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Select committee: Financial Services Regulation Committee

Response from HM Treasury to the Committee’s 3rd Report of Session 2024–26, ‘Private markets: Unknown unknowns’

Published 9 March 2026

Financial Services Regulation Committee Growth of private markets in the UK following reforms introduced after 2008 Report on parliament.uk ↗

At a glance

The government's response

This document responds to 3rd Report - Private markets: Unknown unknowns.

This is the government's response, published 9 March 2026.

Summary written by Accountability Index from the government's response. It is not the government's own words.

The Government "welcomes the report" and "fully agrees" on the need for vigilance about financial stability risks from private markets, while rejecting "any notion that the Treasury is passive" in the face of them.

  • On the Bank of England's System-Wide Exploratory Scenario, the Government welcomes it and "strongly supports" it. Should it indicate risks that "may warrant a policy action", the Treasury will work with the Bank on what may be "necessary and proportionate" action.
  • On regulators' powers, the Treasury keeps them "under ongoing review" and is "committed to ensuring regulators' powers" allow access to appropriate information. "Where necessary", it will act to strengthen protections while keeping regulation "proportionate and targeted".
  • On data, the Government agrees it is important to understand trends in corporate debt and lending, and "recognises the need to strengthen the coverage and granularity of relevant data".
  • On SME lending, it points to the PRA's "SME lending" adjustment in Basel 3.1 and a commitment to support industry to roll out 350 banking hubs "by the end of this Parliament". The FPC will give a further update on its bank capital review on 7 July.

Read the government's response ↗ Report an error

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