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UK regulator brings ESG ratings providers under direct supervision

A general view of the 30 St Mary Axe (The Gherkin) and 40 Leadenhall Street (Stanza) office building skyscrapers from The Garden at 120 Fenchurch Street, London, United Kingdom.
Photo: John Keeble/Getty Images

The framework, detailed in PS26/22, effectively ends self-regulation and ESG ratings providers will now face mandatory disclosures.

Bringing the burgeoning ESG ratings industry within its regulatory perimeter for the first time, the FCA has finalized sweeping new rules.

The framework, detailed in PS26/22 published on Tuesday, forces data providers to meet strict new transparency requirements, effectively ending an era of self-regulation for firms that hold immense sway

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