Reserved Investor Fund
In the Spring Budget 2024, the Government published its response to the consultation on the proposed introduction of an unauthorised co-ownership contractual scheme, the Reserved Investor Fund (RIF). AREF is delighted that the Government will begin to legislate for the RIF in the Spring 2024 Finance Bill. The Government is planning to engage further with stakeholders on the policy design for the RIF, particularly the tax rules.
Basel Committee - Disclosure of climate-related financial risks
AREF has responded to the consultation from the Basel Committee on Banking Supervision on the Disclosure of climate-related financial risks
Transparency of land ownership involving trusts
The UK Government have consulted on improving transparency of land ownership when trusts are involved in the ownership structure. AREF responded to this consultation. More details can be found here.
FCA – Sustainability Disclosure Requirements (SDR) and investment labels
Find out more here about Sustainability Disclosure Requirements (SDR) and investment labels.
FCA - Guidance on the Anti-Greenwashing rule
AREF responded to the FCA's consultation on their guidance for their anti-greenwashing rule. More details can be found here.
Enabling DC pension schemes to invest in illiquid assets
Find out more here about the Government's work to enable DC pension schemes to invest in illiquid assets. Also, there are links to guidance from TPR and cases studies from PLSA which supports this and AREF's own lobbying to the Government on this matter.
Building Safety Levy
The Government are implementing a Building Safety Levy. Click here for more details.
ESG Metrics for Real Estate
The proposals within the paper on ESG Metrics for Real Estate have been updated in January 2024.
Sustainable finance and climate change disclosures
Find out more about the policy work being undertaken by governments, regulators and standard setting bodies in relation to sustainable finance and climate-related disclosures.
Construction Industry Scheme
In the Autumn Statement 2023, the Government set out legislative changes it will bring forward in the Finance Bill, coming into force from 6 April 2024, to reform the Construction Industry Scheme. AREF responded in January 2024 to a related technical consultation in January 2024. More details can be found here.
PRA - Reforms to Matching Adjustment
AREF, along with BPF, IPF and INREV responded to PRA consultation on reforms to the Matching Adjustment. More details can be found by clicking here.
UK Solvency II
Read the latest on reforms to UK Solvency II and the lobbying being undertaken by AREF.
Transition Plan Taskforce
The Transition Plan Taskforce are producing guidance for preparers and users of climate transition plans, including Asset Managers and Asset Owners. More details can be found her.
FSB - Addressing Structural Vulnerabilities from Liquidity Mismatch in Open-Ended Funds
The FSB published its Revised Policy Recommendations to Address Structural Vulnerabilities from Liquidity Mismatch in Open-Ended Funds in December 2023. These recommendations supersede Section 2 of the FSB’s 2017 Policy Recommendations to Address Structural Vulnerabilities from Asset Management Activities.
IOSCO - Guidance for Open-Ended Fund use of Anti-Dilution Liquidity Management Tools
In December 2023 IOSCO published its Guidance on Anti-Dilution Liquidity Management Tools.
ELTIFs
Find out more about the review of the ELTIF regulations here
Levelling-up and Regeneration Bill: reforms to national planning policy
The National Planning Policy Framework was updated in December 2023. This followed a Government consultation on reforms to national planning policy.
EU - Cross-border marketing and management of AIFs and UCITS
In mid-December 2023 the European Commission adopted Regulatory Technical Standards (RTS) on the notifications for cross-border marketing and management of AIFs and UCITS within the EU.
FCA - Diversity and Inclusion in the financial sector
The FCA have published a consultation on diversity and inclusion in the financial sector. Click here to find out more about the consultation and see AREF's response.
Sustainable Finance Disclosure Regulation (SFDR)
The European Commission (EC) published public and targeted consultations on the implementation of SFDR. AREF responded to the targeted consultation. Also, the ESAs have published their Final Report on draft RTS on the review of PAI and financial product disclosures in the SFDR Delegated Regulation. In October 2023, AREF held a webinar and produced guidance advice on the SFDR process for real estate funds. More details can be found here.
ESG Ratings and Data Providers
In December 2023, ICMA and IRSG launched their voluntary Code of Conduct for ESG Ratings and Data Products Providers. More details can be found here about the work by regulators and governments on ensuring good governance by ESG ratings and data products providers.
VAT treatment of fund management services
HM Treasury have responded to their review of VAT Treatment of Fund Management Services. More details can be found here.
FCA - Overseas Funds Regime
The FCA have published a consultation on implementing the Overseas Funds Regime. More details can be found here.
DWP call for evidence: Options for Defined Benefit schemes
On 22 November 2023, the Government responded to its call for evidence on how DB schemes could use their assets more flexibly. Click here for more details.
REITs - Regime Amendments
As part of the Autumn Statement 2023, the Government published a Policy paper detailing amendments to the tax rules applying to REITs, including some of the conditions that determine whether a company qualifies as a REIT.
Financial Promotion Exemptions
In November 2023, the Government's published its response to its consultation on Financial promotion exemptions for high net worth individuals and sophisticated investors. More details can be found here.
Long-Term Asset Fund (LTAF)
The FCA have confirmed that they will not be taking forward their proposal to exclude FSCS cover for regulated activities relating to LTAFs at this time. Click here for more details about this and the Long-Term Asset Fund (LTAF) in general.
RICS Red Book - UK National Supplement - 2023 edition
RICS have published their 2023 edition of the UK National Supplement to the Global Red Book. This will become effective 1 May 2024. Find out more here.
FCA - Updating and improving the UK regime for asset management
The FCA's Chair gave a speech in October 2023 on the FCA's priorities for updating and improving the UK regime for asset management.
Review of the UK Funds Regime
Find out more about the review of the UK Funds Regime by the Government and the FCA.
RICS - Whole Life Carbon Assessment for the Built Environment standard
RICS have published the second edition of the Whole life carbon assessments in the built environment. Find out more here.
Luxembourg-UK Double Tax Treaty
In 2024 a new Luxembourg-UK double tax treaty will be coming into effect. This will align the treaty with other UK treaties in terms of not providing an exemption from the UK Non-Resident Capital Gains Tax (NRCGT) rules for indirect disposals of UK property.
Central Bank of Ireland - Macroprudential policy for investment funds
The Central Bank of Ireland have published a discussion paper on the approach to macroprudential policy for investment funds. More details can be found here.
Genuine Diversity of Ownership (GDO) - New Guidance
New guidance on the application of the Genuine Diversity of Ownership (“GDO”) condition was published by HMRC in July 2023. The GDO condition is relevant for a number of fund tax regimes. Click here for more details.
DWP Consultation: Extending Opportunities for Collective Defined Contribution Pension Schemes
DWP have published its response to its consultation on Extending Opportunities for Collective Defined Contribution (CDC) Pension Schemes. Click here for more details.
DWP Consultation: Value for Money: A framework on metrics, standards, and disclosures
DWP are consulting on a proposed Value for Money framework for DC pension schemes. More details can be found here.
FCA - Finance for positive sustainable change: governance, incentives and competence in regulated firms
The FCA have published a discussion paper on firms' sustainability-related governance, incentives, and competencies. Please see here AREF's near final response.
DLUHC - Consultation on High Street Rental Auctions
The Department for Levelling Up, Housing and Communities has published a consultation on High Street Rental Auctions. More details can be found here.
HMT/FCA/PRA - Senior Managers and Certification Regime (SM&CR)
HM Treasury are reviewing the legislative aspects of the Senior Managers and Certification Regime (SM&CR). In parallel, the FCA and PRA are reviewing the operational aspects of the regime. More details can be found here.
The IA - Stock Transfer Form for CIS Consultation
The Investment Association are consulting on proposed updates to the stock transfer form for collective investment schemes. Click her for more details.
PCAF/CRREM/GRESB - Technical Guidance for Accounting and Reporting of GHG Emissions from Real Estate Operations
In March 2023, PCAF, CRREM, and GRESB released technical guidance for "Accounting and Reporting of GHG Emissions from Real Estate Operations"
Trust Registration
Find out here about the trust registration rules. The updated Trust Registration Service Manual in January 2023 clarified that only UK authorised unit trusts with no UK tax liability benefit from an exemption from trust registration.
DWP Consultation: Broadening the investment opportunities of DC pension schemes
The Government have published their response to their consultation on Broadening the investment opportunities of DC pension schemes. More details can be found here.
Productive Finance Working Group
The Productive Finance Working Group was convened by HM Treasury, the Bank of England and the FCA to develop practical solutions to the barriers to investment in long-term, less liquid assets. Click for more information on what they have been working on.
IOSCO - Liquidity Risk Management Recommendations
ISOCO have published the Final Report from their Thematic Review of their Liquidity Risk Management Recommendations. Click for more information.
Appointed Representatives regime
The FCA have published a Policy Statement on improvements to the Appointed Representatives (AR) regime. A response is still awaited from HM Treasury on their Call for Evidence on the AR regime.
FCA - Consumer Duty
The FCA have published their Consumer Duty rules. This is the first of 5 milestones to prepare for the new rules to take effect.
Guidance on Expense Ratios
AREF has brought its Guidance on Expense Ratios in line with the Total Global Expense Ratio (TGER ) Click to view the proposed guidance, the Q&As and example of the changes