UK City Minister Signals Further Capital Markets Reform Is Still Needed Despite Early Signs of Progress
City minister Lucy Rigby, serving as Economic Secretary to the Treasury, stated on 11 October 2026 that the government's work on capital markets reform was 'definitely not a job done', signalling an appetite for continued regulatory and structural improvements to UK listing competitiveness. Speaking to City AM, Rigby said the government was 'continually looking for ways to ensure we're being as competitive as possible', framing the effort as part of a broader challenge for the UK's financial services sector in the face of global competition. She cited the 2025 Budget measure in which the then-Chancellor launched a stamp duty holiday removing the 0.5 per cent levy on UK stocks for newly listed companies in their first three years of trading as an example of recent reform. Rigby pointed to the £5.3 billion IPO of Airtel Money as evidence that reforms were 'starting to bear some fruit', describing it as the City's biggest listing in five years. The minister's comments come against a backdrop of continued concern about London losing listed companies to New York and other exchanges. Separately, the minister opened SIMEX26, a sector-wide cloud outage simulation exercise, reflecting the government's parallel focus on financial sector operational resilience alongside its competitiveness agenda. The minister's remarks indicate that further reform iterations are likely, even as officials point to recent large listings as early validation of changes already made.
Why this matters
Rigby's public commitment to ongoing reform is significant because it signals that the UK listing regime remains a live policy project rather than a concluded one, which matters for issuers, banks, and advisers calibrating where to list. The explicit invocation of the stamp duty holiday and a marquee IPO as evidence of progress suggests the government is defending its reform record while acknowledging the competitive gap with New York has not closed. For firms advising on UK equity capital markets, continued regulatory evolution creates both uncertainty and opportunity, as changes to listing rules, prospectus requirements, and investor protection frameworks can shift the attractiveness of a London listing relative to alternatives.
On the Ground
Capital markets lawyers and ECM (equity capital markets) practitioners will be tracking the reform pipeline closely, advising issuer clients on how evolving UK listing requirements affect their choice of venue and deal structure. The stamp duty holiday affects the economics of new listings and is relevant to pricing discussions. A trainee on a UK listing matter would assist with prospectus drafting and proofreading, preparation of verification notes, completion of listing application forms, and coordination of comfort letters with reporting accountants.
Interview prep
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“What practical effect does the stamp duty holiday for newly listed companies have on the economics of a London IPO, and does it materially close the competitiveness gap with New York?”
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