HISTORIC PRESS RELEASE : Financial Services and Markets Bill – Consultation on recognition requirements [February 1999]

The press release issued by HM Treasury on 2 February 1999.

A consultation document on new recognition requirements for exchanges and clearing houses is published by HM Treasury today. Announcing publication, Economic Secretary Patricia Hewitt said:

“We have said that we will publish the key secondary legislation to be made under the Financial Services and Markets Bill for consultation. We are consulting on these regulations well in advance so that we have time to get them right.”

The Financial Services and Markets Bill, published for consultation last summer, broadly carries forward the main features of the existing recognition and exemption regime for exchanges and clearing houses. To be recognised, an investment exchange or clearing house has to meet certain requirements. In future these will be contained in secondary legislation rather than on the face of the Act.

Ms Hewitt added:

“It is a key feature of the new legislation that it should be able to keep up with the fast changing financial markets. Putting the recognition requirements in secondary legislation will make it easier for us to respond to any market developments in this area.”

The deadline for comments on the consultation document published today is 30 April.