We are pleased to have published further South African law documentation to assist the loan market in transitioning away from JIBAR to compounded ZARONIA. 

The Unsecured Single Currency Single Borrower Term and Revolving Facilities Agreement Incorporating Rate Switch Provisions (the “Exposure Draft SA Rate Switch Agreement”) provides for an in-built switch from JIBAR to a backward-looking compounded ZARONIA on the occurrence of specified trigger events. It includes mechanics and provisions for transition which are intended to mitigate the risk of a further amendment being required.

On 30 April 2024, the FCA published a policy statement on Rules Relating to Securitisation (PS24/4). This policy statement summarises feedback received on its previous consultation paper (CP23/17) to which the LMA responded in October 2023.

We were pleased to see that both the FCA and PRA took into consideration our response to the consultation, including:

• To provide market participants with sufficient notice ahead of the final provisions entry into force (we now expect an implementation date of 1 November 2024);
• To broadly align their drafting so as to avoid unnecessary or unintentional divergence; and
• To implement a principles-based approach to due diligence for institutional investors and move away from template-based reporting requirements for non-UK originators/ sponsors/ SSPEs​​​​​

Our new flagship event, FutureLend 2024, is intended to empower and inspire young lenders and bankers with a shared passion for finance.

Offering a fantastic opportunity to network with senior industry professionals and to explore topics ranging from new technologies and innovations to diversity in the finance industry, FutureLend 2024 will help you to plan and develop your career.

On 2 May 2024, we published an updated guidance note in relation to the Directive on Administrative Cooperation (commonly known as "DAC6"). This follows a consultation on 28 March 2023 whereby the rules implementing DAC6 in the UK were repealed and replaced with The International Tax Enforcement (Disclosable Arrangements) Regulations 2023 (the "Regulations").

The guidance note covers the applicability of both regimes.

We are pleased to have published the LMA’s Sustainability Coordinator Letter (the SC Letter).

The SC Letter is intended to provide a starting point for negotiation where a sustainability coordinator is to be appointed on a sustainable lending transaction. 

The SC Letter is aligned with the Draft Provisions for Sustainability-Linked Loans published on 4 May 2023.

Given that the sustainability coordinator role is continuing to develop, the SC Letter will be kept under review and updated periodically as required.