Question to the HM Treasury:

To ask Her Majesty’s Government, further to the Written Answer by Lord O’Neill of Gatley on 27 January (HL4999), when the Financial Conduct Authority (FCA) last monitored or audited the procedures that require institutions explicitly to set out that they may lend shares on behalf of investors for the purpose of short selling; and what assessment they or the FCA have made of whether beneficial owners of shares are fully aware of the consequences to them of their shares being lent for short selling.

This is an operational matter for the Financial Conduct Authority (FCA), who are operationally independent from Government. The question has been passed on to the FCA. The FCA will reply directly to the Noble Lord by letter. A copy of the letter will be placed in the Library of the House.