Chancellor makes Mansion House Speech: In this year's Mansion House speech, key announcements were:

  • the Fair and Effective Markets Review, a comprehensive review of standards in the fixed income, currency and commodity markets, commissioned by Treasury, BoE and FCA and chaired by the new Deputy Governor, and former Deputy Managing Director of the IMF, Minouche Shafik, with Martin Wheatley and Charles Roxburgh. It will have the support of a  panel of market practitioners, chaired by Elizabeth Corley. The Review will produce its report in a year’s time;
  • an extension of the powers to regulate LIBOR to cover further major benchmarks across foreign exchange, commodity and fixed income markets. Treasury plans to publish and consult on the full list of benchmarks to be covered by the autumn, and to put a new regime in place by the end of the year;
  • an extension the senior managers regime to cover all banks that operate in the UK, including the branches of foreign banks; and
  • the introduction of new domestic criminal offences for market abuse, confirming the UK's decision not to opt into the EU Directive for Criminal Sanctions on Market Abuse (CSMAD).

He also discussed financial stability and regulatory powers, with particular reference to the housing markets. The Chancellor has already written to PRA and FCA explaining the Government's plans to extend the senior manager regime, and FCA has confirmed there will be a joint consultation from PRA and FCA later this year on the regime. (Source: Chancellor Makes Mansion House Speech)

Treasury publishes financial markets review ToR: Treasury has published the Terms of Reference (ToR) of its Fair and Effective Markets Review. The review will focus on fixed-income, currency and commodity markets, including associated derivatives and benchmarks. It will cover trading practices and drivers of behaviour (including incentives and market structures) and consider how to regulate currently unregulated markets or activities. Regarding the latter, the review will recommend, as an interim deliverable, which benchmarks should be brought within the scope the existing UK regulation. The other outputs of the review (in the form of recommendations on governance principles, reforms, oversight tools and extending the regulatory perimeter) will be presented by June 2015. The review will be mindful of the extent to which recent and ongoing regulatory reform already addresses the areas of concern. (Source: Fair and Effective Financial Markets Review)

Treasury publishes CFT report: Treasury has published its 13th annual report on countering the financing of terrorism (CFT). The report sets out the action Treasury has taken under the various pieces of legislation that comprise the CFT regime, including designations, revocation of designations and licensing. (Source: Treasury Publishes CFT Report)

Treasury updates sanctions: Treasury has updated the sanctions lists in relation to Al Qaida. (Source:Treasury Updates Sanctions)