Mini Budget 22: Government to 'scrap' Solvency II to boost investment

Chancellor says replacing EU law with rules ‘tailor made for the UK’ will free up billions

Jonathan Stapleton
clock • 1 min read
Kwasi Kwarteng. Image: Andrew Parsons/Number 10
Image:

Kwasi Kwarteng. Image: Andrew Parsons/Number 10

The government will replace Solvency II regulations with “rules tailor made for the UK” in a bid to free up billions of pounds of investment, Kwasi Kwarteng has announced.

In the HM Treasury Growth Plan 2022 - released as part of the Mini Budget today - the chancellor said the financial services sector would be at the heart of the government's programme for driving growth across the whole economy.

The plan said that, later this autumn, the government would "bring forward an ambitious deregulatory package to unleash the potential of the UK financial services sector".

It said this would include the government plan for repealing EU law for financial services and replacing it with rules tailor made for the UK, and "scrapping EU rules from Solvency II" to free up billions of pounds for investment.

Solvency II is the EU directive that sets out regulatory requirements for insurance firms, including pension buy-in and buyout providers. It covers areas such as financial resources, governance and accountability, risk assessment and management, supervision, reporting and public disclosure. It came into force at the beginning of 2016.

More on Regulation

FCA to move Leeds office

FCA to move Leeds office

Signs 2 Wellington Place agreement

Jen Frost
clock 22 October 2026 • 1 min read
FCA small firms guide to help businesses respond in 'proportionate' way

FCA small firms guide to help businesses respond in 'proportionate' way

Sara Woodroffe outlines review timelines and speaks on guide

Sophia Panayi
clock 22 October 2026 • 2 min read
Appointed representatives: Are you really in control of the risks?

Appointed representatives: Are you really in control of the risks?

'The FCA doesn't just want oversight, it wants evidence'

Paul Bruns
clock 06 October 2026 • 7 min read

In-depth

Deal Dive: The bigger advice deals keep coming

Deal Dive: The bigger advice deals keep coming

What Q3 2026 had in store

Isabel Baxter
clock 27 October 2026 • 3 min read
Advice JVs: Why professional services tie-ups are moving beyond referrals

Advice JVs: Why professional services tie-ups are moving beyond referrals

Firms look to joint brand relationships

Isabel Baxter
clock 27 August 2026 • 6 min read
The banks are back: What does this mean for advisers?

The banks are back: What does this mean for advisers?

Banks ‘uniquely positioned’ to provide advice to mass market

Sophia Panayi
clock 24 August 2026 • 6 min read