FCA consultation on UK Short Selling Regulation – What do UK and non-UK clients need to know?

On 28 October 2025, the FCA announced a consultation on proposed new rules and guidance on short selling. The Short Selling Regulations 2025 approved by the UK government earlier this year amended, amongst other things, the scope of instruments subject to short selling restrictions and public disclosure requirements of net short positions. The FCA is now responsible for establishing the rules and guidance under which UK and non-UK firms engaged in short selling in in-scope instruments will comply with the new regime. This consultation closes on 16 December 2025.