United Kingdom (and EU regulation)

BoE Policy Statement: Fees regime for FMI supervision 2021/22

On 18 October 2021, the Bank of England (BoE) published a Policy Statement providing feedback to the responses to its earlier consultation paper setting out proposed supervisory fees for financial market infrastructure (FMI) for 2021/22.  The BoE also sets out the FMI fees for 2021/22 with total FMI fees expected to be £10.6 million. The … Continue Reading

Episode 11 of the Regulation Tomorrow Podcast is out now

The latest episode of the Regulation Tomorrow Podcast is out now to stream and download. In this episode we hear from Celia Cohen in New York who discusses privilege, particularly in the context of internal investigations; Joe Smallshaw and Catherine Pluck discuss the Frensham case and how the FCA treats non-financial misconduct; and Lisa Lee … Continue Reading

Letter from Charles Randell, FCA and PSR Chair, to Rishi Sunak, Chancellor

On 15 October 2021, the FCA published a press release regarding Charles Randell stepping down as chair of the Financial Conduct Authority (FCA) and Payment Systems Regulator (PSR) in spring 2022. Charles Randell has sent a letter to Rishi Sunak, Chancellor of the Exchequer asking him to begin the process of appointing his successor. During … Continue Reading

UNEP FI first collective progress report on the UN Principles for Responsible Banking

On 15 October 2021, the United Nations’ Environment Programme Finance Initiative (UNEP FI) published its first collective progress report on the implementation of the Principles for Responsible Banking (PRB). The PRB commit signatories to aligning their business strategies with the Sustainable Development Goals and the Paris Climate Agreement. Since the launch of the PRB in … Continue Reading

The Packaged Retail and Insurance-based Investment Products (UCITS Exemption) (Amendment) Regulations 2021

On 15 October 2021, there was published on legislation.gov.uk The Packaged Retail and Insurance-based Investment Products (UCITS Exemption) (Amendment) Regulations 2021 together with an explanatory memorandum. These Regulations come into force on 31 December 2021. They extend an existing legal exemption for management and investment companies and persons advising on, or selling, UCITS funds from … Continue Reading

EBA points to still elevated benchmark rate transition risks

On 14 October 2021, the European Banking Authority (EBA) published a thematic note on the transition risks of benchmark rates, as LIBOR (the London International Offered Rate) and EONIA (the Euro Overnight Index Average) are being phased out. Key points in the thematic note include: EU banks reported significant derivatives and loan exposures linked to … Continue Reading

TCFD status report for 2021

  On 14 October 2021, the Financial Stability Board’s (FSB) Task Force on Climate-related Financial Disclosures (TCFD) issued a status report for 2021. The status report provides an update on key TCFD-related developments and initiatives as well as the results of the TCFD’s annual review of climate-related reporting. The status report also contains key findings … Continue Reading

FCA speech – Partnerships, priorities and predictions for the future in the pensions market

On 14 October 2021, the Financial Conduct Authority (FCA) published a speech by its new Executive Director for Markets, Sarah Pritchard, in which she discusses the key themes for the FCA which are, partnership, priorities and future predictions. The speech is entitled ‘Partnerships, priorities and predictions for the future in the pensions market’. The FCA … Continue Reading

EBA repeals its guidelines on the security of internet payments under the PSD1

On 14 October 2021, the European Banking Authority (EBA) repealed its guidelines on the security of internet payments. These guidelines were issued prior to the revised Payments Services Directive (PSD2) in 2016 and have been replaced by the PSD2 and the related EBA instruments developed in support of it. The EBA issued the guidelines in … Continue Reading

Basel Committee progress report on the adoption of the Basel regulatory framework

On 14 October 2021, the Basel Committee on Banking Supervision (BCBS) issued a progress report on the adoption of the Basel regulatory framework. Basel III was developed by BCBS as an internationally agreed set of measures in response to the global financial crisis of 2007-2009. The measures within the regulatory framework aim to strengthen the … Continue Reading

FCA PS21/13: LIBOR transition and the derivatives trading obligation

On 15 October 2021, the FCA published Policy Statement 21/13: LIBOR transition and the derivatives trading obligation (PS21/13). PS21/13 follows Consultation Paper 21/22: LIBOR transition and the derivatives trading obligation. In PS21/13 the FCA sets out its finalised amendments to the UK Regulatory Technical Standards (RTS) on the derivatives trading obligation (DTO) (onshored Commission Delegated … Continue Reading

PRA Policy Statement 22/21: Implementation of Basel standards: Final rules

On 14 October 2021, the Prudential Regulation Authority (PRA) published Policy Statement 22/21 ‘Implementation of Basel standards: Final rules’ (PS22/21). In Policy Statement 17/21 ‘Implementation of the Basel Standards’ (PS17/21), the PRA set out its feedback to responses and the resulting near-final policy following Consultation Paper 5/21 ‘Implementation of Basel standards’ which was published in … Continue Reading

BoE speech – Is ‘crypto’ a financial stability risk?

On 13 October 2021, Sir John Cunliffe, Deputy Governor for Financial Stability at the Bank of England, gave a speech discussing the financial stability risk posed by crypto. Crypto is the underlying technology – the application of cryptographic innovation to the recording and to the transfer of the ownership of assets, often on public networks … Continue Reading

FSB publishes targets for enhancing cross-border payments

On 13 October 2021, the Financial Stability Board (FSB) published a press release announcing the publication of its first consolidated progress report covering the progress made during the first year of the G20’s Roadmap for Enhancing Cross-border Payments. The report highlights that most of the milestones set by the Roadmap for 2021 have been completed … Continue Reading

RT Plus Evolution and Divergence Series – Episode 2 on equities is out now

The second episode in our special RT Plus series, Evolution and Divergence: Markets in the EU and UK, is out now to download and stream. In this mini-series, we are examining the evolution of the markets regime in both the UK and EU, drawing out any divergences are likely to emerge. In this episode, Jonathan … Continue Reading

House of Commons’ briefing paper – statistics on access to cash, bank branches and ATMs

On 12 October 2021, the House of Commons published a briefing paper titled, ‘Statistics on access to cash, bank branches and ATMs’. This briefing paper is comprised of statistics on cash use, access to cash, bank and building society branches, post offices and ATMs. Some of the headlines from the briefing paper include: Digital payments … Continue Reading

ESMA final report on technical standards on content and format of the STS notification for on-balance sheet securitisations

On 12 October 2021, the European Securities and Markets Authority (ESMA) published a final report on technical standards specifying the content and format of the simple, transparent and standardised (STS) securitisation notification for on-balance sheet securitisations. Regulation (EU) 2021/557 amended the framework under the Securitisation Regulation (SECR) to on-balance sheet securitisations (also called synthetic securitisations). … Continue Reading

FCA sends ‘Dear CEO’ letter to Lloyd’s and London Market firms highlighting six potential harms

FCA sends ‘Dear CEO’ letter to Lloyd’s and London Market firms highlighting six potential harms The Financial Conduct Authority (FCA) has published a ‘Dear CEO’ letter written by Charlotte Cross, Head of Department, Wholesale Insurance, to the Lloyd’s and London Market portfolio of firms. The portfolio letter sets out six areas of harm that Lloyd’s … Continue Reading

FCA issues Warning Notices against three individuals for involvement in alleged pension scam

On 30 September 2021, the FCA published a Warning Notice Statement (21/2) in respect of Warning Notices that it had issued to three unnamed individuals on 10 August 2021 relating to their involvement in what the FCA describes as a pension scam. The FCA explained in the Warning Notice Statement that it considers that these … Continue Reading

New FCA webpage – Remote or hybrid working expectations for firms

On 11 October 2021, the FCA published a new webpage concerning remote or hybrid working expectations for firms. The expectations on the webpage apply to existing firms, firms applying to be regulated and firms proposing to submit further applications, such as a waiver, variation of permission, change of control etc. In relation to existing firms … Continue Reading

Payments Landscape Review – response to the call for evidence

On 11 October 2021, the government published its response to the call for evidence to the 2020 Payments Landscape Review. The call for evidence was the first stage in the HM Treasury led review of the UK’s payments landscape which was announced in June 2019. The response sets out the government’s aims for payments networks … Continue Reading

PSR PS21/2: Consumer protection in interbank payments – response to CP21/4

On 11 October 2021, the Payment Systems Regulator (PSR) published Policy Statement 21/2: Consumer protection in interbank payments – response to CP21/4 (PS21/2). In February 2021, the PSR published a call for views on consumer protection in interbank payments (Consultation Paper 21/4: Consumer protection in interbank payments (CP21/4)). In CP21/4 the PSR set out its … Continue Reading

FSB report – Policy proposals to enhance money market fund resilience

On 11 October 2021, the Financial Stability Board (FSB) published a report which forms a key part of its work programme on non-bank financial intermediation. The policy proposals in the report aim to address systematic risk and minimise the need for future extraordinary central bank interventions to support the sector alongside enhancing money market fund … Continue Reading
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