The UK has intensified efforts to reverse the decline in London’s public equity markets by introducing plans to create a consolidated stream of share-trading data and increase transparency around market liquidity. The Financial Conduct Authority (FCA) announced it will award a contract next year to establish a comprehensive record of all equity transactions, incorporating pre-trade bid and offer prices and post-trade data from the London Stock Exchange (LSE) as well as alternative trading venues like dark pools.

From this week, the FCA began publishing data on its website showing the total value of trading in UK-listed shares. The regulator aims to address what it sees as significant under-reporting of liquidity in London’s market, a factor believed to have driven some companies to list outside the UK.

Simon Walls, FCA executive director of markets, indicated that the initiative is designed to increase transparency and attract new investors, stating the move would clearly benefit UK markets by making more comprehensive data widely available. He noted that many investors currently lack access to full trading information, which leads to underestimating the size and liquidity of London’s markets—estimated by the FCA to be three times larger than figures published by some market data providers.

Recent trends have raised concerns about London’s diminishing position as a listing venue. The value of takeover bids targeting companies listed on the LSE exceeded the market value of new listings by a factor of 27 in the first half of this year. This imbalance reflects a decline in major initial public offerings and the relocation of some UK-listed companies to exchanges in the United States.

The FCA’s tender will seek a provider to deliver a so-called UK equity consolidated tape—a centralized platform for all share trading data. The agency expects to launch this tape within 18 months, under a five-year contract. The move is intended to foster greater market confidence and make the UK a more competitive listing destination relative to other major financial centres.

Bertie Whitehead, head of corporate broking at Goldman Sachs, welcomed the consolidated data initiative, suggesting it may enhance the appeal of the UK and European markets compared to the US. However, he acknowledged that many companies may still find the US the most appropriate venue for their listings, depending on their circumstances.

While most market participants opposed the FCA’s initial proposal to publish aggregate trading data last year, the LSE supported the decision, warning that withholding such information would disadvantage banks by allowing them to benefit unfairly as “free-riders” on market liquidity.

The FCA’s efforts come amid broader strategic aims to rebuild London’s stature as a global equity hub, ensuring greater transparency and more comprehensive data availability are seen as key components in reversing recent declines.