UK: Regulation Round Up - June 2018

1 June

The Financial Conduct Authority ("FCA") published its quarterly consultation (CP18/14), proposing certain changes to the FCA rules.

The European Commission ("EC") published a Delegated Regulation it has adopted, which amends the Solvency II Delegated Regulation (2015/35) as regards the calculation of regulatory capital requirements for securitisations and simple, transparent and standardised securitisations held by insurers and reinsurers.

The EU Council published two Presidency compromise proposals (9582/18 and 9583/18) relating to the European Commission's legislative proposals on the cross-border distribution of collective investment funds. 

4 June

The Financial Stability Board ("FSB") published a press release and summary terms of reference relating to the launch of its third thematic peer review of resolution regimes.  Among other things, the review will:

  • highlight the range of practices and lessons of experience on bank resolution planning, including any challenges arising from implementation;
  • identify jurisdictions' approaches to resolution planning for systemically important banks, including how proportionality considerations are reflected in resolution planning for those banks; and
  • identify material inconsistencies or gaps that are common across jurisdictions and make recommendations to address them to promote effective implementation.

The Competition and Markets Authority ("CMA") updated its guidance on competition disqualification orders.

5 June

The FCA published a consultation paper on the proposals for rules and guidance on the regulation of claims management companies ("CMCs") (CP18/15). In particular, the FCA expects to become the regulator of CMCs established or serving customers in England, Wales and Scotland on 1 April 2019. The FCA intends to introduce a new sourcebook, the Claims Management: Conduct of Business sourcebook (CMCOB), containing rules that will apply specifically to CMCs.

The Basel Committee on Banking Supervision ("BCBS") published details of its work programme for 2018 and 2019. The work programme is structured around four themes:

  • policy development;
  • implementation;
  • supervision; and
  • monitoring and evaluation.

6 June

The FCA published a final notice issued to Canara Bank, fining it for anti-money laundering systems and controls failings and imposing a restriction on from accepting deposits for 147 days from the date of the notice. 

The Bank of England published a letter providing for the PRA's work on the Solvency II risk margin. 

The Bank of England published a consultation paper on the adoption of ISO 20022 for UK payment systems, prepared in conjunction with the New Payment System Operator ("NPSO") and the Payment Systems Regulator ("PSR"). The ISO 20022 messaging standard is a globally-developed methodology for transmitting data, designed to create consistent financial message standards for payments.

The European Securities and Markets Authority ("ESMA") published a speech by Verena Ross, ESMA Executive Director, on the role of regulation and supervision in developing a genuine European single financial market.

8 June

The FCA published a policy statement entitled "Sovereign Controlled Companies: Feedback to CP17/21 and Final Rules (PS18/11)", creating a fourth category of premium listing available to companies that have a sovereign controlling shareholder.

The Financial Stability Board ("FSB") published a consultation paper on recommendations for compensation data reporting to address misconduct risk in the financial services industry. The recommendations aim to assist national supervisory authorities, from all financial sectors, by enhancing their capacity to consider and monitor the effectiveness of compensation tools and other mechanisms in promoting good conduct and addressing misconduct risk. 

The European Securities and Markets Authority ("ESMA") published a new one-stop company portal, which enables investors to establish whether a financial service provider is authorised in the EU and provides certain information in relation to some firms.

11 June

The UK gained new powers to review transactions raising potential national security issues if the target business is active in the production of military or dual-use goods, computing hardware, or quantum technology for supply in the UK.  The government may intervene if the target business's UK turnover is as low as £1 million, or if the target business has a share of supply of goods or services within the relevant areas of at least 25%.

The CMA published Guidance on the changes to the jurisdictional thresholds for UK merger control.

The FCA published a "Dear CEO letter" to banks on how to handle the financial crime risks posted by crypto-assets. In the letter, the FCA defines crypto-assets as any publicly available electronic medium of exchange featuring a distributed ledger and a decentralised system for exchanging value (for example, Bitcoin or Ether). The FCA advises banks offering services to current or prospective clients who derive significant business activities or revenues from crypto-related activities that it may be necessary to enhance their scrutiny of these clients and their activities.

The Money Market Funds Regulations 2018 (SI 2018/698) were published (the "MMF Regulations"). The MMF Regulation enables the FCA to authorise MMFs and enforce the EU Regulation on Money Market Funds (2017/1131/EU) in the UK.

12 June

The Department for Digital, Culture, Media and Sport ("DCMS") published the government response to a report by an independent advisory group on growing a culture of social impact investing in the UK. The government is committed to driving this forward and the response set out its position on each of the key themes outlined in the report. 

The CMA published a consultation document on new draft guidance on the exceptions to the duty to refer mergers for in-depth Phase 2 investigations.

The CMA published a consultation document on its approach and requirements in the selection, design and implementation of remedies in Phase 1 and Phase 2 merger investigations.

The CMA published a consultation document on new draft guidance on interim measures in merger investigations.

The Council of the EU published a compromise proposal on the proposed Regulation on a pan-European personal pension product (2017/0143(COD)). This was subsequently updated on 14 June 2018.

The Payment Systems Regulator ("PSR") published a discussion paper (DP18/1) about how data is used in the payments industry.

13 June

The government published a letter (dated 7 June 2018) from John Glen, Economic Secretary to the Treasury, on legislative proposals for reforms to the European System of Financial Supervision, which were published in September 2017. 

The European Banking Authority ("EBA") published a consultation paper on draft guidelines on the implementation of the Delegated Regulation setting out regulatory technical standards on strong customer authentication and common and secure communication under the second Payment Services Directive (EU/2015/2366) ("PSD2"). 

The PRA published a policy statement on reporting the minimum requirement for own funds and eligible liabilities.

The Bank of England published a policy statement on its approach to setting a minimum requirement for own funds and eligible liabilities.

14 June

The FCA published a list of third-country supervisory authorities with which it has co-operation agreements that meet specific requirements as regards organisational requirements and operating conditions for investment firms.

15 June

The European Insurance and Occupational Pensions Authority ("EIOPA") published a speech setting out its top three priorities in view of the changing regulatory environment, in particular the implementation of the Solvency II Directive (2009/138/EC) in 2016.

The PRA published a policy statement and supervisory statement on algorithmic trading.

18 June

The EBA published its annual report 2017, in which it provided a detailed account of its work undertaken and its achievements for 2017, as well as including a section on its key areas of focus for 2018. 

The UK government published its final response to the Law Commission's report on pension funds and social investment.

19 June

The text of the fifth Money Laundering Directive (EU/2018/843) ("MLD5") was published in the Official Journal of the EU. MLD5 will enter into force on 9 July 2018, with EU Member States required to implement it by 10 January 2020.

The Bank of England published a policy statement on the fees regime for the supervision of financial market infrastructure.

The ICE Benchmark Administration published issue 5 of the London Interbank Offered Rate (LIBOR) code of conduct.

DotEcon published its review, commissioned by the CMA, on the direct impact, businesses' awareness, and the deterrent effect of 5 CA98 decisions by the CMA and its predecessor, the Office of Fair Trading ("OFT").

20 June

ESMA published a statement about legal entity identifier (LEI) requirements under the Markets in Financial Instruments Regulation (Regulation 600/2014) ("MiFIR").

The House of Lords Select Committee on the Bribery Act 2010 issued its call for evidence. The committee welcomes submissions on various questions set out on the call in relation to the operation of the Bribery Act 2010.

21 June

HM Treasury published a speech delivered by Philip Hammond, in which the Chancellor of the Exchequer comments on Brexit and financial services.

CMA published draft guidance for consultation on its investigation procedures in Competition Act 1998 cases.

22 June

The EBA published a consultation paper setting out draft guidelines in relation to outsourcing, to establish a more harmonised framework for outsourcing arrangements.

HM Treasury and the Bank of England published a memorandum of understanding on their financial relationship.

The FCA published a statement on the EBA's draft guidelines ad opinion under PSD2.

25 June

The EBA published an opinion on preparations for the withdrawal of the UK from the EU. 

The FCA published a feedback statement (FS18/1) to its June 2017 call for input on access to insurance.

26 June

The European Union (Withdrawal) Act 2018 received Royal Assent, meaning that work to prepare the UK's statute book for Brexit is set to begin.

The FCA published a consultation paper (CP18/6) setting out proposed changes to its complaints handling rules for authorised push payment fraud victims.

27 June

The FCA published a statement on its role in preparing for Brexit. HM Treasury also published a statement on its approach to financial services legislation under the European Union (Withdrawal) Act 2018, as did the Bank of England.

28 June

The PRA published a "Dear CEO" letter to banks, insurance companies and designated investment firms to remind them of the relevant obligations under the PRA rules, and to communicate the PRA's expectations regarding firms' exposure to cryptoassets.

The PRA published a policy statement on regulatory fees and levies for 2018/19.

The FCA published a consultation paper (CP18/17) proposing changes to its rules and guidance to address the harms and emerging issues identified by its retirement outcomes review in the non-advised drawdown market.

Regulation Round Up - June 2018

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

Similar Articles
Relevancy Powered by MondaqAI
In association with
Related Topics
Similar Articles
Relevancy Powered by MondaqAI
Related Articles
Related Video
Up-coming Events Search
Font Size:
Mondaq on Twitter
Mondaq Free Registration
Gain access to Mondaq global archive of over 375,000 articles covering 200 countries with a personalised News Alert and automatic login on this device.
Mondaq News Alert (some suggested topics and region)
Select Topics
Registration (please scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of

To Use you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.


The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.


Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions