The Prudential Regulation Authority (PRA) is in the process of reviewing risk weights on banks’ assets. Allica Bank commissioned Oxera to review the PRA’s proposals, particularly as they are likely to affect Allica’s, and various other banks’ core activity, SME lending. SME finance is important for the general health of the… Read More
The European Commission’s Directorate-General for Financial Stability, Financial Services and Capital Markets Union (DG FISMA) has recognised the importance of companies reporting accurate information for the efficient operation of financial markets in its recent consultation on the quality of corporate reporting. In particular, in its Call for Evidence on the… Read More
The European Commission has published a proposal on its regulatory approach towards ‘instant payments’ (‘IPs’), which are bank credit transfers settled in real time. In the EU, the technical standard for IPs is SEPA Instant Credit Transfer (‘SCT Inst’). The existing credit transfers that are not in real time are… Read More
Ill health among working-age people presents a substantial and rising cost to the UK economy, individuals and taxpayers. Addressing this challenge is not only socially desirable but an economic imperative. Oxera was asked by The Times to estimate the costs of ill health among the UK working-age population, to support… Read More
Energy prices in Europe started rising in autumn 2021. Energy demand had increased as the COVID-19 pandemic receded, which coincided with a tight liquified natural gas (LNG) market and relatively low gas storage volumes going into winter 2021/22. In early 2022, Russian aggression towards Ukraine and the corresponding reduction in… Read More
On 23 February 2022, the European Commission published its draft Data Act, a proposal for a regulation of access to and use of data, in particular data generated by IoT devices and related services. The Data Act is primarily intended to unlock the value of data by increasing the extent… Read More
In response to Ofwat’s proposed a methodology for estimating the risk-free rate (RFR) for PR24, this report presents an alternative methodology that is rigorous and aligned with previous decisions made by the Competition and Markets Authority (CMA) in its redetermination for the PR19 price control. The report first reviews the… Read More
The UK’s participation in the European Geostationary Navigation Overlay Service (EGNOS) Programme ended on 25 June 2021, leading to a withdrawal of legal indemnity for the use of EGNOS. EGNOS improves the integrity and precision of GPS services. In particular, the EGNOS safety-of life (SoL) service is used in safety-critical… Read More
With the debate about the costs of market data in equity trading markets, this note summarises and clarifies the issues being raised, checks the main facts, and explains how to assess market data from a public policy perspective. Read More
The European Commission has put forward the Fit for 55 proposals to achieve a 55% reduction in carbon emissions by 2030 relative to 1990 levels, and to meet net zero targets by 2050. In particular, to address the aviation sector’s impact on the environment, the European Commission has proposed mandating… Read More
