The UK government has announced its programme of work to review and revise the entire regulatory framework as it applies to the UK financial services industry.
The intention behind this work is to ensure the UK’s financial services sector can have tailored rules to best suit UK markets and allow the sector to continue its evolution into a dynamic, globally competitive and sustainable sector that supports UK economic growth.
Given the scale of the work to be undertaken, neither the regulators nor the government have offered timelines or guidance as to when the changes will be completed. However, work is already underway on reviewing retained EU law and consultation papers have already started to be published on certain discrete topics. The work in this area is expected to continue at pace for several years.
This webpage is therefore intended to act as a resource to provide information in relation to those areas of the review that are expected to have the most impact on the LME and LME Clear. If you have any questions please direct these to your usual LME contact.
PS25/1 – Reforming the commodity derivatives regulatory framework
In April 2026 the LME published a Decision Notice with the feedback to the Consultation paper to obtain the views of its Members and all other interested parties in respect of its proposals to implement in its Rules and Regulations the new rules by the Financial Conduct Authority (the “FCA”) as they will be set out in Chapter 10 of the Market Conduct sourcebook (“MAR 10”) .
Regulatory Position Limit Exemption Application Hedging Exemption (PDF)
Regulatory Position Limit Exemption Application - Pass-Through Hedging Exemption (PDF)
Regulatory Position Limit Exemption Application - Liquidity Provider Exemption (PDF)
PS25/1 – Reforming the commodity derivatives regulatory framework
In February 2025 the FCA published its final rules and guidance on reforming the commodity derivatives regulatory framework (PS25/1). The majority of the FCA rules and guidance will come into force on 6 July 2026. For more information download:
In December 2025 the LME published an update setting out how the LME intends to implement PS25/1 and how the changes under the regime complement the current LME Position Management regime.
PS25/1 – Reforming the commodity derivatives regulatory framework
In February 2026 the LME published a Consultation to obtain the views of its Members and all other interested parties in respect of its proposals to implement in its Rules and Regulations the new rules by the Financial Conduct Authority (the “FCA”) as they will be set out in Chapter 10 of the Market Conduct sourcebook (“MAR 10”) .
Useful links
HMT Future Regulatory Framework
HMT Edinburgh Reforms (includes links to current consultations and policy statements)
UK Parliament Edinburgh Reforms Inquiry
FCA Future Regulatory Framework
FCA strengthening wholesale markets
Building a smarter financial services regulatory framework
Update on Edinburgh Reforms progress - October 2023
Jeremy Hunt - Mansion House speech - July 2023
Nikhil Rathi - Mansion House speech - October 2023
Previous speeches
Chancellor Hammond Mansion House speech
The case for an open financial system - speech by Andrew Bailey
A forward look at regulation of the UK’s wholesale financial markets
Regulating the UK as a global financial centre
FCA speech on UK regulatory landscape post-Brexit and beyond
Previous consultations/calls for evidence
HMT call for evidence on UK regulatory coordination (PDF)
HMT response to the Call for Evidence on regulatory coordination (PDF)
FCA approach to international firms (PDF)
BEIS call for evidence on UK governments future international regulatory framework
Financial Services Future Regulatory Framework Review; Phase II consultation (PDF)