On 17 December 2025, HM Treasury published a new consultation paper proposing to repeal the UK BMR and replace it with the Specified Authorised Benchmarks Regime (SABR). Under SABR, only benchmarks or administrators designated by HMT, acting on FCA advice, would be regulated. This represents a major shift from the current regime, which regulates all benchmarks produced in the UK.

HM Treasury has invited feedback on the consultation paper by 11 March 2026.

Following the publication of the LMA Day One ZARONIA Agreement and the update of the South African Rate Switch Agreement to recommended form, the LMA has updated its existing South African Rate Switch Commentary to cover both the Day One ZARONIA Agreement and the unsecured and secured Rate Switch Agreements.  

The LMA welcomes market feedback on the Day One ZARONIA Agreement by 30 January 2026.  Stay tuned for an LMA webinar in January 2026 which covers the latest developments as well as the publication of the Day One ZARONIA Agreement. 

To further support the market’s transition from JIBAR to ZARONIA, the LMA is pleased to have published three key documents: 

• Exposure draft day one ZARONIA facility agreement (with comments due by 30 January 2026)
• Recommended form SA rate switch agreement (unsecured)
• Recommended form SA rate switch agreement (secured)

An updated commentary on the interest rate provisions in these documents will be made available shortly.