Since the end of the Brexit transition period on 31 December 2020, there has been significant uncertainty regarding the practical application of the UK’s international commitments (in particular, under the EU-UK Trade and Cooperation Agreement) on subsidy control. However, on 30 June 2021, the Government outlined its main legislative proposals for a new UK subsidy control regime. It introduced its long-awaited Subsidy Control Bill (the Bill) to Parliament, published a number of policy papers and…

In the second episode of its podcast series, Baker McKenzie discusses recent developments in foreign direct investment restrictions in the UK. Produced in partnership with Concurrences, a leading antitrust publication, our foreign investment experts Samantha Mobley and Sunny Mann discuss these developments with Sarah Mackintosh, Deputy Director, National Security and Investment, BEIS, London. To access this podcast, and our previous episode focusing on Germany, click here.

Chancellor Rishi Sunak will launch a consultation in the coming weeks on a proposal to enable the National Security Council to prevent companies from listing on London’s financial markets over national security concerns. Decisions regarding the eligibility of companies to list in London are currently made by the UK Listing Authority, a part of the Financial Conduct Authority (“FCA”). A Treasury spokesperson confirmed the plan to create a targeted new power to block listings that…

The National Security and Investment Bill was granted Royal Assent on 29 April 2021, becoming law as the National Security and Investment Act 2021. The UK Government announced in a press release that the regime is expected to commence towards the end of this year. The Act received broad cross-party support in Parliament and is part of a global trend towards increased powers for States to review foreign investments on national security grounds. Business Secretary…

The National Security and Investment Bill is expected to receive Royal Assent on 29 April 2021, following agreement between both Houses of Parliament yesterday. Amendments accepted by the House of Commons include increasing the threshold for mandatory notifications from 15% to 25%, as reported in our previous blog. We will shortly be publishing a client alert on the implications for deals already in progress.

On 27 April 2021, the UK Government announced the formation of the UK Investment Council (the “Council”), with the aim of helping the Government make the UK more attractive to foreign investment. The Council will provide a platform for “influential global investors” to offer high level advice to the Department of International Trade (“DIT”), highlighting their perspectives, priorities and concerns on UK inward investment. Chaired by the Minister for Investment at the DIT, Lord Grimstone,…

As flagged in our previous blog post accessible here, the UK Government has now confirmed, at the House of Lords Report Stage on 15 April, the removal of the 15% threshold for mandatory notification under the National Security and Investment Bill (“NS&I Bill”) regime. This is the first significant amendment to the draft regime in the UK Parliamentary process, and will reduce materially the scope of transactions subject to notification requirements. The threshold for mandatory…

The UK Government has tabled an amendment to the National Security and Investment Bill (NSIB), which would reduce the number of transactions that are required to be mandatorily notified. The Secretary of State for Business, Energy & Industrial Strategy (BEIS), Kwasi Kwarteng, is behind the amendment in response to pressure from the business community, according to a report in The Sunday Times. The amendment would see the percentage threshold, at which businesses must notify the…