FCA rings bell on new type of private stock market in growth boost

PISCES is a new type of platform where shares in private companies can be traded. It will open the door to more opportunities for investors, facilitating their access to growth companies. Private companies can tap into a broader range of investors and asset managers and PISCES offers exits for shareholders to sell up.

As companies choose to stay private for longer, there is demand for investors to trade private company shares easily and efficiently in an organised marketplace. PISCES meets this demand by allowing secondary trading of these shares. Companies can set the floor and ceiling of share prices, and have a say over who can buy their shares.

Access to PISCES will be limited to institutional investors, high-net-worth individuals, sophisticated investors and employees of participating companies. Investors will be provided with information about the risks involved to help them make informed decisions.

As set out in the FCA’s letter to the PM outlining the regulator’s approach to support growth, PISCES can unlock capital investment and liquidity.

Simon Walls, executive director of markets at the FCA, said:

‘This bold design rebalances risk, but it is bold risk-taking that made the UK the leading financial centre it is today. The new platforms will give investors greater access and confidence to invest in exciting new companies, while early backers and employees can sell up and invest again.  

‘PISCES is the latest step in the FCA’s wide-ranging reforms to the UK’s markets to boost growth and competitiveness.’

Emma Reynolds, Economic Secretary to the Treasury, said:

'PISCES is a great example of industry, regulators and the government working together to go further and faster on innovative reforms to strengthen UK capital markets, supporting economic growth and putting more money in people’s pockets as part of our Plan for Change.

'I welcome the FCA's announcement, which follows our legislation and opens PISCES to industry. This also builds on our announcements on a stamp taxes on shares exemption for PISCES transactions, and on employees retaining the tax advantages on eligible shares traded.'

Notes to editors

1. Read the Policy Statement PS25/6: Private Intermittent Securities and Capital Exchange System: Sandbox Arrangements[2] (June 2025).
2. The platform will be delivered through a sandbox, which will allow the FCA to test the design before finalising a permanent regime in 2030. The sandbox is now open, with shares likely to be traded later in 2025. Trading systems could include periodic auctions, as well as occasional and time-limited periods of continuous trading.
3. PISCES will be developed using a financial markets infrastructure (FMI) sandbox. This will be the second use of the FMI Sandbox powers after the Digital Securities Sandbox[3].
4. The Treasury laid a Statutory Instrument[4] before Parliament in May 2025 which finalised the legislative framework for PISCES.
5. The sandbox environment will allow government and regulators to check it is working properly.  
6. Firms wishing to run a PISCES platform will have to apply to the FCA, and once approved will be able to run intermittent trading events. The FCA published pre-application support[5] and application support[6] for firms interested in applying to be a PISCES operator.
7. The regulator and government will use any lessons from the sandbox period to improve the regime before making it permanent.