UK Finance and AFME have jointly submitted a response to FTSE Russell’s consultation on aligning the free float requirement for UK‑incorporated and non‑UK‑incorporated companies across the FTSE UK Index Series.

 

Members of both organisations welcomed FTSE Russell’s engagement with industry stakeholders and recognised the proposal to set a consistent 10% free‑float threshold as a meaningful step toward enhancing consistency, transparency, and comparability within the index methodology.

 

The joint response highlights that aligning these thresholds has the potential to support greater coherence in the treatment of issuers and provide improved clarity for both issuers and investors. This contributes to a more stable and well‑functioning market environment, reinforcing the importance of transparency and predictability within the UK’s equity market structure.

 

UK Finance and AFME members also expressed support for the proposed three‑month notice period for implementing the change. They emphasised that market participants value clear communication and phased implementation when adjustments are made to key market frameworks, ensuring that changes are adopted smoothly and without disruption.

 

Both organisations reiterated their commitment to constructive, iterative dialogue with market operators and regulators, a principle consistent with broader industry engagement on equity market reforms.