Sunak Plans Listing Reform to Attract Technology Companies: Sky
(Bloomberg) -- U.K. Chancellor Rishi Sunak is looking to overhaul the country’s listing regime in a bid to attract more technology companies to London, according to Sky News.
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Rishi Sunak, U.K. chancellor of the exchequer, departs number 11 Downing Street on his way to present his 'Winter Economy Plan' at Parliament in London, U.K., on Thursday, Sept. 24, 2020.
Sunak is planning to start a review of the current rules with Jonathan Hill, Britain’s former European Union commissioner for financial services, being lined up over the weekend to lead it, Sky said Saturday, citing anonymous sources. The plans could be announced next week, according to one banker Sky spoke to.
Reforms likely to be considered include giving technology companies the opportunity to keep more ownership of their business when they go public and allowing firms to have dual class share structures, Sky said, adding that bankers would welcome the changes. A large proportion of technology companies favor the U.S. for listings and the U.K. government wants to make sure more British technology businesses choose London, Sky said.
© Bloomberg
Rishi Sunak, U.K. chancellor of the exchequer, departs number 11 Downing Street on his way to present his 'Winter Economy Plan' at Parliament in London, U.K., on Thursday, Sept. 24, 2020.
The Treasury didn’t immediately respond to a request for comment on the plans and Hill’s appointment.
A report from the City of London Corp. last month said Britain should “conduct a regulatory review of listing structures to ensure the U.K.’s competitiveness relative to other equity listing locations.”
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