Financial Services UK

  • February 2, 2018

    Money Market Fund Rules Ban Share Cancellations, EU Warns

    The European Commission has concluded that share cancellations breach incoming money market funds rules, even though investors have argued that the fund value management tool performs a valid function, according to a letter published on Friday.

  • February 2, 2018

    UK Litigation Roundup: Here's What You Missed In London

    The last week has seen a distressed debt fund sue Hamilton Downing, an IT firm lodge a claim against Paysafe, and an insurance brokerage lodge a debt suit against an Africa-focused fixed income securities firm. Here, Law360 looks at those and other new claims in the U.K.

  • February 2, 2018

    High Court To Hear Barclays' Pension Ring-Fencing Plans

    Barclays PLC will head to a London court later this month to defend its decision to shift its staff pension scheme into the riskier investment banking unit, which will be separated from the bank’s retail operations under new U.K. rules.

  • February 2, 2018

    British Data Regulator Warns Against GDPR 'Box Ticking'

    The U.K. data protection agency urged public sector leaders on Friday to promote accountability and deter staff from "box ticking" when Europe's formidable information rulebook takes effect in less than four months.

  • February 2, 2018

    SRB Dropped Bail-In For Banco Popular Amid Cash Crisis

    The decision to drop "bail-in" plans and sell Spain’s Banco Popular Espanol SA for only €1 ($1.25) in June 2017 to ward off bankruptcy, now being contested in Europe’s top court, was taken to avert a liquidity crisis, an authority for handling failing banks said Friday.

  • February 2, 2018

    Court Says Bad RBS Stock Punt Not Fault Of Spread-Bet Co.

    The Court of Appeal in London has refused to revive an investor's £1.2 million ($1.7 million) claim against spread-betting company IG Index Ltd., saying that the firm was not responsible for his losses when a bet on the share price of Royal Bank of Scotland PLC turned sour.

  • February 2, 2018

    Banks Must Send Alerts Under New CMA Overdraft Rules

    Banks will be required to warn customers who are teetering on the edge of an overdraft under new measures brought in by the Competition and Markets Authority on Friday.

  • February 2, 2018

    EU Clearinghouses Pass Market Shock Tests, ESMA Says

    The European clearing system has proved its ability to withstand multiple defaults by members and extreme market shocks in the latest round of stress-testing, the European Securities and Markets Authority said Friday — although it identified potential weakness at two central counterparties.

  • February 1, 2018

    Securities Trade Groups Brace For Benchmark Transition

    Four trade associations on Thursday outlined challenges the financial industry will face in changing financial market contracts and practices to reflect new risk-free overnight interest rates central bankers have called for in an effort to replace benchmarks that have been rocked by scandal.

  • February 1, 2018

    Don't Bank On Emergency Funds, ECB Exec Warns Lenders

    European banks crafting their resolution plans should not assume central banks will provide liquidity, a European Central Bank official has warned.

  • February 1, 2018

    Appeals Court Rejects Daiwa's Challenge In Negligence Suit

    The U.K. Court of Appeal on Thursday rejected an attempt by a European unit of Daiwa Securities Group Inc. to overturn a ruling saying that the company was negligent when it handed over $200 million of a customer’s funds to the client’s Saudi billionaire owner Maan Al Sanea.

  • February 1, 2018

    UK Finance Lobby Presses For Bespoke Brexit Access Deal

    A leading U.K. financial services lobby on Thursday revived its pitch for a unique deal giving banks and market players post-Brexit access to the European Union’s single market based on mutual regulatory recognition, responding to growing fears that financial services will be excluded from a future trade deal.

  • February 1, 2018

    UK Banks Face New Scrutiny As SME Lending Probe Deepens

    Parliament’s influential Treasury Committee on Thursday announced a broad inquiry into how banks treat small and medium-sized enterprises, a move that could lead to new regulation and changes in dispute settlement procedures to give businesses a fairer hearing.

  • February 1, 2018

    Dana Gas Suffers Setback In $700M Islamic Bonds Dispute

    Dana Gas PJSC suffered another setback in its protracted legal battle to have $700 million in Islamic bonds invalidated on Thursday when a High Court judge in London ruled again in favor of bondholders including BlackRock Inc., saying the purchase was valid.

  • February 1, 2018

    HBOS Manager Probe Hindered By Time, FCA Tells Lawmakers

    The U.K.’s Financial Conduct Authority and the Prudential Regulation Authority have told a key parliamentary committee that their investigation into senior managers at HBOS PLC has had its "challenges" because the events happened years before.

  • February 1, 2018

    New Blockchain Body Will Help Guide Regulators, EU Says

    A new European Union body established to promote the use of blockchain technology will help guide policies for regulating its use in financial services and markets, senior EU officials said Thursday.

  • February 1, 2018

    Luxembourg Funds Group Opposes Plans for ESMA Oversight

    A Luxembourg investment fund trade group has hit out at the European Union’s proposal to extend the supervisory powers of its securities watchdog, saying oversight by national regulators already does enough to protect investors and markets.

  • February 1, 2018

    FCA Creates New Exec Role To Steer Agency Through Brexit

    The Financial Conduct Authority has tapped agency veteran Nausicaa Delfas for a newly created position as executive director of international affairs, putting her in charge of shaping the FCA’s role on the regulatory stage once Britain exits the European Union.

  • February 1, 2018

    Insurers Hit Back At FCA Over Compensation Scheme Fees

    The insurance industry has attacked plans to make it foot a portion of the bill for the U.K.’s bankruptcy compensation scheme to cover customers of  insurance brokers, saying the Financial Conduct Authority’s proposals “defied logic.”

  • January 31, 2018

    Barclays, Citi Say Lehman Can't Issue New Preferred Stock

    Barclays Bank PLC and Citigroup have joined with Deutsche Bank AG in urging a New York bankruptcy court to prevent Lehman Brothers Holdings Inc. from issuing preferred stock to substitute the banks’ potentially more valuable interests in Lehman debt, saying the defunct firm’s Chapter 11 plan prohibits the move.

Expert Analysis

  • UK Seeks Dispute Resolution Options Outside The CJEU

    Cyrus Benson

    Since the vote to leave the EU, ending the jurisdiction of the Court of Justice of the European Union has been the U.K. government's redline position. On the other hand, the EU has pressed hard to maintain the role of the CJEU as the guarantor of EU citizens' rights, say Cyrus Benson and Ceyda Knoebel of Gibson Dunn & Crutcher LLP.

  • What To Expect In Forex Fraud Trial Of Ex-HSBC Exec

    Scott Schirick

    The prosecution of HSBC’s former global head of foreign exchange spot trading — whose trial began on Monday in the Eastern District of New York — will test whether the government can turn sharp dealing and deception in the unregulated institutional spot forex market into criminal fraud, says Scott Schirick of Pryor Cashman LLP​.

  • When Contract Liability Exclusion Clauses Go Too Far

    Iain Campbell

    One way that contractors and subcontractors limit liability is through the use of exclusion clauses in a contract. Two recent U.K. cases involving the interpretation of such clauses make for interesting reading, particularly for institutions that may be seeking to claim back costs relating to poorly installed materials or unsafe systems, says Iain Campbell of Hill Dickinson LLP.

  • What Libor Replacement Will Mean For Derivatives

    Mark Young

    The increasing attention to Libor's phaseout is sending a strong signal to derivatives markets and derivatives market participants to prepare for this major financial change. The phaseout will also raise intriguing regulatory issues, say attorneys with Skadden Arps Slate Meagher & Flom LLP.

  • Preparing For Data Protection Harmonization After Brexit

    Sarah Delon-Bouquet

    Last month, the U.K. government announced its plan to implement a data protection bill that will avoid disadvantageous divergence with the EU's data protection regime. Companies in the U.K. should take this opportunity to clean up their data protection practices, and may need to look at other protective measures depending on the U.K.'s data protection adequacy, say Sarah Delon-Bouquet and Roman Madej of Bryan Cave LLP.

  • The Psychology Of Hourly Fee Arrangements

    J.B. Heaton

    The range of possible and better fee agreements is wide. But such alternatives will become popular only if litigants confront the psychological tendencies shaping their existing fee arrangements, says J.B. Heaton, a partner at Bartlit Beck Herman Palenchar & Scott LLP.

  • 10 Tips For Banks Responding To Regulatory Requests

    Tilcia Toledo

    Responding to regulatory requests is a normal part of a bank’s operations, but a poorly written or confusing response may cause an agency to make assumptions about a bank that are not true. Tilcia Toledo of FTI Consulting Inc. offers 10 ways financial institutions can avoid sending negative messages in their responses.

  • Whistleblower Protection: When Private Turns Public

    Emma Vennesson

    In Chesterton v. Nurmohamed, a U.K. appeals court recently found that disclosing a breach of a worker's contract may satisfy the public interest requirement for whistleblower protection if a sufficiently large number of other workers are affected. This decision may cause some concern for well-known employers, say Emma Vennesson and Katherine Newman of Faegre Baker Daniels LLP.

  • Self-Collection In E-Discovery — Risks Vs. Rewards

    Alex Khoury

    As judges become better educated about the complexities of collecting electronically stored information, in particular the inefficacy of keyword searching, they are increasingly skeptical of self-collection. And yet, for many good reasons (and a few bad ones), custodian self-collection is still prevalent in cases of all sizes and in all jurisdictions, says Alex Khoury of Balch & Bingham LLP.

  • 6 Common Lateral Partner Myths Debunked

    Dan Hatch

    It’s safe to say that while demand ebbs and flows for legal services, there will never be a shortage of opinions about lateral partner hiring, which is positive for the industry, as anything with such vital importance to careers should attract significant attention. However, there is a unique mythology that travels with the discussions, says Dan Hatch of Major Lindsey & Africa.