the FCA, said: "We're committed to being a smarter regulator - one that supports growth, helps consumers and fights crime. Our annual work programme details what we will deliver to achieve these goals. And today, we're setting out how we'll go further to help firms that want to join our markets with greater support for the application process and to test innovative products."

To spearhead growth, the FCA will enable a new innovative market called the Private Intermittent Securities and Capital Exchange System (PISCES), designed to help private companies grow and scale up by offering investors greater access to investment opportunities.

The regulator's AI Lab will work with firms to deepen understanding and support AI solutions that drive growth and competitiveness in financial markets. Additionally, more firms will be notified when the FCA is "minded to approve" their applications, allowing them to seek investment with confidence.

As part of the new programme, the FCA will create a regulatory framework to ensure consumers have access to affordable financial help, guidance and advice. Buy Now Pay Later products will also be brought under the regulator's oversight to protect consumers while allowing firms to innovate.

Fighting financial crime remains a priority, with plans to build a new data-led detection capability to better identify and tackle illicit activities.

The FCA is also proposing to increase minimum and flat rate fees by 2.5 per cent in line with the increase in ongoing regulatory activities, while working to reduce the burden on firms by only collecting essential data. It has already identified three regular data returns it plans to stop, which will benefit 16,000 firms.

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