§ Mr. Arbuthnot
To ask the Secretary of State for Trade and Industry if he will make a statement on the implementation of the insider dealing directive.408W
§ Mr. Redwood
I am today publishing a consultative document on the Government's proposals for changes to the insider dealing law. The proposals reflect both our experience of the operation of our present law, and the insider dealing directive which was unanimously agreed by the Council of Ministers on 13 November.
The directive sets minimum requirements for member states to follow in prohibiting insider dealing. We have in a number of areas gone beyond these requirements. We are also suggesting a substantial change by relating the offence to transactions done by or through authorised persons under the Financial Services Act rather than to the current complex structure of deals done on or off a recognised stock exchange.
We are inviting comments by the end of February 1990. I am arranging for a copy of the paper to be placed in the Library of the House.