UK

HM Treasury and the FSA consult on proposals for UK’s Implementation of the EU Market Abuse Directive

Joanna Gray, University of Newcastle-upon-Tyne

Background to consultation – the EU Market Abuse Directive

Since the European Union embarked on its Financial Services Action Plan in 1999 to procure a more robust and real single financial services market, the Commission has proposed, consulted upon, modified and secured political agreement and legislative enactment on a remarkably wide range of measures directed to that end. Many of these have been explained and discussed in the EU section of this publication. The Directive on Insider Dealing and Market Manipulation (2003/6/EC), or the Market Abuse Directive as it is more commonly referred to in the UK, is one of these measures. As with so many other Financial Services Action Plan legislative measures, it involves an area already subject to an extensive legal and regulatory framework in the UK. However, the time has now come for implementation within that existing UK framework of the European Union Market Abuse Directive and it is to the practicalities of UK implementation into law and the FSA rulebook, code and guidance level that the recent joint HM Treasury/FSA Consultation Paper (17 June 2004) is addressed.