A leading pensions body has insisted its members still believe the new capital adequacy rules for Sipp firms are "flawed" despite failing with its attempt to bring a Judicial Review.
Sipps Professional broke the news late yesterday afternoon that The Association of Member-Directed Pension Schemes had been unsuccessful with its bid to challenge how the FCA dealt with the consultation process last year.
AMPS is reviewing the court's determination with its legal advisers. The FCA said it will not be commenting at the moment.
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Neil MacGillivray, chairman of AMPS, said: "Though the AMPS Committee is disappointed with the determination we still believe that the use of assets under administration as a basis for calculating capital adequacy is flawed.
"That said we have been engaging with the FCA to resolve the administrative problems created by using assets under administration and we hope that speedy progress can be made in this regard."
An AMPS statement published on its website read: "We have received the court's determination of AMPS' application for permission to bring judicial review proceedings against the FCA. Unfortunately permission has been refused.
"We are reviewing the court's determination with our legal adviser and will provide further details as soon as we can."
The organisation made the move after discussions with members who questioned whether the way the regulator went about creating the new capital framework for Sipp operators led to the outcome being "seriously flawed".
AMPS said it had consistently supported an increase in the capital requirement for Sipp operators.
It said: "Our challenge to the FCA is in regard to its apparent disregard for fairness of procedure and adequacy of consultation, which leaves Sipp operators facing an illogical basis of capital requirement which proper consultation might well have seen rejected."
The new rules are set to take effect in September 2016.