Section 21 of the Financial Services and Markets Act 2000 (FSMA) provides that a person must not, in the course of business, communicate an invitation or inducement to engage in investment activity or to engage in claims management activity unless the promotion has been made or approved by an authorised person or it is exempt. This is known as the financial promotion restriction. This note explains the UK financial promotion regime under FSMA. It explains what a financial promotion is, how it applies to unauthorised and authorised persons, and outlines available exemptions under the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (SI 2005/1529) (FPO). The note also explains the territorial scope of the regime, penalties for breaching the financial promotion restriction, and the FCA's approach to supervising financial promotions.