IMF has reported on its review of the UK. It notes significant improvements in the regulatory framework, but also highlights risks to financial stability of interconnectedness. It also welcomed the steps towards orderly resolution but says more needs to be done. It noted also the need for a robust and intrusive approach to prudential regulation going forwards, and the importance of addressing the increasing tendency to derisk. It also noted the uncertainty financial institutions and the markets would face if the UK were to leave the EU. (Source: IMF reports on UK)