On 16 June 2011 HM Treasury published its White Paper on financial regulation, “A new approach to financial regulation: the blueprint for reform”. This builds on the previous consultation, “A new approach to financial regulation: building a stronger system”, published in February 2011.

Under the new regime, responsibility for the listing regime will lie with the Financial Conduct Authority (FCA). The United Kingdom Listing Authority (UKLA) will be part of the FCA and so the FCA will continue the FSA’s role as the competent authority for listing. The February consultation put forward various technical measures to strengthen the listing regime. These include a new power for the FCA to require an issuer to appoint a “skilled person” to prepare a report on a matter on which the UKLA could require information to be provided – thus in effect requiring the issuer to pay for an investigation into itself. A number of respondents to the February consultation expressed their concerns about this, viewing it as potentially burdensome rather than deregulatory. However, the Government intends to press ahead with implementing this proposal and making other technical changes to Part 6 of the FSMA which it believes will strengthen the listing regime.

The closing date for comments on the White Paper is 8 September 2011.

UK Financial Regulation – links

The White Paper is here

The accompanying press release is here

Our briefing, “Financial regulation reform – a blueprint” is here