PRA and FCA consult on margin requirements

The PRA and FCA are consulting on a proposal that would indefinitely extend the current temporary exemption for single-stock equity options and index options from the UK bilateral margining requirements. The current temporary exemption will end in January 2026. The paper also proposes two further changes to reduce the burden of the regime on UK firms, in relation to legacy contracts and contracts where the counterparty is subject to margin requirements in another jurisdiction.

Consultation closes on 27 June.