Optimizing Digital Transformation for Global Success

As an outcome of the intro of the UKLR sourcebook in July 2024, both the London Stock Exchange (LSE) and FTSE Russell made substantial changes to their guidelines. In July 2024, the LSE validated amendments to its Admission and Disclosure Standards to show the collapse of the previous premium and standard listing sectors into the brand-new commercial company classification.

It then provided a summary and FAQs confirming its view when the last UKLR sourcebook was released in July 2024. Among the measures proposed as part of the Edinburgh Reforms in December 2022 was the establishment of the Accelerated Settlement Taskforce, chaired by Charlie Geffen. The goal of the taskforce was to consider the possible advantages of the UK moving to a T +1 securities settlement cycle and lay out how this change might be implemented.

On 19 February 2025, the UK federal government announced it accepted the recommendation and the UK market means to transfer to a T +1 settlement cycle on 11 October 2027. Among the suggestions from the UK Secondary Capital Raising Evaluation caused the establishment in July 2022 of the Digitisation Taskforce, chaired by Sir Douglas Flint.

Top Banking Trends for UK Growth

In July 2023, the taskforce published an Interim Report (read our summary here) which made a number of suggestions, consisting of: legislation ought to be brought forward, and company articles of association altered, as quickly as practicable to stop the issuance of new paper share certificates; the federal government ought to bring forward legislation to need dematerialisation of all share certificates at a future date; the government must speak with issuer and investor representatives on the preferred disposition of "recurring" paper share interests and whether a time frame should be imposed for the identification of untraced Ultimate Beneficial Owners (UBOs); andintermediaries need to have a responsibility, as a condition of involvement in the cleaning and settlement system, to put in place typical technology that allows them to react to UBO demands from companies within a really short time frame.

ANSR July UK PRs

Digitisation would target noted business with a view to minimizing expenses and waste, and enhancing investor interaction. The report proposes extra measures to make sure that UBOs within the intermediated securities chain would have the ability to exercise shareholder rights that are currently only ensured for registered shareholders, along with procedures to improve communication between companies and UBOs.