Government action needed to halt UK equity market decline

Companies say regulation should be rolled back

Fund managers and listed UK companies expect the decline of the UK's public equity markets to continue into the 2020s, calling on the Government to roll back onerous regulation, reduce IPO costs and overhaul the dividend tax regime, a survey has revealed.

Three-quarters (75%) of investors and companies told a survey carried out by YouGov for broker Peel Hunt and the Quoted Company Alliance (QCA) they were concerned over the de-equitisation of UK stockmarkets. Almost two-thirds (64%) of investors said appetite for private companies to come to market had decreased as a direct consequence of MiFID II regulation, while 60% of firms blamed 'burdensome listing requirements'. IPO activity to remain subdued in Q4 amid 'sea change' on US tech listings 'bubble' Eight in ten (82%) fund managers reported seeing less research on mid- and small-c...