The London stock market risks “drifting into irrelevance” without government and regulatory reforms, ranging from tax breaks for stock market listings to looser bonus rules for directors, a lobbying group has said.
The 20 recommendation put forward by the Confederation of British Industry (CBI), which lobbies on behalf of UK businesses, suggest financial incentives, marketing campaigns and boardroom pay are central to guaranteeing the future success of the London Stock Exchange, which has been losing stock market listings and floats to foreign rivals.
“With domestic capital shifting away from UK equities, new listings having slowed … and high-growth firms often looking overseas to raise capital, the UK stands at a pivotal moment for the future of its public equity markets,” the CBI said.
The lobbying group claims that tax breaks could persuade more companies to list their shares. By making the costs of a flotation or initial…
