Irish Stock Exchange - The New Regime

The European Union Investment Services Directive requires each EU country to have a statutory regime, and a statutory authority, for approving stock exchanges and to authorise and supervise broking firms. Most EU countries, including Ireland, are currently in the process of putting the necessary legislative frame-work in place.

Under the new regime, it will be no longer possible to continue the type of relationship which the Irish Stock Exchange has had with the London Stock Exchange i.e. with one corporate entity operating in the two countries, subject to two separate statutory authorities.

The Stock Exchange Bill 1994, which has been delayed in its enactment by the change of government at the end of 1994, outlines how the Irish Stock Market will be administered after the "split" from the London Stock Exchange. The most significant features of the Bill are as follows: