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The use of dealing commissions by firms is primarily governed by the MiFID regulations, particularly under MiFID II, which was introduced to enhance transparency and investor protection within financial markets. These regulations stipulate the conditions under which firms can use dealing commissions, focusing on ensuring that such commissions are only used for certain types of services that benefit the end client.

Moreover, MiFID II requires firms to provide clear disclosures regarding the use of client funds for transaction costs, so clients understand how their money is being used. The regulations aim to curb conflicts of interest and promote fair treatment of clients, mandating firms to clearly justify their use of dealing commissions and their overall cost structure.

In contrast, the other options listed may address different aspects of regulatory compliance but do not specifically focus on the rules governing dealing commissions. For instance, the Conduct of Business sourcebook primarily covers how firms should conduct their business with clients, the Regulated Activities Order defines what activities require authorization and the Senior Managers and Certification Regime focuses on managerial accountability and governance within a firm. Thus, the MiFID regulations stand out as the appropriate legislative framework specifically governing actions regarding dealing commissions.