Simon Lovegrove (UK)

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Net Zero review

On 29 September 2022, the Department for Business, Energy & Industrial Strategy (BEIS) announced that it has commissioned an independent review of the government’s approach to delivering its net zero target. The review will assess the economic co-benefits associated with different policies and how the government can drive down the cost curve for net zero … Continue Reading

ESRB to publish a report on whether bank capital requirements can be an effective tool for reducing carbon emissions

On 29 September 2022, the European Systemic Risk Board issued a press release reporting on the meeting that its general board held on 22 September 2022. At the meeting, the general board issued a warning on vulnerabilities in the EU’s financial system. The general board concluded that risks to the financial stability in the EU … Continue Reading

PSR Consultation Paper CP22/4 ‘Authorised push payment scams: Requiring reimbursement’

On 29 September 2022, the Payment Systems Regulator (PSR) published Consultation Paper 22/4 ‘Authorised push payment scams: Requiring reimbursement’ (CP22/4). Introduction Authorised Push Payment (APP) scams happen when fraudsters trick someone into sending a payment to a bank account controlled by a fraudster. Once a victim realises that they’ve been scammed it’s often too late … Continue Reading

European Commission adopts two additional equivalence decisions for non-EU jurisdictions

On 29 September 2022, the European Commission adopted two decisions determining that the legal and supervisory frameworks for central counterparties (CCPs) in Colombia and Taiwan are equivalent to the requirements applicable under the European Markets Infrastructure Regulation (EMIR). The decisions allow these CCPs to apply for recognition by the European Securities and Markets Authority (ESMA). … Continue Reading

What firms and customers can expect from the Consumer Duty and other regulatory reforms

On 29 September 2022, the FCA published a speech by Sheldon Mills (FCA Executive Director, Consumers and Competition) entitled What firms and customers can expect from the Consumer Duty and other regulatory reforms. Key points in the speech include: The Consumer Duty will be a significant shift in what the FCA expects of firms. It … Continue Reading

ECB guidelines on transferability to support the resolvability assessment for transfer strategies

On 28 September 2022, the European Banking Authority (EBA) published final guidelines on transferability to support the resolvability assessment for transfer strategies. The guidelines complement the EBA resolvability guidelines as regards resolution tools other than bail-in. They assess the feasibility and credibility of transfer strategies and encompass requirements relating to the implementation of transfer tools … Continue Reading

Innovation in post trade services – opportunities, risks and the role for the public sector

On 28 September 2022, the Bank of England published a speech by its Deputy Governor for Financial Stability, Sir Jon Cunliffe, entitled Innovation in post trade services – opportunities, risks and the role for the public sector. Key points in the speech include: In recent years, regulators and central banks have become increasingly focussed on … Continue Reading

ECB consults on guide of how to assess buyers of qualifying stakes in banks

On 28 September 2022, the European Central Bank (ECB) issued a public consultation on a draft guide which seeks to clarify how it assesses applications to acquire qualifying holdings in banks. The ECB intends for the guide to function as a user-friendly handbook. The guide explains who is obliged to undergo qualifying holding assessments, the … Continue Reading

Ombudsman News 174

On 28 September 2022, the Financial Ombudsman Service (FOS) published Ombudsman News 174. In this edition of Ombudsman News the FOS highlights recently published complaints data, which includes complaints data about financial products and services and about individual businesses. The FOS also shares its new online guidance for consumers and businesses about unregulated collective investment … Continue Reading

ESMA reminds firms of the impact of inflation in the context of investment services to retail clients

On 27 September 2022, the European Securities and Markets Authority (ESMA) published a statement reminding firms of the MiFID II requirements concerning fair, clear and not misleading information, suitability and product governance requirements. ESMA believes that investment firms may play a role in considering inflation and inflation risk, as appropriate, when manufacturing and distributing investment … Continue Reading

How regulation can prepare the ground for economic growth: Speech by Sarah Pritchard

On 27 September 2022, Sarah Pritchard, FCA Executive Director, Markets, gave a speech at the City and Finance Global’s ‘The future of the UK Financial Services Regulation’ Summit. In her speech Ms Pritchard addresses how regulation can promote economic growth. Ms Pritchard addresses this endeavour by highlighting the following areas: Growth – The FCA recognises … Continue Reading

ESMA publishes report on the DLT pilot regime

On 27 September 2022, the European Securities and Markets Authority (ESMA) published a report on the Regulation on a pilot regime for market infrastructures based on distributed ledger technology (DLT Pilot). The DLT Pilot will start applying on 23 March 2023. The DLT Pilot includes a recital requiring ESMA to assess whether the regulatory technical … Continue Reading

Stress testing the UK banking system: key elements of the 2022 annual cyclical scenario

On 26 September 2022, the Bank of England announced that it was returning to the annual cyclical scenario stress-test framework. The stress test will test the resilience of the UK banking system to deep simultaneous recessions in the UK and global economies. It will assess bank balance sheets and the resilience of the UK banking … Continue Reading

DRFC publishes response to call for input submissions on the algorithmic processing work stream

On 23 September 2022, the Digital Regulation Cooperation Forum (DRCF) published stakeholder views submitted in response to two discussion papers that it published in April 2022 related to algorithmic auditing. One of the papers looked at the specific harms and benefits posed by algorithmic systems, including those powered by machine learning methods. The other looked … Continue Reading

Opinion of the ECB on a proposal for a regulation amending the Central Securities Depositories Regulation

On 26 September 2022, the European Central Bank (ECB) published an opinion on a proposal for a Regulation amending the Central Securities Depositories Regulation. In addition to welcoming the proposed Regulation and setting out certain general observations, the opinion also provides specific observations on the following: Settlement discipline regime. Cooperation between competent authorities and relevant … Continue Reading

Global regulation and conduct series – Rising cost of living, vulnerable customers and consumer duty

In the first in our global series of regulatory podcasts focussing on conduct issues, financial services partners from Australia, United Kingdom and the United States cover the rising cost of living, vulnerable customers and consumer duty. (Apple Podcasts / Spotify)… Continue Reading

ESMA updates Q&As on EU Regulation on crowdfunding service providers for business

On 23 September 2022, the European Securities and Markets Authority (ESMA) updated their Q&As on the EU Regulation on European crowdfunding service providers for business. The following sections of the Q&As have been updated: General provisions: 3.8, 3.9, 3.10, 3.11 and 3.12. Investor protection provisions: 5.10, 5.11, 5.12, 5.13, 5.14 and 5.15.… Continue Reading

EBA launches 2022 EU-wide transparency exercise

On 23 September 2022, the European Banking Authority (EBA) launched its annual EU-wide transparency exercise, as part of its efforts to monitor risks and vulnerabilities and to reinforce market discipline. As in the past the exercise is exclusively based on supervisory reporting data, which will keep the burden for the banks to a minimum. Results … Continue Reading

Chancellor unveils ‘Growth Plan’

On 23 September 2022, the Chancellor of the Exchequer, Kwasi Kwarteng, unveiled the new ‘Growth Plan’. Key takeaways for the financial services sector announced within the plan include: Later this autumn the Government will bring forward an ambitious deregulatory package with its aim being to unleash the potential of the UK financial services sector. This … Continue Reading

European Commission announces plan to ensure complete and timely transposition of EU directives

On 21 September 2022, the European Commission announced its plan to ensure complete and timely transposition of EU directives. The Commission is adopting a package of infringement decisions due to the absence of communication by Member States of measures taken to transpose particular EU directives into national law (referred to as ‘non-communication infringements’).  In the … Continue Reading
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