Welcome to the UK Regulation Round Up, a regular
bulletin highlighting the latest developments in UK and EU
financial services regulation.
Key Developments in April 2025:
29 April
ESG: The FCA updated itswebpageon its
consultation paper on extending the sustainability disclosure
requirements (“SDR“) and investment
labelling regime to portfolio managers (CP24/8). In the light of
feedback received, it has decided that it is not the right time to
finalise rules on extending the regime to portfolio managers.
Cryptoassets: The European Securities and
Markets Authority (“ESMA“) published its final
report on guidelines relating to supervisory practices for national
competent authorities to prevent and detect market abuse under
Article 92(2) of the Regulation on markets in cryptoassets ((EU)
2023/1114).
24 April
Regulatory Capital: The FCA has published a consultation paper on the
definition of capital for investment firms (CP25/10). CP25/10
outlines the FCA’s proposals to simplify and consolidate the
rules as they relate regulatory capital.
17 April
Listing Regime: The FCA has published Primary Market
Bulletin No 55 which addresses proposed changes to the listing
regime.
16 April
ESG: The Omnibus I Directive (EU) 2025/794
amending Directives (EU) 2022/2464 and (EU) 2024/1760 as regards
the dates from which member states are to apply certain corporate
sustainability reporting and due diligence requirements was
published in the
Official Journal of the European Union. Please refer to our
dedicated article on this topic here.
15 April
AIFMD 2.0: ESMA has published final reports
setting out the final guidelines and draft technical standards on
liquidity management tools under the Directive amending the
Alternative Investment Fund Managers Directive (2011/61/EU)
(“AIFMD“) and the UCITS Directive
(2009/65/EC) ((EU) 2024/927) (“AIFMD
2.0“). Please refer to our dedicated article on this
topic here.
14 April
Regulatory Initiatives Grid: The Forum members
(the Bank of England, the Prudential Regulatory Authority, the FCA,
the Payment Systems Regulator, the Competition and Markets
Authority, the Information Commissioner’s Office, the Pensions
Regulator, and the Financial Reporting Council) published a joint
regulatory initiatives grid relevant to the financial services
sector.
11 April
FCA Regulatory Perimeter: HM Treasury has
published a policy paper
containing a record of the meeting between the Economic Secretary
to the Treasury and the Chief Executive of the FCA. The purpose of
the meeting was to discuss the FCA’s perimeter and the issues
set out in its December 2024 report.
Trading Platforms: The FCA has published a webpage
summarising the findings from its multi-firm review of trading apps
(also more commonly known as “neo-brokers”).
10 April
ESG: ESMA has published a risk
analysis report on the increased incorporation of ESG terms into
fund names and its impact on investment flows.
MiFID II: ESMA has published a final report
on regulatory technical standards supplementing the Markets in
Financial Instruments (“MiFID II“)
Directive (2014/65/EU) to specify the criteria for establishing and
assessing the effectiveness of investment firms’ order
execution policies.
9 April
Artificial Intelligence: The Financial Policy
Committee published areport on artificial
intelligence in the financial system.
ESG: ESMA has published a final report
setting out its analysis and conclusions on a common supervisory
action exercise conducted with the national competent authorities
on ESG disclosures under the Benchmarks Regulation ((EU)
2016/1011).
8 April
MiFID II: ESMA has published a
final report containing technical advice to the European Commission
on amendments to the research provisions in the MiFID II Directive
in the context of changes introduced by the Listing Act
(ESMA35-335435667-6290).
FCA Strategy: The FCA has
published it annual work programme for 2025/26, which
sets out how it will deliver its four strategic priorities (to be a
smarter regulator that is more efficient and effective, supporting
growth, helping consumers navigate their financial lives and
fighting financial crime).
7 April
UK AIFMD: The FCA has published a call for
input and HM Treasury has published a consultation
on the future regulation of alternative investment fund
managers. Please refer to our dedicated article on this topic
here.
3 April
ESG: The European Parliament plenary session
formally adopted at first reading the stop-the-clock
proposal for a Directive amending Directives (EU) 2022/2464 and
(EU) 2024/1860 with respect to the dates from which member states
are expected to align to corporate sustainability reporting and due
diligence requirements.
ESG: The FCA has published a
summary of the feedback it has received in relation to its
discussion paper on finance for positive sustainable change
(DP23/1) together with its response and next steps. Please refer to
our dedicated article on this topic here.
1 April
Short Selling: The FCA published an updated
version of its webpage on the notification and
disclosure of net short positions.
Motor Finance: The FCA has
published its written submissions to the Supreme Court
in the appeal of the Court of Appeal decision in Johnson v
FirstRand Bank Ltd (London Branch) t/a Motonovo Finance [2024] EWCA
Civ 1282.
ESG: The EU Platform on Sustainable Finance has
published a report on
its first review of the Taxonomy Climate Delegated Act and the
development of technical screening criteria for a list of new
economic activities.
Regulation Round Up April 2025
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