Question to the HM Treasury:

To ask Her Majesty's Government what assessment they have made of (1) the practice whereby shares lent for short selling are sold without the explicit knowledge of the beneficial owner, and (2) whether regulatory authorities are able to ensure that those using this practice comply with relevant legislation.

This practice is regulated under the terms of the EU’s Securities Financing Transactions Regulation and the UK Money Markets Code. The European Supervisory Authorities, Financial Conduct Authority and Bank of England are responsible for enforcing the Securities Financing Transactions Regulation.