CP26/8: Quarterly consultation paper No. 51

Read CP26/8 (PDF)[1]

What we consulted on this quarter

Proposed changes:

• To make consequential amendments to CASS 1, 7 and 8, following the proposed changes to the definition of designated investment business, to ensure the rules work for cryptoasset activities and the wider new crypto regime.
• To rehouse some provisions in Article 17 of RTS 1 into the framework now provided by MAR 11A so that more equity transparency provisions are available and more clearly expressed in a single location.
• To disapply rights of action for private persons under section 138D of FSMA for the remaining chapters in MAR governing the mechanics and operation of secondary markets where trading venue members are generally professional investors as opposed to consumers. We propose a new MAR 1A and corresponding amendments to Schedule 5 to MAR.
• In line with industry feedback following the implementation of the new bond and derivatives transparency regime, we need to include an additional CFI code to identify overnight interest swaps in addition to fixed floating interest rate swaps, reflecting the derivative types specified in Column A of MAR 11 Annex 1.
• To make a correction to a change made in error in SYSC 1.5.3R in PS25/3[2] and to make minor amendments to SUP 16 to correct minor discrepancies in the wording used (Consumer Credit Returns).
• To amend the rules for the new Public Offers and Admissions to Trading regime to clarify the scope of certain obligations and exemptions.
• To make targeted changes to COLL to reflect changes to the revised Statement of Recommended Practice (SORP) for authorised funds.
• To increase the clearing threshold for commodity derivatives under UK EMIR to €5bn to ensure it remains appropriate in a market with higher commodity prices.
• Having become aware that our final rules in PS25/14[3] will unintentionally increase the scope of the prohibition on distributions on instruments in a form other than cash or own funds instruments for FCA investment firms, we are proposing to align this prohibition with the current prohibition in Article 73 of the UK CRR to ensure that existing capital instruments continue to qualify as own funds.
• To make amendments to Amendments to ENFG, UNFCOG, ICOBS and CONC.
• To make minor changes to UK Listing Rules, in response to recent feedback.

Who this applies to

This will be relevant if you or your firm has any interest in the subjects mentioned above.

Next steps

On 30 June 2026, we published our final rules and guidance[4], which will apply to all cryptoasset firms which have been authorised to operate under FSMA on or after 25 October 2027.

Further information

For more information, please view the FCA Handbook[5].