The purpose of this Summit was to examine the impact of the measures being proposed to improve the appeal of London as the listing venue of choice, particularly in relation to high tech, high growth companies.

The FCA had launched a consultation proposing a raft of measures designed to reverse the long-term decline in London listings. The Summit looked at the macro-economic factors affecting London’s competitiveness versus other financial centres. It also delved into the detailed proposals to assess whether they are the key to unlocking London’s potential.  Particular issues to be addressed included: increasing the level of investment in the UK market by UK pension funds and other investors to increase liquidity;  reforming investment research post MiFID to improve the quality and accessibility of research; the work of the Accelerated Settlement Taskforce in seeking to expedite the settlement process; the Digitisation Taskforce’s proposals to reduce reliance on physical paperwork; the work of the City of London’s Finance for Growth Initiative; reforming regulation of short selling; and measures needed to create a more retail friendly investment culture.

The Consultation Paper aims to address some of the key barriers to listing in London following Lord Hill’s Report on the challenges to London as the venue of choice.  It follows the decision of a number of entrepreneurial companies, particularly in the tech sector, to list in New York or other more sympathetic venues. The proposals would introduce various measures designed to increase the competitiveness of London including permitting limited dual class share structures in the premium segment, reducing the free float to 10%, revising provisions which deter SPACs from listing in London, amending track record requirements and revising the Prospectus Rules.