Europe: risks and vulnerabilities in the financial system

The Joint Committee of the European Supervisory Authorities (European Banking Authority, European Securities and Markets Authority and European Insurance and Occupational Pensions Authority) today published its second 2016 risk assessment report for the EU financial system: see here (pdf). An overview is available here. As well as noting the legal and political uncertainty caused by the UK referendum on EU membership, the report also notes the growing interconnectedness between the financial sector outside of the banking, insurance and pension fund industries with the wider financial system.

UK: Finance Bill amendment on country by country reporting accepted by the Government

The Finance Bill 2015-16 to 2016-17 completed Report stage in the House of Commons yesterday: see here. Among the amendments accepted by the Government, and therefore incorporated into the Bill, was one tabled by the Rt Hon. Caroline Flint MP. This amendment, number 145, provides the Treasury with power, through Regulations, to require the new group tax strategy report - a public document, which certain large businesses will be required to publish - to include a country by country report (as defined by the Taxes (Base Erosion and Profit Shifting) (Country-by-Country Reporting) Regulations 2016, which do not currently provide for public disclosure).

UK: 'Tackling corporate irresponsibility' - Government consultation this autumn

In a press conference this morning, at the end of the G20 summit in Hangzhou, the Prime Minister, the Rt Hon Theresa May MP, said that the Government would publish a consultation this autumn on proposals to tackle 'corporate irresponsibility': see here. This follows the speech that Mrs May delivered, shortly before becoming prime minister, in which she highlighted weaknesses in the governance framework and proposed various reforms: see here.

Update: a copy of the Prime Minister's press conference speech has been published: see here. With regard to the consultation paper, here is what the Prime Minister said:

.... to restore greater fairness, we will bring forward a consultation this autumn on measures to tackle corporate irresponsibility – cracking down on excessive corporate pay and poor corporate governance, and giving employees and customers representation on company boards".

Thailand: SEC consultation on new Governance and Institutional Investor Codes

The Securities and Exchange Commission has begun a consultation on the introduction of two new codes: a Corporate Governance Code, to replace the Principles of Good Governance for Listed Companies 2012, and a new Code for Institutional Investors. Further information is available here. A public hearing on the new Governance Code was held last month.

UK: Law Commission project on technical issues in charity law - supplementary consultation paper

The Law Commission, as part of its technical issues in charity law project, today published a supplementary consultation paper seeking views on two areas - cy-près and trust corporation status - that have arisen from its initial consultation: see here (pdf). In particular, the Commission seeks views on proposals to (1) make consistent across all charity types the powers for changing a charity's purpose, and (2) simplify the process for seeking trust corporation status.