HMG: The Enhancing Financial Services Bill
The Enhancing Financial Services Bill was announced in the King’s Speech and is intended to deliver key parts of the Leeds Reforms. Amongst other matters, the Bill will: enact reforms to FOS; consolidate PSR within FCA; reduce the overall burden of SM&CR by 50% with a focus on accountability of the most senior figures in financial services, and update the statutory framework underpinning the ringfencing regime in order to unlock more finance for SMEs.
Last updated · 13 May 2026
Regulatory News - Financial Services & Regulation
See allBoE: Private markets system-wide exploratory scenario – publication of the stress scenario
BoE has begun the scenario analysis phase of the system-wide exploratory scenario and has sent participants a hypothetical stress scenario that details a severe, but plausible, global macro-economic recession over a five-year period.
For more information
- https://www.bankofengland.co.uk/financial-stability/boe-system-wide-exploratory-scenario-exercise/publication-of-the-stress-scenario-for-the-private-markets-system-wide-exploratory-scenario
- https://www.bankofengland.co.uk/financial-stability/boe-system-wide-exploratory-scenario-exercise/private-markets-system-wide-exploratory-scenario
PRA: CP9/26: Basel 3.1 – adjustments to the internal model approach for market risk
PRA’s consultation proposes targeted changes to support international alignment and proportionality, including: extending the monitoring period for the profit and loss attribution test from one year to three; adjusting PRA’s treatment of activity that has limited trading data to include a more targeted approach to identifying risks that cannot be modelled, and reducing barriers to transitioning to full IMA approval by adjusting calculations for firms who use a mix of the internal models and standardised approaches. Responses are required by 18 September 2026.
BoE: CCP global international default simulation
BoE has reported on the outcome of an exercise undertaken in November 2025 in which 38 CCPs participated in a coordinated fire drill exercise simulating the failure of a hypothetical common participant. BoE participated in the lead authorities’ group with the Bundesbank, ESMA, BaFin and CFTC. The group helped design and oversee the exercise, and surveyed participants to identify lessons learned and improve future exercises.
IOSCO: SupTech – mapping the use of technology in financial supervision
IOSCO’s report provides a summary of a survey of 49 jurisdictions on their current and expected future use of SupTech tools for supervision and regulatory oversight.
For more information
HMT: AML/CTF supervision reform: duties, powers, and accountability consultation response
Further to its November 2025 consultation, HMT has now published feedback and final policy position. It is confirmed that the Government will transfer AML/CTF supervision of legal and accountancy professional services firms from Professional Body Supervisors to FCA. Amongst other matters, the application of regulation 58 “fit and proper” requirements will be extended across legal and accountancy service providers; existing duties relating to risk-based supervision would apply to FCA’s expanded remit, and FCA will be given the power to appoint a skilled person and the power to issue directions to firms, subject to appropriate statutory safeguards to ensure their proportionate use. Responsibility for issuing AML/CTF guidance will move to FCA, with HMT retaining a limited oversight role. It is noted that there are no plans at this stage to introduce new legislative requirements to mandate the sharing of SARs.