Welcome to the latest edition of our bi-monthly Regulatory Radar: quick takes update, which collates the latest developments from across the UK’s regulators. Highlights from this issue include a range of consultations on proposed changes and guidance updates in relation to the DMCCA, new packaging legislations in both the UK and EU, AI developments, and recent reports and strategies shared by regulators. If you would like to discuss any of the topics highlighted or have any requests for themes to be covered in future editions, please do not hesitate to contact me, or your usual RPC contact.
Advertising and marketing
CAP announces further consultation on new restrictions on ads for “less healthy” food and drink products The Committee of Advertising Practice (CAP) has announced it is issuing a further consultation on the implementation of new restrictions on food and drink advertising to children introduced by government through legislation, on behalf of the Advertising Standards Agency (ASA). New rules are due to come into force from October 2025, prohibiting ads for "identifiable" less healthy products from being included in Ofcom-regulated TV services and on-demand services between 0530 and 2100, and from being placed in paid-for space in online media at any time. An initial CAP consultation on guidance on the rules ran in early 2024. However, in January 2025, a further consultation was announced – owing to the Government not proceeding with including clarification wording in the legislation regarding whether "brand advertising" would be out of scope of the ban – meaning that CAP's proposed guidance requires amendment. FIND OUT MORE CAP and BCAP share proposed amendments to the Advertising Codes following review in response to the DMCCA At the end of last year, the Committee of Advertising Practice (CAP) and the Broadcast Committee of advertising Practice (BCAP) shared the proposed amendments to their Codes to reflect changes to UK consumer law in the form of the Digital Markets, Competition and Consumers Act 2024 (DMCCA), which received Royal Assent in May 2024. The proposed amendments include the introduction of a new prohibited practice on fake consumer reviews, changes aimed at tackling "drip pricing", and changes broadening the prohibited practice on falsely claiming to cure illness. Public consultation on these amendments closed last month.
Consultation on removal of CAP and BCAP rules and guidance relating to energy labelling and product fiche information The Committee of Advertising Practice (CAP) and the Broadcast Committee of Advertising Practice (BCAP) recently welcomed feedback on the removal of CAP and BCAP rules, and accompanying guidance, relating to energy labelling and product fiche information. The rules were introduced in 2011, however the ASA has not received any complaints under these rules since they were implemented, and as there is already a statutory body, the Office for Product Safety and Standards (OPSS), responsible for the enforcement of the relevant regulations, they are considering whether it's necessary for the CAP and BCAP rules to reflect energy labelling legislation at all. This consultation has now closed. FIND OUT MORE CMA shares draft guidance on UCP provisions in the DMCCA The Competition and Markets Authority (CMA) have shared draft guidance on unfair commercial practices (UCP) provisions in the DMCCA, which will replace and update the Consumer Protection from Unfair Trading Regulations 2008 (likely as soon as the end of April 2025). The UCP provisions apply to a broad range of commercial practices which may impact consumers. The draft guidance outlines how these provisions may apply in practice, and is intended to help traders comply with them. The consultation process was open until 22 January 2025, and feedback received will be used to inform the CMA's final guidance on the application of the prohibitions of unfair commercial practices in Chapter 1 of Part 4 of the DMCCA. FIND OUT MORE Consultation on the implementation of the new subscription contracts regime under the DMCCA Research shows there are approximately 155m active subscriptions in non-regulated sectors in the UK, representing consumer spend of approximately £26 billion per year, with 5.8% of active subscriptions being unwanted by the customer. The Digital Markets, Competition and Consumers Act 2024 (DMCCA) sets out a legislative regulatory framework to strengthen protections for consumers when they enter a subscription contract. The government have sought feedback on subscription provisions in the DMCCA, including proposals on regulatory provisions needed to implement cooling-off cancellation rights, cancellation remedies for breach of duties, repayment of funds, contractual terms for existing a contract, arrangements for exiting contracts, information notices, and pre-contract information. The consultation closed on 10 February 2025.
AI Regulation
ICO outlines position on government's AI Action Plan The Information Commissioner's Office (ICO) has issued a response to the Government's AI Action Plan through Executive Director Stephen Almond. The statement emphasises ICO's commitment to supporting AI innovation while ensuring data protection and public trust. Almond highlights that the ICO has already provided guidance on emerging AI issues and offers practical support through their Regulatory Sandbox and collaboration with other regulators via the Digital Regulation Cooperation Forum. The ICO welcomes the government's initiative to accelerate AI adoption across the economy and expresses their intention to work closely with the government to implement the plan, focusing on maximising AI opportunities while maintaining public protection. FIND OUT MORE Government introduces AI cybersecurity code and implementation guide The UK government has introduced a world-first cyber security standard to protect AI systems from cyber-attacks, supporting the digital economy and the government's Plan for Change. The new Code of Practice aims to secure AI systems, boost productivity, and transform public services. It includes measures such as cyber security training, recovery plans, and risk assessments. The voluntary Code will form the basis of a global standard through the European Telecommunications Standards Institute (ETSI). Additionally, the UK has launched an International Coalition on Cyber Security Workforces to address the global cyber skills gap and enhance international cooperation on cyber security
Competition law
New CMA guidance on mergers following consultation Following consultation, the Competition and Markets Authority (CMA) has updated its guidance to reflect changes introduced by the Digital Markets, Competition and Consumer Act 2024. The updated documents include guidance on the CMA’s jurisdiction and procedure (CMA2), a quick guide to UK merger assessment (CMA18), exceptions to the duty to refer and undertakings in lieu (CMA64), interim measures in merger investigations (CMA108), rules of procedure for merger, market and special reference groups (CMA17), and energy network mergers guidance (CMA190). These final versions took effect from 1 January 2025 and apply to merger cases under the transitional provisions of the Act. FIND OUT MORE New guide to the UK's digital markets competition regime The Competition and Markets Authority has published guidance on how on the new digital markets competition regime will work. Under the regime, the CMA may designate firms with "strategic market status" (SMS) in relation to a particular digital activity. These firms must also meet specific economic thresholds, including UK turnover exceeding £1 billion or global turnover over £25bn, alongside criteria related to market power and strategic significance. Once designated, the CMA may introduce pro-competition interventions or impose conduct requirements. The CMA has outlined planned activities for the first six months, including the launch of SMS designation investigations in January 2025 in relation to two areas of digital activity: conduct requirements and pro-competition interventions.
Construction
More legislation aimed at cladding remediation on the way The government announced its Remediation Acceleration Plan (RAP) on 2 December 2024, which aims to ensure that remediation work is carried out faster, all buildings with unsafe cladding are identified and residents supported. The RAP proposes a deadline of 2029 for certain remediation and its proposed target is that developers start or complete remedial works on 80% of the buildings for which they are responsible by July 2026, and on 100% of those buildings by July 2027. Severe penalties, including criminal liability, are threatened against defaulting landlords who fail to comply with the proposed new legal duty to remediate unsafe cladding. Along with new legislation to implement the legal duty to remediate cladding, the government also proposes legislation to create a comprehensive buildings register, including details of the beneficial ownership of buildings of 11 metres or more in height. The RAP also confirms that the Building Safety Levy will come into force in autumn 2025. HMRC clarifies VAT rules for cladding remediation HM Revenue & Customs (HMRC) has issued guidance to clarify its policy on the VAT treatment for remedial building works, including cladding replacement. The issue of cladding remediation has been significant for developers following the discovery of fire safety defects in numerous residential buildings. There has been confusion regarding the VAT treatment of these works and whether developers can reclaim the VAT incurred. To address this, HMRC has released a brief along with compliance guidelines to provide clarity on its policy. FIND OUT MORE How far have we come? A discussion on the RICS 2024 Sustainability Report A recent webinar examining the RICS Sustainability Report 2024 revealed a complex landscape of progress in sustainable building practices. The report indicates growing demand for environmentally conscious construction, with European markets leading adoption due to regulatory frameworks. However, significant challenges persist across the sector, particularly in carbon measurement and biodiversity considerations. The findings highlight that more than half of industry participants are not effectively monitoring embodied carbon in construction projects. Additionally, only a small proportion of respondents incorporate biodiversity measures comprehensively. The report identifies three key barriers to progress: cost perceptions around sustainable practices, insufficient professional expertise, and entrenched industry customs. Despite some integration of sustainability measures, the sector's advancement towards decarbonisation goals remains below required trajectories.
OPSS investigates challenges in construction product supply chains A recent study commissioned by the Office for Product Safety and Standards (OPSS) examined supply chain practices in the construction products sector. The independent research, conducted jointly by Risk and Policy Analysts and BWL Consulting, evaluated whether existing practices required additional guidance or regulatory enhancement. The investigation centred on five essential construction components: cables, cladding, fire barriers, fire doors, and insulation. Drawing on input from key UK stakeholders - gathered through questionnaires, interviews, workshops, and a literature review - the report summarised its findings, highlighting that “information about products and their proper installation methods was often poorly communicated throughout the supply chain.” The study has also uncovered industry “uncertainty” regarding the definition of specific construction products, such as cladding systems and fire doors. FIND OUT MORE Buildings regulations review and changes to Approved Documents The government announced a root and branch review of the building regulations on 2 December 2024, which will be carried out by a panel of the BSR in early 2025. This is likely to result in changes to the Approved Documents which provide detailed guidance for contractors, architects, and other professionals on how to meet the requirements of the building regulations in common building situations. The Approved Documents have been criticised for being overly complex and difficult to use, the Hackitt Review calling them “complex, ambiguous and not user-friendly” and the Grenfell Inquiry report recommending that they are the subject of continuous updating. The new Approved Documents (or their replacement) are likely to be available digitally. In the meantime, Parliament is currently considering the Building Regulations (Minimum Standards) Bill 2024-25 which will set minimum standards for the building of new homes in relation to quality and energy efficiency and place requirements on developers of new homes.
Building Safety Act 2022: implementation and confusion arising from guidance The Building Safety Act 2022 is now fully in force with the following exceptions, which may be the subject of legislation in 2025:
s38 Building Act 1984 to introduce civil liability for breaches of the building regulations making new home warranties mandatory and requiring them to provide cover for 15 years implementing the Building Safety Levy (aka the "gateway two developer levy") measures aimed at forcing construction products manufacturers to pay towards remediation work.
The government has issued guidance on the new legislation but there is confusion about how much this guidance can be relied upon as an accurate representation of the law. In the case of Smoke House & Curing House, 18 Remus Road, London E3 2NF, the Tribunal noted the sheer volume of overlapping guidance, challenges in navigation, confusing and unsourced content, problems tracing amendments, disclaimers about its reliability and usage within the documents, and instances where the guidance exceeded or contradicted the legislation.
Data and cyber
Action taken by ICO on cookie compliance for top sites The Information Commissioner’s Office (ICO) has launched a 2025 strategy to improve cookie compliance across the UK’s top 1,000 websites, focusing on giving users meaningful control over their personal information. Following a review of the top 200 websites, the ICO raised concerns with 134 organisations and set clear expectations for compliance with data protection laws. As part of the strategy, the ICO has published guidance on "consent or pay" models, which offer users a choice between personalised adverts or paid services. This guidance aims to balance user control with business needs. The ICO will also engage with consent management platforms and release public guidance this year to help users understand their rights regarding online tracking. FIND OUT MORE Key cyber developments: looking back over 2024 For the cyber market, 2024 brought with it many legislative and regulatory changes, as well as sophisticated cyber-attacks and ground-breaking law enforcement activity. RPC have published a guide to recap the key developments from the past year in the cyber market. FIND OUT MORE Government consultation on ransomware On 14 January 2025, the UK Government issued a consultation aimed at reducing payment to cyber criminals in ransomware incidents and increasing the level of incident reporting. The consultation contains three main proposals, and asks for views on various other options for potential legislative change. The three proposals are: FIND OUT MORE a targeted ban on ransomware payments for public services and critical national infrastructure a wider "ransomware payment prevention regime" which would apply to all organisations mandatory reporting of ransomware (possibly subject to specific thresholds).
Data dispatch – January 2025 Data Dispatch from RPC’s Data Advisory team aims to provide an easy-to-digest summary of key developments in data protection law. The latest edition explores a range of updates including: FIND OUT MORE navigating compliance in Italy: Garante’s stance on OpenAI’s Gedi partnership and GDPR violations data protection in generative AI: Perspectives from the ICO and the EDPB exploring the ICO's draft guidance on storage and access technologies.
Employment
Employment Rights Bill: Government amendments published The Employment Rights Bill, which was first introduced in the House of Commons on 10 October 2024, is currently awaiting report stage in the Commons. A total of 264 amendments were tabled to the Bill by the public bill committee. 149 amendments were agreed to by the committee. The key amendments include: FIND OUT MORE increasing the employment tribunal limitation period from three months to six months requiring employers to ensure that zero hour and low hour workers are aware of their rights to guaranteed hours during an 'initial information period’ devolving the making of regulations and codes of practice on public sector outsourcing to Scotland and Wales requiring trade unions to have a certificate of independence to benefit from the rights to access the workplace conferred under the Bill creating a power for the government to introduce a new, legally binding, seafarers’ charter. Government to increase National Living Wage and National Minimum Wage from April Starting from 1 April, the government will increase both the National Living Wage (NLW) and National Minimum Wage (NMW). The NLW for those aged 21 and over will rise by 6.7%, from £11.44 to £12.21 per hour. Meanwhile, the NMW for 18-20-year-olds will increase by £1.40 to £10.00 per hour, which is a record increase. As a result, full-time eligible workers in this age group will see an annual pay boost of £2,500. According to the government's impact assessment, "these reforms will put approximately £1.8 billion into the pockets of workers over the next six years". These changes form part of the Government’s Plan for Change, which seeks to "improve living standards and make working people better off". FIND OUT MORE The Work Couch: What's on the horizon for employment law in 2025? RPC's latest podcast from The Work Couch looks ahead to 2025, exploring the employment law changes on the horizon as well as what you can be doing to prepare. Listen to hear more about the strengthened trade union rights proposed by the Employment Rights Bill. LISTEN HERE
ESG
PRA outlines climate adaptation strategy in new report The Prudential Regulation Authority (PRA) has submitted a climate change adaptation report to the Department for Environment, Food & Rural Affairs (DEFRA) as part of the UK Government’s climate adaptation policy, addressing the risks climate change poses to its operations and objectives. Since becoming the first prudential regulator to publish comprehensive supervisory expectations in 2019, the PRA has undertaken several initiatives, including a Climate Biennial Exploratory Scenario exercise in 2021. The PRA highlights the need for banks and insurers to manage climate-related risks, aligning with the Bank of England’s broader climate strategy. The PRA plans to update the public with a consultation paper in 2025 and will continue working to enhance the UK financial sector's resilience to systemic climate risks. FIND OUT MORE RPC contribute to new Transparency International report on ESG governance RPC have contributed to landmark new research published by Transparency International UK's Business Integrity Programme, 'ESG Governance and Risk Management – Coordinating AntiCorruption and Sustainability in Practice'. The guidance draws on the insights of 46 ethics & compliance, legal, financial crime, risk and sustainability practitioners to understand how companies can leverage existing anti-corruption expertise and processes to help comply with new and emerging sustainability legislation. FIND OUT MORE Government unveils consultation on a new Land Use framework The government has launched a national consultation on a new approach to land use in England, aiming to protect productive agricultural land and enhance food security. The 12-week consultation process will involve workshops across the country, seeking input from farmers, landowners, businesses and nature groups to inform a Land Use Framework that will support key objectives, improving overall energy infrastructure and restoring nature. The framework will complement existing energy and housing spatial plans as this initiative aligns with the Government’s Plan for Change, aiming for economic growth while safeguarding the environment and food production. A final Land Use framework will be published later this year. FIND OUT MORE AIM and large private company climate disclosures under FRC review The Financial Reporting Council (FRC) has published a thematic review of Climate-related Financial Disclosures (CFD) by AIM and large private companies, following the first mandatory reporting cycle. Introduced for accounting periods starting on or after 6 April 2022, CFD requirements apply to companies with over 500 employees that are traded, banking, insurance, AIM companies, or large private companies with turnover exceeding £500m. The review found varying quality in disclosures, highlighting the need for more consistent, coherent, and concise reporting. The FRC's publication provides examples of good practice and aims to support companies in improving their climaterelated disclosures as reporting practices mature. FIND OUT MORE
Deposit Return Scheme legislation comes into force in England and Northern Ireland On 24 January 2025, the Deposit Scheme for Drinks Containers (England and Northern Ireland) Regulations 2025 came into force setting out the framework for a new Deposit Return Scheme (DRS) for single-use drinks containers in England and Northern Ireland. The regulations introduce obligations for producers and retailers of single-use drinks containers made of PET plastic, aluminium or steel between 150ml and 3 litres. Under the regulations, the DRS scheme is set to launch in October 2027. FIND OUT MORE Green claims update In our latest Green Claims update, we provide the latest legal and regulatory developments you need to know including: FIND OUT MORE The latest ASA rulings against Lloyds Bank, Scottish Power, eDreams and others for misleading green claims CMA draft guidance on changes to UK consumer protection law Latest updates on the EU's Green Claims Directive Sector specific updates including for transport and consumer goods New EU packaging Regulation in force On 11 February, the EU's landmark new Packaging and Packaging Waste Regulation (PPWR) came into force introducing new rules to reduce packaging waste and support the transition to a circular economy. The PPWR introduces wide-ranging new rules including restrictions on single-use plastic packaging, binding re-use targets for certain types of packaging, refill obligations for businesses in the takeaway sector, and requirements to minimise the use of unnecessary packaging. The regulation applies to businesses involved in the production, supply, use and disposal of packaging and packaging materials in the EU. FIND OUT MORE New EU rules on food and textiles waste On 18 February, the European Parliament and European Council reached agreement on targeted changes to the EU Waste Framework Directive to introduce: (1) mandatory food waste targets for Member States (10% in food processing and manufacturing and 30% per capita in retail, restaurants, food services and households by 2030); and (2) new rules requiring EU member states to set up EPR schemes for waste textiles (including used clothing and accessories, footwear, and certain home textiles) to cover the costs of their collection, sorting and recycling. These schemes would need to be set up within 2.5 years of the directive coming into force. The Council is now expected to formally adopt its position which can then be endorsed by the Parliament. It will then be published in the Official Journal and come into force 20 days later. The rules would kick in following a two-year transposition period. FIND OUT MORE
While DEI faces cutbacks in the US, FCA delivers a speech on culture and conduct Despite moves in the US to scale back diversity, equity and inclusion (DEI) initiatives, a recent poll by Apella Advisors and Find Out Now reported that 53% of UK businesses agreed that it would be "bad" if this led to British companies reducing their own commitments (find out more here). Against this backdrop, on 4 February, Emily Shepperd, chief operating officer at the Financial Conduct Authority (FCA), delivered a speech on culture, conduct and DEI within the financial services sector. The speech highlighted that culture drives conduct and decision-making and therefore continues to be a regulatory concern. Shepperd confirmed that the FCA is updating its rules and guidance on non-financial misconduct and is expected to set out more detail on its proposed next steps shortly. The FCA is also working alongside the Treasury and the Prudential Regulation Authority (PRA) on reviewing the Senior Managers and Certification Regime (SM&CR) and will publish a consultation paper in due course. In terms of diversity and inclusion more broadly, the FCA is considering, alongside the PRA, the next steps following their consultation on the topic. FIND OUT MORE Taxing Matters: Nature's wealth: unlocking the power of natural capital with Daisy Darrell In the latest episode of Taxing Matters, our host, Alexis Armitage is joined by Daisy Darrell, a Senior Associate in Birkett's Agricultural and Estates team to discuss all things natural capital. Join Alexis and Daisy as they explore: opportunities that natural capital can create for landowners examples of recent environmental enhancement and restoration projects the environmental benefits of such projects tax considerations for farmers and landowners potential impacts of ESG on natural capital markets.
Leveraging ABC frameworks for ESG compliance With ESG regulations evolving rapidly, businesses are facing increasing obligations, ranging from supply chain due diligence (CSDDD, EU Deforestation Regulation) to corporate reporting (CSRD, ISSB). The Environmental, Social and Governance (ESG) regulatory landscape continues to develop at pace and businesses are increasingly required to navigate new and complex ESG regulatory obligations. These include new supply chain due diligence requirements, such as those under the EU's Deforestation Regulation, the Corporate Sustainability Due Diligence Directive (CSDDD), and new corporate reporting requirements under the EU's Corporate Sustainability Reporting Directive and ISSB disclosure standards. Although the EU Commission has recently proposed a new 'Omnibus Directive' aimed at streamlining obligations in the CSRD and CSDDD to reduce regulatory burdens for business, the outcome of those proposals and the final form of any changes are still unknown. The key message for businesses is therefore not to 'down tools' and to continue preparing to comply. In our latest publication we consider eight steps to leverage a business's ABC framework to support wider ESG compliance, including: 1. reviewing and updating your governance structures 2. expanding the scope of your risk assessment 3. building ESG risks into existing policies 4. building out third party due diligence processes to incorporate ESG-specific metrics/ risks 5. investing in the right technology 6. developing your contractual safeguards 7. updating internal training and empowering employees to take ownership for ESG 8. building robust whistleblower hotlines and 'speak up' channels.
Financial services
FCA and PSR outline future of open banking The Financial Conduct Authority (FCA) and Payment Systems Regulator (PSR) have announced plans to advance open banking in the UK through the establishment of a new independent company focused on variable recurring payments. The UK's open banking initiative has shown remarkable success, with 11.7 million active users and over 22.1 million monthly transactions. Significant developments in 2024, supported by funding from 20 leading firms, included enhanced fraud analysis, improved consumer protections, and new services. Variable recurring payments will offer consumers greater control over regular payments by allowing them to set spending limits, whilst businesses may benefit from reduced processing fees and improved payment completion rates. The initiative will prioritise implementing these payments for utilities, government services, and financial firms throughout 2025, with Open Banking Limited playing a central coordinating role. FIND OUT MORE FCA portfolio letter highlights priorities for the next two years The Financial Conduct Authority (FCA) issued a portfolio letter on 7 October, outlining its priorities for the next two years for the finance advice and investment intermediary market. In our recent article, Rachael Healey explores the priorities outlined in the FCA's letter, with highlights including retirement income advice, and a continued focus on the expectations around the consumer duty. The letter also confirms that we can expect a further update from the FCA on its review of the retirement income advice market in the first quarter of 2025 and an update on ongoing advice services later this year. FIND OUT MORE FCA and Practitioner Panel survey: regulated firms' views requested The Financial Conduct Authority (FCA) and Practitioner Panel have launched their 2025 joint survey for all regulated firms. Conducted by Verian, the independent survey seeks feedback on the FCA's regulatory practices. This year, all regulated firms are invited to participate, broadening the range of feedback received. The FCA uses survey results to identify areas for improvement and assess its performance against strategic objectives. Results will be published in summer 2025. The FCA has also outlined actions taken in response to 2024 survey feedback, including measures to support business growth, overhaul of the UK listing rules and improved data submission processes. FIND OUT MORE Navigating PRA's data request for crypto-asset exposure The Prudential Regulation Authority (PRA) issued a data request to identify firms' current and expected future crypto-asset exposures. This request also asks for information on the firms' application of the Basel framework for the prudential treatment of crypto-assets exposures, that was published in December 2022, following its second consultation on banks' exposures to crypto-assets. RPC discusses the request, and what implications may arise for financial institutions and their insurers. FIND OUT MORE
Regulators support government growth objective and aim to reduce regulatory burden Following the Autumn Budget, HM Treasury launched a call for evidence which outlined the government's plans for its Financial Services Growth & Competitiveness Strategy. The Strategy will set the government's approach to the financial services sector for the next ten years and will serve as the framework through which the government will deliver sustainable, inclusive growth for the sector and secure the UK's competitiveness as an international financial centre. The call for evidence sets out five core policy pillars which the government says are central to the sustainable growth of the sector. These are: The government also highlighted several key priority growth opportunities, including the London insurance and reinsurance markets. FIND OUT MORE innovation and technology regulatory environment skills and access to talent regional growth international partnerships and trade. Acceptable levels of consumer harm – the FCA seek guidance in balancing risk with reward On Christmas Eve 2024, the Chancellor, Business Secretary and Prime Minister wrote to 17 different regulators in the UK, ordering them to put forward pro-growth proposals. However, the head of the FCA has warned that such growth will come with risks that the government must be alive to. Speaking on the issue on 22 January, the head of the FCA warned that more could go wrong because of these demands to slash regulations and has asked that the government clearly outline what they feel is an acceptable level of harm to consumers. FIND OUT MORE
FCA reveals its new strategy for supervision of wholesale brokers The Financial Conduct Authority (FCA) published a portfolio letter setting out their new strategy for supervising wholesale brokers. The letter notes the role that wholesale brokers play in sourcing liquidity, providing market access for their clients and in matching buyers and sellers. The letter goes on to note that the market faces persistent headwinds and has seen a degree of consolidation as larger firms are better able to benefit from current market conditions. FIND OUT MORE
Health, safety and environmental
HSE consultations on alternatives for substances like Chromium Trioxide and Potassium hydroxyoctaoxodizincate dichromate The Health and Safety Executive (HSE) have recently opened public consultation on a number of alternatives for substances like Chromium Trioxide and Potassium hydroxyoctaoxodizincate dichromate. The consultations consider the properties of the alternative substances, their technical and economic feasibility, hazards and risks of alternatives, and also their availability and suitability. FIND OUT MORE Building Safety Regulator recruiting Resident Panel members The Building Safety Act 2022 saw the creation of the Building Safety Regulator (BSR) in England, as part of the Health and Safety Executive (HSE). The Act required the BSR to create a Residents' Panel to advise the regulator and to ensure residents are placed at the heart of its new regulatory regime. The panel has been running for over a year, and the HSE/BSR are now seeking new members who are current residents of high-rise buildings or private landlords. They are looking to maintain a panel with a broad mix of HRB residents from different locations and housing types, including social housing, private rent, and leasehold owners. FIND OUT MORE Call for evidence on the future guidance contained within Approved Document A (Structure). The Health and Safety Executive (HSE) has issued a call for evidence on the future guidance contained within Approved Document A (Structure), which covers the loadings on a building, and the construction of the structural elements including the foundations, walls, floors, roofs and chimneys. The consultation is open for 10 weeks from 10 February 2025. FIND OUT MORE EA Chief Regulator proposes overhaul of environmental regulations Dr Jo Nettleton, Chief Regulator of the Environment Agency, has called for reform of the environmental regulation framework to enhance protection and support business growth. A new report reveals that 93% of over 14,000 regulated businesses comply with environmental permits, with some non-compliant operators facing fines totaling £8.7m. The report highlights successes, such as shutting down 63 illegal waste sites, but also points to areas needing performance improvement, particularly in the water sector. Dr Nettleton advocates for updated legislation to provide regulators with better tools, suggesting changes to simplify processes, enabling faster responses, and to improve cost recovery. FIND OUT MORE
New EPR packaging legislation comes into force in the UK On 1 January 2025, the Producer Responsibility Obligations (Packaging and Packaging Waste) Regulations 2024 came into force. These require brand owners, and other in-scope businesses, to record and report data on household packaging they supply in the UK and pay (potentially significant) EPR disposal fees to cover the costs of recycling it at the end of life. The scope of the regulations is broad and failure to comply can result in new civil sanctions and fines from the Environment Agency. The next reporting deadline is 1 April 2025 and the first EPR invoices will be issued in October 2025. FIND OUT MORE Recyclability assessment methodology for EPR guidance The Department for Environment, Food & Rural Affairs (DEFRA) has published technical guidance for the recyclability assessment methodology for packaging EPR. This will enable producers to assess the recyclability of their packaging - with ratings of 'red', 'amber' or 'green' depending on how easy the packaging is to recycle. From year 2 of the EPR scheme, these ratings will be used to determine 'modulated' EPR fees with lower fees for green-rated packaging, and incrementally higher fees for amber and red-rated packaging. Defra will publish further details about how EPR fees will be modulated later this year. FIND OUT MORE
Medical and life sciences
Publication of guidelines for digital mental health technologies The Medicines and Healthcare products Regulatory Agency (MHRA) has issued guidance aimed at manufacturers to ensure that mental health technologies meet UK medical devices regulations. The guidance sets out how manufactures should define these technologies, when these are considered medical devices and their risk classification. FIND OUT MORE Update on regulation of physician associates and anaesthesia associates After the regulation of physician associates (PAs) and anaesthesia associates (AAs) in December 2024, the General Medical Council (GMC) published an update to set out plans to ensure an effective implementation of the regulation. As part of this, the GMC is inviting and encouraging PAs and AAs to apply for GMC registration. The GMC will also liaise with newly registered professionals to ensure they understand their responsibilities and the support they can anticipate from the GMC as their regulator. FIND OUT MORE
Plans to introduce tech and AI in public services The government unveiled the Prime Minister's Plan for Change, which introduces a shake-up of tech and AI usage across the NHS and other public services to streamline admin processes and improve delays. The plan also sees improved data sharing across the public sector, including government departments and local councils. In addition, civil servants will have access to a package of AI tools, called Humphrey, which will allow them to improve the delivery of public services while reducing consultant spending. FIND OUT MORE ASA rulings on advertisements for the addiction rehabilitation market The Advertising Standards Authority (ASA) have published clarifications on transparency and clarity in the addiction referral sector, following concerns from the Ethical Marketing Campaign for Addiction Treatment (EMCAT). Across 8 rulings made by the ASA in December 2024 and January 2025, the regulator pointed out that several referral websites contain misleading statements regarding the activities they offer. Others failed to declare their commercial intent and paid referrals, and implied approval from external bodies and organisations. FIND OUT MORE ASA rulings on advertisements for the addiction rehabilitation market The Advertising Standards Authority (ASA) have published clarifications on transparency and clarity in the addiction referral sector, following concerns from the Ethical Marketing Campaign for Addiction Treatment (EMCAT). Across 8 rulings made by the ASA in December 2024 and January 2025, the regulator pointed out that several referral websites contain misleading statements regarding the activities they offer. Others failed to declare their commercial intent and paid referrals, and implied approval from external bodies and organisations. FIND OUT MORE Study finds advanced practice regulation must address needs of international professionals A study released by the Florence Nightingale Foundation (FNF), commissioned by the Nursing and Midwifery Council (NMC), shows that advanced nursing and midwifery talent is being lost within the health and social care system. Findings show that internationally educated professionals struggle to have their expertise recognised, but regulatory changes could transform the landscape for nurses and midwives practising at an advanced level. FIND OUT MORE
Pensions
Money Covered: The Year to Come – 2025 – D&O and Pensions trends and developments we expect to see in 2025 In the latest episode of RPC's Money Covered, our host Melanie Redding, is joined by Matt Watson and Rachael Healey to discuss D&O and pension developments we expect to see in 2025. Money Covered is a monthly podcast from RPC aimed at those dealing with complaints, claims and risk management in the financial services sector. FIND OUT MORE
Product regulation
Intentions for new regulatory approach for furniture fire safety set out in policy paper The Office for Product Safety and Standards (OPSS) has published a paper setting out six themes in relation to furniture fire safety, including plans to implement a new regulatory approach. The themes discussed in the paper include product compliance and requirements and product labelling and technical documentation. The paper also sets the intention of the government to amend the Furniture and Furnishings (Fire) (Safety) Regulations 1988 (FFRs). FIND OUT MORE RPC Product bulletin: February 2025 Our product bulletin answers FAQs and explores recent developments in product regulation including the EU Accessibility Act, the importance of allergen labelling, changes to EU legislation, the Product Regulation and Metrology Bill, a consultation on chemical in cosmetics, and the Government's new safety campaign for e-bikes and e-scooters. FIND OUT MORE
Professional services
FRC outlines 2025 priorities for supporting economic growth The Financial Reporting Council (FRC) has submitted its annual update to the Business and Trade Secretary, outlining its activities in 2024 and strategic plans for 2025. The report emphasises the FRC's commitment to fostering UK economic growth whilst maintaining high standards in corporate governance, reporting, and audit. Chief Executive Richard Moriarty announced five key priorities, including strengthening investor confidence in UK businesses, reducing unnecessary regulatory burdens, improving market effectiveness, preparing for future innovations, and enhancing professional skills development. The FRC welcomed the government's commitment to audit and governance reform legislation, as mentioned in the King's Speech, viewing this as crucial support for their strategic approach to maintaining the UK's position as an attractive investment destination. FIND OUT MORE SRA due to wield unlimited fining powers The biggest development in solicitors' regulation in 2025 is undoubtedly the SRA's new approach to financial penalties. For the first time in history, the SRA will wield unlimited fining powers, and it proposes to use them in a way which could transform the financial consequences of regulatory breaches. FIND OUT MORE Draft three-year strategy published by the FRC The Financial Reporting Council (FRC) published their draft strategy for 2025-28. The FRC aims to be a modern regulator and to fully embody its role including a plan to evolve its approach towards the supervision of audit firms and review its enforcement procedures. The FRC is also awaiting draft legislation to reform and modernise its powers as outlined in the King's Speech in July 2024. FIND OUT MORE Important changes to note in accountant ethics code update March 2025 will see the Institute of Chartered Accounts in England and Wales (ICAEW) introduce updates to its Code of Ethics to reflect recent changes from the International Ethics Standards Board for Accountants (IESBA). In our recent article, we analyse how the changes could affect claims in the professional indemnity space and address potential challenges for firms and insurers. FIND OUT MORE
Tax, investigations and financial crime
Updated analysis on risk of money laundering through the markets The Financial Conduct Authority (FCA) published an updated version of their analysis on money laundering through the markets (MLTM) risk. The threat of MLTM consists in moving cash originated with criminal means through capital markets to make it appear legitimate. A part of its analysis the FCA reviewed financial crime systems and control at a number of wholesale brokers and found good practice and progress. However, the FCA also noted the need to improve risk mitigation and maintain reviews of crime systems and controls, MLTM awareness and training. FIND OUT MORE Taxing Matters: Mike Ashley wins landmark data protection case against HMRC At the end of January, Mike Ashley won his high-profile and landmark data protection case against HMRC, with the High Court concluding that HMRC wrongly withheld his personal information for over two years. In this episode of Taxing Matters, our host and Senior Associate, Alexis Armitage is joined by Megan Grew, Associate at RPC and part of Mike Ashley's legal team, to discuss the legal aspects of the case that led to a landmark data protection victory against HMRC for Mike Ashley in the High Court. LISTEN HERE
HMRC launches new R&D voluntary disclosure platform amid increased enforcement and compliance efforts HM Revenue & Customs (HMRC) has introduced a new specialist research and development (R&D) voluntary disclosure platform. This development follows a surge in HMRC R&D compliance activity, including a number of high-profile raids and arrests. It is estimated that over £1bn has been lost to the Exchequer in recent years due to speculative or fraudulent R&D claims, prompting HMRC to take decisive action. The new platform allows companies or their agents to disclose innocent or careless inaccuracies in R&D tax relief claims that are now out of time for amendment in tax returns. The disclosure is made by submitting an online form and supporting computation. FIND OUT MORE HMRC sets out labour chain risk approach HMRC has published a manual setting out how it handles tax risks and illegal working practices in labour supply chains. This includes work to improve processes and informing legislation, noncompliance investigation and enforcement as well as sharing guidance and information to increase awareness among businesses. FIND OUT MORE
Tax Bites – February 2025 RPC's Tax Bites provides monthly bite-sized updates from the tax world. Updates from February's edition include: FIND OUT MORE More newsletters from our tax team HMRC has updated its Guidance on umbrella company compliance HMRC has introduced a voluntary disclosure service for businesses that have overclaimed R&D tax relief and updated tax relief claim procedures HMRC has amended its Guidance on digital platform reporting rules and DAC 7 equivalence HMRC has updated its Guidance on taxation of cryptoasset disposals Loan Charge - Court strikes out taxpayers' Part 8 claims Upper Tribunal considers when a dividend is 'due and payable' for tax purposes Upper Tribunal allows taxpayers' appeals on 'deliberate' behaviour
