Global Regulatory Brief: Trading and markets, May edition | Insights | Bloomberg Professional Services

UK launches call for evidence on Senior Managers and Certification Regime review

HM Treasury (HMT) has launched a call for evidence on the Senior Managers and Certification Regime (SM&CR) to guide future reform to the regime first introduced following the global financial crisis to improve the culture of the financial services sector. Among other things, HM Treasury’s call for evidence seeks feedback on whether the current regime delivers against its original aims, whether there are any specific areas of the SM&CR that respondents have concerns about or that might act as a deterrent to business locating in the UK, and the regime’s scope. HMT will work with the UK financial regulators to ensure that the legislative changes align with operational considerations. Indeed, the PRA and FCA published in parallel a discussion paper on the effectiveness, scope, and proportionality of the regulatory regime.

The review of the SM&CR comes as part of the UK Government’s “Edinburgh Reforms” designed to bolster the UK’s status as a global center for financial services. Comments are due by May 29, 2023.