Biba 2026: Government introduces new Enhancing Financial Services Bill

The government has introduced a new Enhancing Financial Services Bill as it looks to modernise how the sector is regulated.

The bill was announced as King Charles outlined the government’s law making plans for the coming year in a speech to the House of Lords today (13 May 2026).

The bill aims to deliver key parts of the Leeds Reforms set out by the chancellor in 2025 and help the sector grow.

Key goals of the bill include modernising consumer protections and redress arrangements to reflect today’s markets, as well as consolidating the regulatory framework to enable stronger coordination and clearer responsibilities, reduce fragmentation of the regulators and support innovation.

The bill also aims to ensure that the administrative burden on firms is proportionate without compromising on core consumer, prudential and market protections.

”The UK financial services sector has continually been at the forefront of innovation,” the government said.

“However, global competition has intensified and the UK needs to keep up the pace. This has meant that in recent years, the sector has experienced slower growth and productivity gains and higher costs. We want Britain to be more competitive globally and to harness the UK’s global leadership in financial services, so it is better able to support UK businesses and consumers,” the government said.

Biba’s view on bill

In January 2026, Biba renewed its call for a new Financial Services Bill as part of a wide-ranging push to reduce regulatory friction across the UK general insurance market.

Back then, chief executive Graeme Trudgill said the association was pressing HM Treasury to introduce a new Financial Services Bill early in the next parliamentary session to act as a legislative vehicle for reforms already trailed by government and regulators.

Speaking to delegates at the 2026 Biba Conference just ahead of the new bill being announced, Trudgill said: “We need this bill to carry forward the regulatory reforms we have been discussing with the city minister Lucy Rigby.

”We want these reforms to include a shorter regulatory authorisation framework for the FCA, much needed reforms to the Financial Ombudsman Service (FOS), simplification of the senior managers and certifications regime and to allow the gateway to growth provisional licence system for start up firms.”