Minutes of the UK Money Markets Code Sub-Committee – December 2025

Minutes

Item 1. Introduction & Minutes of last meeting

The Co-Chair welcomed the Committee to this hybrid meeting and noted that the minutes of the last UK Money Market Code Sub-Committee meeting (held on 3 June 2025) is on the Bank’s website.

Item 2. An Update for the UK Money Market Sub-Code Committee

The Code Sub-Committee secretariat noted that the updated UK Money Market Code (“Code”) has been formally re-recognised by the Financial Conduct Authority (FCA) as an industry standard for a period of three years i.e. until 3 November 2028. Following this news, the Bank published a Press Notice.

The secretariat also noted that 30 firms had re-attested to the Code since it was updated. The Committee suggested promoting the Code via social media (in addition to the other avenues used in the past) to reach a wider audience in a bid to get more firms to re-attest to the updated Code. The secretariat will explore potential options.

Item 3: DBV for Bank of England’s Short Term Repo (STR) Facility: An update

EUI is planning to change the allocation method for DBV from selecting bonds with the highest value in a member’s portfolio to selecting the bonds which attract the lowest haircut, first. The plan is to implement this change in EUI’s April 2026 release.

This change supports the feedback received from the market following the Bank’s Discussion Paper, ‘Transitioning to a repo-led framework’, which was published in December 2024. Market consensus suggests that being able to use DBV (which allows for DvP settlement) will help reduce operational frictions.

Against the backdrop of increased usage of the STR, the Committee agreed that this change will encourage the market to use DBV for the STR and thus benefit from some of the operational efficiencies of DBV.

Item 4: EUI Transformation Project: An update

Committee members were given an update by Euroclear on the CREST Transformation project which aims to modernise Crest’s infrastructure.

CREST will be increasing its engagement with the market in 2026.

On the collateral stream of the project, CREST have done their proof of concept for the Tri-Party within EUI and will be holding another workshop in 2026. This work aims to move from Euroclear’s DBV product to Tri-party (EUI-Triparty) and establish a Collateral Management System (CMS) which will conduct the auto selecting of collateral rather than DBV. The timeline for collateral stream is end of 2028.

The new CREST web GUI is now live with the early adopters actively using it. This will be rolled out to all users throughout 2026.

The position and settlement stream of the project is under development and ongoing. CREST is currently engaging with the market with regards to the likely design and key protocols associated with the new settlement system.

CREST will be providing an update on the project at the next meeting.

Item 5. AOB

UK Money Market Code Sub-Committee meetings for next year will be held on Wednesday, 17 June and Wednesday, 9 December 2026.

Committee attendees

Attendees (in-person)