Clifford Chance
Covered bonds: changes and challenges for the UK market
23 July 2013
Clifford Chance's Peter Voisey and Will Sutton outline the regulatory changes affecting the UK covered bond market, but remain optimistic that clarity and certainty will emerge.
The first half of 2013 has undoubtedly been slow in the UK covered bond market. Issuance levels are well down from their equivalent in 2012 and 2011. Nevertheless, the regulatory and macro-economic landscape that impacts the UK covered bond market has not stood still, indeed far from it. It remains to be seen how the UK covered bond market will develop in the face of these changes. This article will analyse some of the challenges that the UK market faces, and will also consider some other recent market developments.
