pc
nid 92515
May 14, 2026
csoo@vixio.com
United Kingdom
Competition and Markets Authority
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1136 charsUnited Kingdom Government and Financial Conduct Authority Announce Money Market Fund Regulation Reforms
On May 14, 2026, HM Treasury and the Financial Conduct Authority (FCA) announced plans to reform United Kingdom Money Market Fund (MMF) regulations.
Money market funds play a significant role in the financial system, serving as an important cash management tool and providing an alternative or complement to bank deposits. MMFs are utilised by a broad range of investors, including asset managers, insurers, pension funds, large corporates, and local authorities. However, recent periods of market stress have demonstrated the need to strengthen the resilience of these funds. The reforms aim to address vulnerabilities identified during market volatility and enhance the stability of the MMF sector.
The Government and FCA have published a policy paper detailing the proposed reforms. Further details regarding the specific regulatory changes, implementation timeline, and consultation periods are expected to follow as the reform process progresses.
REFERENCES:
HM Treasury, "Reforms to Money Market Fund Regulations" (14 May 2026), available at: https://www.gov.uk/government/publications/reforms-to-money-market-fund-regulations
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1412 charsUK's Government and Financial Conduct Authority Announce Money Market Fund Regulation Reforms
On May 14, 2026, the UK Government and the Financial Conduct Authority (FCA) announced plans to reform the UK Money Market Fund (MMF) regulations .
MMFs are utilised by a broad range of investors, including asset managers, insurers, pension funds, large corporates, and local authorities. Recent periods of market stress have demonstrated the need to strengthen the resilience of these funds, the reforms aim to address vulnerabilities identified during market volatility and enhance the stability of the MMF sector.
The joint announcement confirms the following:
In 2023, HM Treasury and FCA consulted on replacing and reforming the MMFR. The Government will now lay legislation as soon as parliamentary time allows to establish the new regulatory framework, under which most requirements for UK MMFs will be set out in FCA rules and guidance.
The UK’s new regime is expected to be in place by Q4 2026, subject to Parliamentary approval, and the FCA will issue a statement shortly with further details on its plans
The Government confirms its intention to extend the Temporary Marketing Permissions Regime (which allowed EEA-domiciled money market funds (MMFs) that were passporting into the UK before Brexit to continue marketing to UK investors), with a view to establishing a longer-term solution on market access, in line with the UK’s framework and process for recognition of overseas firms and funds.