Welcome to the Regulation Round Up, a regular bulletin highlighting the latest developments in UK and EU financial services regulation.

Key developments in November 2024:

29 November

Financial Crime: The Financial Conduct Authority (“FCA”) published a policy statement (PS24/17) setting out changes to its Financial Crime Guide.

FCA Handbook: The FCA published Handbook Notice 124, which sets out changes to the FCA Handbook made by the FCA board.

Financial Stability: The Bank of England published the Financial Stability Report for November 2024 and the financial policy summary and record of the meeting of its Financial Policy Committee (“FPC”) on 15 November 2024.

27 November

MiFID: The FCA published a consultation paper (CP24/24) on UK Commission Delegated Regulation (EU) 2017/565 (the “MiFID Organisational Regulation”). In the consultation, the FCA seeks views on its proposals to transfer the firm‑facing requirements of the MiFID Organisational Regulation into FCA Handbook rules.

FCA Strategy: The FCA published a speech by Emily Shepperd, FCA Chief Operating Officer, on the FCA’s strategy for 2025 to 2030.

26 November

Cryptocurrency: The FCA published an indicative roadmap setting out its proposed policy publications for cryptoassets and their anticipated content, alongside its latest consumer research that analyses cryptoasset holdings in the UK and consumers’ understanding, attitudes and behavioural patterns towards them.

Remuneration: The FCA and the PRA jointly published a consultation paper (FCA CP24/23 / PRA CP16/24) on remuneration reform.

25 November

Cryptocurrency: Tulip Siddiq, Economic Secretary to the Treasury, gave a speech in which she confirms that the government will proceed with proposals to bring certain activities relating to cryptoassets and stablecoins within the regulatory perimeter.

22 November

Retail Investor Disclosures: The Packaged Retail and Insurance‑based Investment Products (Retail Disclosure) (Amendment) Regulations 2024 (SI 2024/1204) have been made and published on legislation.gov.uk.

Non‑Bank Financial Intermediation: ESMA published its response to the European Commission’s targeted consultation on macro‑prudential policies for non‑bank financial intermediaries.

21 November

Motor Finance: The FCA published a consultation paper (CP24/22) on further temporary changes to handling rules for motor finance complaints.

Artificial Intelligence: The Bank of England and the FCA have published a report of the findings from their third survey on AI and machine learning in UK financial services.

19 November

EMIR 3: The Council of the EU published a press release announcing its adoption of the revised European Markets Infrastructure Regulation (2022/0404) and the related Directive amending various directives on the treatment of concentration risk towards central counterparties and the counterparty risk on centrally cleared derivative transactions (“EMIR 3”).

ESG: The Council of the EU published a press release announcing that it has adopted the Regulation on the transparency and integrity of ESG rating activities (2023/0177(COD)). Please refer to our dedicated article on this topic here.

18 November

Financial Stability: The Financial Stability Board (“FSB”) published its 2024 annual report on promoting global financial stability, which has been delivered to the G20.

FCA’s ‘Co‑Manufacturer’ Classification: There have been reports that the FCA classified FNZ, a prominent wealth management platform provider, as a ‘co‑manufacturer’ of financial products. Please refer to our dedicated article on this topic here.

15 November

Mansion House Speech 2024: Rachel Reeves, Chancellor of the Exchequer, has delivered her 2024 Mansion House speech, outlining the government’s plans for the financial services sector. Please refer to our dedicated articles on this topic here and here.

FCA and PRA Remit: HM Treasury published letters (here and here) setting out the remit, recommendations and priorities for the FCA and PRA for the current Parliament.

MiFID: HM Treasury published a policy paper setting out its next steps for reforming the UK MiFID framework.

ESG: HM Treasury published a consultation on the UK green taxonomy.

ESG: HM Treasury published its formal response to its consultation on a future regulatory regime for ESG rating providers, with a draft version of the legislation that will bring ESG rating providers within the regulatory perimeter under the Financial Services and Markets Act 2000 (“FSMA”).

14 November

Artificial Intelligence: The FSB published a report on the financial stability implications of AI.

Retail Investor Disclosures: ESMA and the European Insurance and Occupational Pensions Authority issued a joint letter to the European Commission, the Council of the EU and the European Parliament on the legislative proposals for the retail investment strategy, consisting of the proposed Directive on retail investment protection and the proposed Regulation amending the PRIIPs Regulation (1286/2014).

13 November

ESG: The European Commission published frequently asked questions on sustainability reporting under the Corporate Sustainability Reporting Directive ((EU) 2022/2464) and the Sustainable Finance Disclosure Regulation ((EU) 2019/2088). Please refer to our dedicated article on this topic here.

11 November

Post‑Brexit Reform: Draft versions of the Financial Services and Markets Act 2000 (Designated Activities) (Supervision and Enforcement) Regulations 2024 (“DA Regulations”) and the Short Selling Regulations 2024 (“SSR Regulations”) were published (here and here). The DA Regulations and SSR Regulations relate to the designated activities regime under FSMA, part of the UK’s post‑Brexit reform to its financial services regime.

ESG: The Financial Reporting Council published a consultation with significant updates proposed to the UK Stewardship Code. Please refer to our dedicated article on this topic here.

FCA Enforcement: The FCA published a statement on the outcome of its enforcement regulatory disclosure review.

7 November

FSMA 2023: The Financial Services and Markets Act 2023 (Consequential Amendments) Regulations 2024 (SI 2024/1115) (“FSMA 2023”) were published together with an explanatory memorandum.

MiFIR: The FCA published issue 81 of Market Watch in which it sets out recent observations from its supervision of the Markets in Financial Instruments Regulation (600/2014) (“MiFIR”) transaction reporting regime.

6 November

ESG: The FCA’s Climate Financial Risk Forum published a paper on “Nature‑related Risk: Technical Data Guidance for Financial Institutions.” Please refer to our dedicated article on this topic here.

5 November

Investment Research: The FCA published a consultation paper (CP24/21) on investment research payment optionality for fund managers.

Artificial Intelligence: The FCA published a new webpage on its AI Input Zone, an online feedback platform which is a component of its AI Lab, seeking views on the future of AI in financial services.

4 November

Tokenisation: A Project Guardian report on tokenisation in the asset management sector was published.

1 November

ESG: The FCA published a document providing pre‑contractual disclosure examples relating to its sustainability disclosure requirements (“SDR”) and investment labelling regime. Please refer to our dedicated article on this topic here.

FCA Handbook: The FCA published Handbook Notice 123, which sets out changes to the FCA Handbook made by the FCA board on 29 October, 2024.

FCA / PRA Change in Control: The FCA published finalised guidance (FG24/5) on prudential assessment of acquisitions and increases in control. The PRA also published a joint PRA‑FCA policy statement (PS18/24) on prudential assessment of acquisitions and increases in control. Please refer to our dedicated article on this topic here.

Posted in UK/EU Financial Regulation
Tags: Financial Regulation, Regulation Round Up
Print:
Email this postTweet this postLike this postShare this post on LinkedIn
Photo of John Verwey John Verwey

John Verwey is a partner in the Private Funds Group. John advises on a wide number of regulatory issues at a national UK and European level, including firm authorisations, appointed representative arrangements, change in control, market abuse. He represents a variety of clients…

John Verwey is a partner in the Private Funds Group. John advises on a wide number of regulatory issues at a national UK and European level, including firm authorisations, appointed representative arrangements, change in control, market abuse. He represents a variety of clients that range from small start-up fund managers to established global fund advisers and managers.

A particular area of focus for John is Alternative Investment Fund Managers Directive (AIFMD) and Markets in Financial Instruments Directive II (MiFID II).  This includes advising on pre-marketing and marketing strategies for fund managers, advising on the Level One and Lever Two requirements under AIFMD and implementing UK rules and legislation, and advising on the organizational and conduct of business requirements under MiFID II.

Read more about John Verwey
Show more Show less
Photo of Andrew Wingfield Andrew Wingfield

Andrew Wingfield is an M&A partner and member of the Private Capital Team.

Andrew undertakes a broad range of domestic and cross-border corporate and commercial work for both corporate and private equity clients, advising on acquisitions and disposals, joint ventures, mergers and public…

Andrew Wingfield is an M&A partner and member of the Private Capital Team.

Andrew undertakes a broad range of domestic and cross-border corporate and commercial work for both corporate and private equity clients, advising on acquisitions and disposals, joint ventures, mergers and public takeovers, flotations and equity capital markets and private equity investment.

Andrew is called upon by financial institutions, private equity houses, management and corporates to lead on complex and high-value transactions. Andrew has a very strong financial institutions practice and has been recognized by Chambers UK and Legal 500 in recent years as the “go-to regulatory M&A lawyer” for regulated institutions such as banks, lenders, payment providers, insurance companies, wealth managers or other financial institutions transactions.

In addition, Andrew is widely recognized as a leading M&A and private equity lawyer. In Chambers UK, Andrew has been noted as “dynamic and commercial” and for providing “tailored, practical advice.” A client told Legal 500, “Andrew Wingfield – best lawyer I ever worked with. Super helpful, goes extra mile where needed.”

Read more about Andrew Wingfield
Show more Show less
Photo of Richard Bull Richard Bull

Richard Bull is a partner in the Corporate Department and a member of our Private Equity and Mergers & Acquisitions Groups.

Richard advises on a wide range of corporate work, including M&A, private investments, corporate venturing, joint ventures and corporate restructurings. Richard has…

Richard Bull is a partner in the Corporate Department and a member of our Private Equity and Mergers & Acquisitions Groups.

Richard advises on a wide range of corporate work, including M&A, private investments, corporate venturing, joint ventures and corporate restructurings. Richard has extensive experience of acting on private equity, growth and expansion capital transactions of all types and sizes for sponsors and management teams, both of a domestic and international nature, with a particular focus in the financial services and technology industries.

Richard is described by Legal 500 “as one of the most capable PE lawyers in the market” and “truly excellent.” Richard was also identified by a survey of private equity sponsors undertaken by The Lawyer as one of the top private equity lawyers based in London, and as a highly regarded private equity and M&A lawyer by IFLR 1000.

Read more about Richard Bull
Show more Show less
Photo of Oliver R. Howley Oliver R. Howley

Oliver Howley is a partner in Proskauer’s Technology, Media & Telecommunications Group. He is a trusted advisor to businesses in the technology, manufacturing, sports and financial services sectors, providing valued input on IP, technology and data-related strategies and transactions.

Oliver is a multi-specialist…

Oliver Howley is a partner in Proskauer’s Technology, Media & Telecommunications Group. He is a trusted advisor to businesses in the technology, manufacturing, sports and financial services sectors, providing valued input on IP, technology and data-related strategies and transactions.

Oliver is a multi-specialist, with a day-to-day practice covering commercial contracts, IP, technology and data protection work. He regularly advises on the structuring and terms of contracts relating to the creation, licensing and monetisation of technology and data products, with a particular focus on machine learning and artificial intelligence systems. He also has extensive experience in advising on the IP, technology, data and carve-out aspects of corporate transactions (including joint ventures, acquisitions, disposals and investments) and on sponsorship, image rights and endorsement deals in the sports sector.

Oliver has been recognized as a “Rising Star” in The Legal 500 for consecutive years. Recent professional directories note that “no matter how complex the landscape, no detail escapes [Oliver’s] attention” and that his “logical… and forensic analytical approach make him a force to be reckoned with”. He also receives praise for his commercial contracts work and “niche in robotics and artificial intelligence”.

Read more about Oliver R. Howley
Show more Show less
Photo of Mary Wilks Mary Wilks

Mary Wilks is an antitrust partner in the Corporate Department and a member of our Private Equity Transactions and Mergers & Acquisitions Groups.

Mary advises on a broad range of EU and UK competition law issues, including multijurisdictional mergers, behavioral investigations, complex supply…

Mary Wilks is an antitrust partner in the Corporate Department and a member of our Private Equity Transactions and Mergers & Acquisitions Groups.

Mary advises on a broad range of EU and UK competition law issues, including multijurisdictional mergers, behavioral investigations, complex supply and distribution arrangements, and foreign investment controls including, notably, the UK’s newly adopted National Security and Investment Act. She advises clients on the competition aspects of transactions including M&A, equity investments, consortium transactions and secondaries.

Mary works across all sectors, with particular experience in consumer products, healthcare, TMT and financial services.

Mary regularly counsels clients on their engagement with the Competition and Markets Authority, the European Commission, and other prominent international enforcement agencies and regulatory authorities.

Mary Wilks has a reputation as an “excellent lawyer” who “plays a leading role on a range of high-profile cases.” According to sources, “She is always fully on top of the detail but also able to pull out the most important points for the case.”

Prior to joining Proskauer, Mary was a counsel in the antitrust, competition and trade department at another leading law firm in London.

Read more about Mary Wilks
Show more Show less
Photo of Rachel Lowe Rachel Lowe

Rachel E. Lowe is a special regulatory counsel in the Corporate Department and a member of the Private Investment Funds Group.

Rachel advises on financial services regulation specializing in sustainable finance and ESG regulation. She has particular expertise in drafting and advising on…

Rachel E. Lowe is a special regulatory counsel in the Corporate Department and a member of the Private Investment Funds Group.

Rachel advises on financial services regulation specializing in sustainable finance and ESG regulation. She has particular expertise in drafting and advising on the Sustainable Finance Disclosure Regulation (SFDR) and the Taxonomy Regulation. Rachel has also supported with EU MiFID and AIFMD sustainability updates for clients, including from a governance and organizational perspective, as well as providing drafting and training support. She also advises on the Corporate Sustainability Reporting Directive (CSRD), including analysis of its applicability for large international group structures.

From a UK perspective, Rachel supports clients with the TCFD-related requirements in the Financial Conduct Authority’s ESG Sourcebook and is increasingly engaged on the UK’s Sustainability Disclosure Requirements (SDR).

More broadly, Rachel has worked with litigation colleagues to assist clients with understanding and mitigating greenwashing-related legal and regulatory risk.

Read more about Rachel Lowe
Show more Show less
Photo of Amar Unadkat Amar Unadkat

Amar Unadkat is a special regulatory counsel in the Private Funds Group and a member of the firm’s Private Capital industry group.

Amar advises on a variety of UK and European financial services regulatory and compliance matters, both in the investment funds space…

Amar Unadkat is a special regulatory counsel in the Private Funds Group and a member of the firm’s Private Capital industry group.

Amar advises on a variety of UK and European financial services regulatory and compliance matters, both in the investment funds space and also on regulatory M&A transactions.

Amar regularly advises his clients on issues relating to the Alternative Investment Fund Managers Directive (“AIFMD”), the second Markets in Financial Instruments Directive (“MiFID II”), as well as the latest ESG developments. Amar also focusses on UK regulatory compliance matters, including the FCA’s change of control regime, the appointed representative regime and the Senior Managers & Certification Regime.

Amar’s clients include private equity firms, investment managers and advisers, firms in the FinTech space, wealth management businesses, banks and sovereign wealth funds.

Amar has been recognised as a “key lawyer” in the Legal 500 UK 2024, noted by clients for his pragmatic and commercial approach.

Read more about Amar Unadkat
Show more Show less
Photo of Sulaiman Malik Sulaiman Malik

Sulaiman Malik is an associate in the Corporate Department and a member of the Private Funds Group.

Sulaiman advises clients on a range of UK and international financial regulation. He advises private equity funds, hedge funds, sovereign wealth funds and other asset managers…

Sulaiman Malik is an associate in the Corporate Department and a member of the Private Funds Group.

Sulaiman advises clients on a range of UK and international financial regulation. He advises private equity funds, hedge funds, sovereign wealth funds and other asset managers, as well as banks, FinTechs, broker-dealers and governments.

Prior to joining Proskauer, Sulaiman trained at Simmons & Simmons in London, where he was seconded to Brevan Howard. He has also spent time at the UK’s Ministry of Justice and as an adviser to the Mayor of Brisbane, in Australia.

Sulaiman is a passionate advocate for diversity and inclusion. He previously worked at Rare, a market-leading diversity consultancy, and provides pro bono legal advice to a range of community and civil rights organizations.

Read more about Sulaiman Malik
Show more Show less
Photo of Michael Singh Michael Singh

Michael is an associate in the Private Funds Group in the Corporate Department.

Michael advises clients on a variety of regulatory issues both from a UK and European perspective. He also helps clients on fund related transactions. His clients include private equity firms…

Michael is an associate in the Private Funds Group in the Corporate Department.

Michael advises clients on a variety of regulatory issues both from a UK and European perspective. He also helps clients on fund related transactions. His clients include private equity firms, investment managers, FinTech companies and wealth management businesses.

He is dual-qualified as a German lawyer (“Rechtsanwalt”) and Solicitor of England and Wales and previously was in-house counsel at Deutsche Bank.

Read more about Michael Singh
Show more Show less
Related Posts
EU Taxonomy developments: EU Platform on Sustainable Finance call for feedback on draft report on new activities and updated technical screening criteria
January 10, 2025
Regulation Round Up
January 6, 2025
Sustainability-related disclosures for all funds proposed by EU Platform on Sustainable Finance
December 19, 2024