Freshfields FS Insights
Welcome to the July 2026 edition of the Freshfields FS Insights newsletter, which contains a selection of thought leadership related to the financial services industry published over the past month by Freshfields lawyers from around the world. If you would like more information regarding any of these developments, please get in touch with your usual Freshfields contact.
This month’s edition includes the following topics. Please click on any of the topics in this list for more information.
UK-EU financial services relationship
UK-EU financial services relationship
Unlocking growth through a stronger UK-EU financial services partnership
On 8 June 2026, UK Finance in collaboration with Freshfields published a landmark new report — Unlocking Growth Through a Stronger UK-EU Financial Services Partnership — exploring how the financial services sectors on both sides of the Channel have adapted since Brexit and setting out a vision for deeper cooperation between the UK and EU going forward. The report proposes a phased roadmap for increased UK-EU collaboration, designed to respect the regulatory autonomy and sovereignty of both parties, starting with steps that are achievable in the near term and building progressively toward more ambitious long-term goals. For a summary of the report’s findings and its recommendations, see our blog post.
Payments
From SWIFT to stablecoins: litigating the new payments ecosystem
As part of London International Disputes Week, Freshfields were delighted to host an event assessing the increasingly complex world of disputes arising from modern cross-border payments. A panel of experts discussed the challenges created by new payment methods, from instant bank transfers to digital assets such as stablecoins and central bank digital currency. The panel examined the range of legal issues arising in the context of authorised push payment fraud, as well as the challenges of tracing and recovering digital assets across public blockchains. It concluded with views on the jurisdictional uncertainty that ensues when assets cross borders on decentralised networks. See our blog post for a summary of key highlights from the event.
Knocking at the Fed’s door: recent executive order and regulatory proposals signal broader payment systems access for fintechs and payment companies
Direct access to the Federal Reserve’s payment systems has long been the holy grail for nonbank financial institutions and fintech companies, but, to date, efforts to secure it have mostly failed. This may change following two momentous days in May 2026, when an executive order and Federal Reserve proposal opened the door to broader access to what has been the near-exclusive province of traditional banking organizations. In our blog post, we summarise these developments, highlighting key takeaways and questions that remain open.
Cryptoassets
MiCA under review: what the European Commission's targeted consultation means for the crypto industry
The European Commission has launched two parallel consultations on the functioning of the Markets in Crypto-Assets Regulation (MiCA): one public consultation open to all kinds of stakeholders, and one targeted consultation aimed at getting feedback from industry representatives and public authorities. The Commission is inviting stakeholders across the crypto and financial services industry to weigh in on whether MiCA, which only became applicable in December 2024, is already in need of recalibration. The targeted consultation in particular is ambitious in scope, signalling that the Commission is prepared to consider significant changes to the EU's crypto regulatory architecture. Our blog post breaks down the Commission’s objectives, the structure of the targeted consultation, and the most noteworthy questions stakeholders should be paying attention to.
House of Lords Financial Services Regulation Committee publishes its report on the UK’s stablecoin proposals
Following its inquiry into the growth and potential regulation of stablecoins, which launched on 29 January 2026, the House of Lords Financial Services Regulation Committee published its findings on 3 June 2026 in a report titled “Stablecoins: waiting for regulation”. As noted in the report, stablecoins have technological advantages that could enable them to complement other forms of money and increase competition in the payment sector. Stablecoins therefore present opportunities for the development of a multi-money system in the UK. Although the Committee supports many of the Financial Conduct Authority (FCA) and Bank of England’s regulatory proposals, however, it also highlights several aspects that it considers need further consideration before the regime is finalised. Additionally, it expresses concern that considerable uncertainty persists which prevents issuers from being able to plan ahead. For a summary of the Committee’s key recommendations and next steps, see our blog post.
Fund tokenisation
From blueprint to production: the FCA finalises its fund tokenisation framework
The UK has for some time been considering how best to accommodate fund tokenisation within the existing regulatory framework. Following a consultation on the use of distributed ledger technology in authorised funds and an optional new Direct to Fund dealing model, the FCA on 30 April 2026 published a policy statement with final rules and guidance. Our briefing focuses on the key changes the FCA has implemented in response to industry feedback on its 2025 consultation paper.
Capital markets
Europe's largest economies push to shape the future of capital markets: the E6 joint position on MISP
The Finance Ministers of France, Germany, Italy, the Netherlands, Poland and Spain — informally known as the "E6" — have issued a joint position paper addressed to the Cypriot Presidency of the Council of the EU and Commissioner Maria Luís Albuquerque, calling for a pragmatic and ambitious path forward on the EU's Market Integration and Supervision Package (MISP). The joint paper frames deeper capital market integration as an economic and geopolitical necessity for European sovereignty and identifies six priority areas where the E6 believe a constructive compromise is within reach. Read our blog post below for an overview of MISP and why the E6 joint position matters.
Market abuse
All change for market abuse? EU reforms to issuer disclosures impact dual EU-UK compliance arrangements
Since Brexit, UK and EU market abuse regimes have remained broadly aligned. Companies with securities admitted to trading in both the UK and the EU – often via a London share listing alongside EU traded debt – have been subject to parallel disclosure obligations under the UK and EU versions of the Market Abuse Regulation (MAR). The broad alignment between the two regimes has made dual compliance relatively straightforward (although, as shares tend to be more price sensitive than debt, actual disclosure thresholds may differ between financial instruments). With effect from 5 June 2026, however, EU MAR has been updated with two main changes for disclosure: when an issuer must disclose inside information in relation to a protracted process, and the conditions that must be met before an issuer can delay disclosure to protect its ‘legitimate interests’. Our blog post reviews what has changed in EU MAR, and what does this mean in practice for issuers with both UK and EU obligations.
Private capital
Well-Caffeinated: what the retail moment means for private capital
In this episode of the Well-Caffeinated podcast, host Tim Clark is joined by four Freshfields colleagues to examine one of the most significant trends impacting private capital today: the increasing focus on “retail” sources of capital for private capital investment strategies. Melissa Hodgman, David Nicolardi, Andrew Gladstein, and Jeremy Barr unpack what it means for a private capital managers to add a retail component to its investor pool.
Consumer credit
Fifty years on: HM Treasury’s vision for a reformed consumer credit regime
On 13 May 2025, HM Treasury published its policy statement on the reform of the Consumer Credit Act 1974 (CCA), setting out the UK Government's decisions following a Phase 1 consultation that closed in July 2025. The policy statement confirms the Government's intention to repeal large parts of the CCA and replace them with rules made by the FCA, as part of a broader effort to build a more agile and proportionate regulatory regime that enables innovation and drives growth while ensuring robust consumer protection. In parallel, the FCA has also published a statement setting out its broad approach to CCA reform, with further stakeholder engagement on specific rules to follow at a later date. In our blog post, we set out the key changes the Government is taking forward as part of the reform.
Bank ring-fencing
Less fenced in: review of the UK ring-fencing regime
On 18 May 2026, HM Treasury published the conclusions of its Ring-Fencing Review, which sets out a comprehensive package of proposed reforms to the UK’s ring-fencing regime. The Prudential Regulation Authority (PRA) simultaneously announced plans to consult on reforming rules around shared operational services for ring-fenced banks. These proposals aim to create a more proportionate and flexible ring-fencing regime, with a view to supporting growth in the UK. Our blog post explores the key proposed reforms and next steps.