The Financial Conduct Authority’s (FCA) executive director of international has said that “there is more change to come” in financial services regulation, following two major reviews into the sector.
Speaking at the City & Financial Global’s Future of UK Financial Services Regulation Virtual Summit, Nausicaa Delfas (pictured), executive director of international, interim chief operating officer and executive director of international at the FCA, welcomed Lord Hill’s review of the UK Listings Regime and Ron Kalifa’s review of UK fintech.
The review into the UK Listings Regime recommended changes designed to increase the attractiveness of UK listings for special purpose acquisition companies (SPACs).
The Kalifa Review said increased government support, growth funding and regulatory sandboxes could lead the UK to the top of the global fintech league table.
“Both are areas where the UK has rightly earned a global reputation for quality and innovation,” said Delfas.
“The work to bring these reviews to life has already begun and, following the recommendation of Lord Hill’s review, we have confirmed that we will be consulting on the regime for SPACs, including how they could work with appropriate safeguards. There is more change to come.”
Delfas also said the City regulator will continue to work with international colleagues to shape global standards, to work towards regulatory convergence and co-operation on cross border issues.
She said that the FCA is working with regulators across Europe and in the US.
The City regulator has signed memoranda of understanding with regulators across Europe, provided advice to the Treasury as part of its agreement on the UK–EU memorandum of understanding and is closely involved in the negotiations for a Mutual Recognition Agreement with Switzerland, Delfas said.
“We have also been working closely with our US counterparts to ensure UK firms’ access to US markets continues and is strengthened, where possible,” Delfas added.
Delfas went on to say that the UK continues to be “at the heart of global standard setting work”.
“Our participation in these organisations and their committees, often in leadership roles, allows us to promote consistent, beneficial outcomes for all types of consumers and market participants. This helps support the system of open, global markets,” she said.
Delfas also said the FCA welcomes being asked to formally integrate the goal of moving to a net zero economy in the UK by 2050, into the way that it regulates and one way it is supporting these efforts is through fostering transparency, by promoting good disclosures along the investment chain.