On 21 October 2025, HM Treasury (HMT) published a progress update in relation to its Regulation Action Plan (the plan) published in March this year.

In this update HMT sets out where it has made progress on delivering on that plan and where it intends to go further in relation to the plan’s three themes of tackling the complexity and burden of regulation, reducing uncertainty across our regulatory system, and challenging risk aversion.

Key areas where HMT explained that next steps have been taken in relation to financial services include:

• The Financial Conduct Authority (FCA) has sought to improve the quality of data collection by decommissioning low-value data returns and simplifying reporting requirements through its Transforming Data Collection Programme.
• HMT, the FCA and the Prudential Regulation Authority (PRA) consulted on changes regarding the Senior Managers and Certification Regime and are considering responses.
• HMT is considering its response to its recent consultation on Financial Ombudsman Service reforms and intends to bring forward legislation in relation to this.
• HMT has announced that it will consolidate the anti-money laundering/counter-terrorist financing supervisory functions of 22 professional services supervisory bodies and that the FCA will assume responsibility for this.
• The FCA and PRA have committed to new authorisations targets.
• The FCA has now written to the Chancellor setting out actions to address concerns and a timeline for delivery in relation to the Consumer Duty.
• A new public regulator dashboard will allow businesses to review how regulators are performing.