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THE STATE OF INSIDER DEALING ENFORCEMENT IN THE UK: ADDRESSING MARKET ABUSE

Ricky Martin , Department of Accounting and Corporate Governance, Macquarie University, Sydney, NSW 2113, Australia

Abstract

Insider dealing and market abuse continue to pose significant challenges to the integrity of financial markets worldwide. In the United Kingdom, the enforcement of laws against these practices has been a key focus for regulatory bodies such as the Financial Conduct Authority (FCA). This paper examines the state of insider dealing enforcement in the UK, analyzing the effectiveness of the legal framework and regulatory mechanisms in addressing market abuse. Through a detailed review of key cases, enforcement actions, and policy changes over the past decade, this study evaluates the UK’s record in combatting insider trading and other forms of market manipulation. The paper also explores the role of the FCA, the legal challenges involved, and the broader implications for market confidence. While progress has been made in increasing the detection and prosecution of market abuse, challenges remain, particularly in terms of resource allocation, enforcement consistency, and the evolving nature of financial markets. The study concludes by proposing recommendations for strengthening enforcement strategies to ensure that the UK remains a leader in market integrity and investor protection.

Keywords

Insider Dealing, Market Abus, UK Financial Market

References

The regulation of insider dealing in the UK: some empirical evidence concerning share prices, merger bids and bidders’ advising merchant banks

Stock Market Efficiency, Insider Dealing and Market Abuse

Criminal insider trading: prosecution, legislation and Justification

Stock Returns Following Profit Warnings

Measuring market cleanliness

Insider trading, news releases and Ownership Concentration

Stock Returns following Profit Warnings: A Test of Models of Behavioural Finance

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THE STATE OF INSIDER DEALING ENFORCEMENT IN THE UK: ADDRESSING MARKET ABUSE. (2024). International Journal of Law, Crime and Justice, 4(06), 1-5. https://www.academicpublishers.org/journals/index.php/ijlcj/article/view/1568