THE Institute of Directors (IoD) yesterday became the latest organisation to join the London Stock Exchange (LSE) in opposing the merger of the Financial Reporting Council and the UK Listing Authority (UKLA).
In a statement, Miles Templeman, director-general of the IoD, said it made no “sense to leave the UKLA separate from the body [the Consumer Markets and Protection Authority (CPMA)] responsible for the regulation and supervision of wholesale capital markets.”
The IoD also raised concerns about the “logic” of combining the regulation of wholesale and retail financial services under the umbrella of the CPMA. It added both markets presented different regulatory challenges and required a different approach.
Meanwhile, one City insider told City A.M. yesterday that he believed the CBI was close to also coming out in support of the LSE’s position over the FRC and UKLA proposals, having been persuaded by the LSE of the faults in the plan.
The source added the FRC was itself lukewarm over the the proposals.