Her Majesty’s Treasury (HMT) has opened a consultation, the “Wholesale Markets Review”, which primarily covers the future application of MIFID II in the UK, now that a separate jurisdiction exists following the end of the Brexit transition period. The consultation page can be found here and the document here. The EU has already approved the MIFID “Quick fix” which addresses many of the same issues (see here). However, because it was approved after the transitional period, the changes have not been “on-shored” to the UK. In terms of the commodity derivative market, the proposed changes in the UK often go further than the EU version. Chapter 6 addresses commodity derivatives. The consultation includes proposals to: Change the definition of whether certain transactions are considered Financial Instruments (for example with non deliverable underlyings). Change the Ancillary Activity Test back to being a purely qualitative one. Reduce the position limits regime so that it is primarily managed by trading venues. Remove the Energy Market Participant and Oil Market Participant regimes. Other chapters address issues relating to trading venues, rerpting, and pre and post trade transparency. The consultation closes on 24 September 2021.