On 18 July 2025, the Bank of England (BoE) published various papers concerning financial market infrastructure.

BoE Policy Statement ‘Fundamental Rules for Financial Market Infrastructures’

The BoE has published a Policy Statement setting out its Fundamental Rules for Financial Market Infrastructures. The final policy takes effect on 18 July 2026.

The Policy Statement follows an earlier consultation that the BoE conducted between 19 November 2024 to 19 February 2025.

The Fundamental Rules are the first instance in which the BoE has made rules using its new general rule making power over central counterparties (CCPs) and central securities depositories (CSDs) granted under the Financial Services and Markets Act (FSMA) 2000 as amended by FSMA 2023 and are available in the BoE’s FMI Rulebook.

BoE’s approach to rule permissions and waivers

The BoE has issued a Consultation Paper and draft statement of policy (SoP) on its approach to using the permissions power. The Consultation Paper is relevant to recognised UK CCPs and recognised UK CSDs and HM Treasury designated critical third parties. It is also relevant to third-country CSDs and ‘systemic overseas CCPs at the point at which the BoE rules are applied to these entities.

In the Consultation Paper the BoE seeks views how the BoE will use its permissions power, how firms can apply for a rule permission, and the BoE’s approach to publishing information relating to approved rule permissions. In order to be as transparent as possible in its use of these powers, the BoE is consulting on its approach.

The deadline for comments on the Consultation Paper is 18 November 2025.

BoE consultation ‘Ensuring the resilience of CCPs’

The BoE has published a Consultation Paper ‘Ensuring the resilience of CCPs’.

In the Consultation Paper the BoE consults on key elements of the UK’s future regulatory framework for CCPs. The key elements of the UK regulatory framework for CCPs are currently set out in primary legislation – the UK European Market Infrastructure Regulation (UK EMIR). The BoE is consulting on proposals to restate certain requirements for CCPs in UK EMIR in BoE rules, alongside targeted policy changes outlined below.

The deadline for responding to the Consultation Paper is 18 November 2025.

Further information regarding timing, including when HM Treasury intends to lay the statutory instrument, when the final BoE rules will be published and a proposed extended transitional period can be found in paragraphs 1.26 to 1.26 of the Consultation Paper.

BoE draft statement of policy: The BoE’s approach to comparable compliance permissions

The BoE has issued a draft SoP regarding its approach to comparable compliance permissions. The SoP sets out the BoE’s approach to giving a regulatory permission to recognised non-UK CCPs on the basis of comparable compliance.

BoE draft supervisory statement on CCP margin

The BoE has published a draft supervisory statement on CCP margin. It primarily explains the BoE’s supervisory expectations in relation to CCPs’ management of initial margin procyclicality, including in the design and review of regulatory initial margin models, and in relation to portfolio margining. In addition, the supervisory statement sets out guidance in relation to CCPs’ provision of a margin simulation tool and the requirement to continuously monitor margin.

BoE draft statement of policy: The BoE’s approach to supervisory processes

The BoE has published a draft SoP on its approach to supervisory processes (model changes, recognition orders and variations of recognition orders) and margin permissions.

The draft SoP sets out the BoE’s approach to:

  • Changes to models and parameters, including notifications of such changes and permissions to make changes classed as ‘material’, as set out in chapter 13 of the Review and Testing of Models and Parameters Part of the BoE FMI Rulebook: UK Central Counterparties Instrument (CCP rules) and section 296B of FSMA.
  • Recognition orders and variation of recognition orders, as set out in sections 288 and 290 of FSMA (granting recognition to a firm for the provision of clearing services as a CCP) and 290ZA of FSMA (varying a CCP’s recognition order to cover new products and services).
  • Permissions related to margin, including permissions to (i) adopt a model as set out in rule 3.2 of the Margin Requirements Part, or (ii) to modify rules 2.12, 3.13(4)(c)(v), and 3.16 of the Margin Requirements Part of the CCP rules.

BoE draft statement of policy: The BoE’s approach to tiering non-UK CCPs

The BoE has published a draft SoP on its approach to tiering non-UK CCPs. The draft SoP sets out the BoE’s approach to tiering non-UK CPPs according to the level of systemic risk they potentially pose to UK financial stability as well as providing a guide to the type of information the BoE will consider in making its tiering designations.

BoE draft statements of policy: The BoE’s approach to permissions in relation to CCP rules

The BoE has published a draft SoPs on its approach to giving permissions set out in the CCP Rules.

Specifically the draft SoPs set out the BoE’s approach to giving permissions which relate to:

  • Disclosure of information that is mandated by BoE rules in a modified manner, or non-disclosure of that information, as set out in rule 9.2 of the Management and Governance Part of the CCP rules.
  • Outsourcing of major activities linked to risk management, as set out in rule 2.2 of the Operational Resilience Part of the CCP rules.
  • Permission to enter into a new Interoperability arrangement, or make a material change to an existing interoperability arrangement, as set out in rule 2.1 and 2.2 of the Interoperability Arrangements Part of the CCP rules.