On 13 January 2025, the Financial Services and Markets Act 2000 (Ring-fenced Bodies, Core Activities, Excluded Activities and Prohibitions) (Amendment) Order 2025 (the Order) was made and published on legislation.gov.uk, along with an explanatory memorandum.
The Order implements reforms to the bank ring-fencing regime which are intended to improve its functionality. As set out in the explanatory memorandum, the amendments to the regime made by the Order seek to resolve unintended consequences of the original legislation, provide increased flexibility to banks within scope of the regime, exempt certain banks from the regime, and ensure it remains proportionate.
The Order comes into force on 4 February 2025 (as confirmed in a correction slip published on 15 January 2025).