The UK government is set to implement its most extensive financial reforms in a decade, aiming to reduce regulatory burdens and encourage greater risk-taking within the City of London. These deregulatory measures, referred to as the "Leeds reforms" following the 2025 announcement, build on previous initiatives like the 2022 "Edinburgh reforms" and seek to make it easier for companies to access equity markets. The Treasury is collaborating with financial firms to promote increased investment risk, with the objective of revitalizing the UK economy, which is currently facing challenges. However, some investment banks and analysts have expressed concerns that the new rules could introduce greater uncertainty and foster undesirable types of risk. The UK Finance Minister has publicly stated that excessive regulation has been hindering economic growth, underscoring the government's commitment to liberalizing the financial sector to support economic recovery.
Breakingviews - UK’s deregulation drive fosters wrong type of risk https://t.co/LbYUwYgtUU https://t.co/LbYUwYgtUU
🇬🇧 Devant une City conquise, la ministre des Finances britannique a promis de libérer la finance pour relancer une économie en crise, accusant la réglementation de freiner la croissance. ➡️ À lire ici : https://t.co/OMPhJcT22K https://t.co/gD0gOW3fad
The UK is cutting red tape to make it easier for companies to tap equity markets, but investment banks say the new rules could create more uncertainty https://t.co/KdVx06SsnS