Hm Treasury
Detail of outcome
The response to this consultation confirms the governments intention to entirely remove from legislation all firm-facing retail disclosure requirements currently in the PRIIPs Regulation and ensure that the FCA can deliver a new UK retail disclosure regime which is tailored and proportionate to the UK market. It also sets out the governments vision for the new retail disclosure framework and further details on next steps to deliver this reform.
Original consultation
Consultation description
Retail disclosure regulations set the rules on what information and documentation needs to be provided when a member of the public (who is not a professional or institutional investor) buys an investment product. In the UK, some of these rules derive from the Packaged Retail and Insurance-based Investment Products (PRIIPs) Regulation, an EU regulation that was brought onto the UK statute book following our exit from the EU. The PRIIPs Regulation has been widely criticised due to the misleading information that it requires be provided to investors and the unnecessary burden that it places on firms.
This consultation sets out the governments plans to revoke the PRIIPs Regulation and seeks views on a proposed alternative framework for retail disclosure. In line with the FRF, the Financial Conduct Authority (FCA) will be responsible for setting detailed disclosure rules. The framework set out in this consultation will empower the FCA to deliver a regime that promotes informed retail investor participation in UK markets.
