A Bill to make provision about listed investment companies; the classification and characteristics of those companies; and for connected purposes.
House of Lords
18 March 2026
May contain errors — check source documents for definitive information.
The Listed Investment Companies (Classification etc) Bill creates a formal category of listed closed‑end investment companies (LCICs) and sets out how they should be classified, valued and charged. It clarifies regulators’ roles, ensures costs are disclosed in line with LCIC features, and explains how LCICs differ from open‑ended funds. The bill applies across the UK and becomes law on the day it is enacted.
The bill started in the Lords and has moved through Lords stages, with a discharge of a commitment and a 3rd reading completed there. It has moved to the Commons and is at the 2nd reading in the Commons as of May 2026.
Generated 21 February 2026
5 Sept 2024
15 Nov 2024
2 Dec 2024
13 Dec 2024
18 Dec 2024
15 May 2026
The next stage for this Bill, Second reading, is scheduled to take place on Friday 15 May 2026, although the House of Commons is not expected to be sitting on that date.
The Bill completed its House of Lords stages on Friday 13 December 2024 and was presented to the House of Commons on Wednesday 18 December 2024. This is known as the first reading and there was no debate on the Bill at this stage.
The Listed Investment Companies (Classification etc) Bill creates a framework for listed closed-end investment companies (LCICs) traded on UK markets, defining what LCICs are and how regulators such as the FCA and the Pensions Regulator must apply LCIC characteristics. It states LCIC shares are traded instruments priced by share price, investors have no NAV-based redemption rights, and management and operating expenses are deducted from the LCIC’s NAV with costs publicly disclosed, with no direct charges to shareholders. It also amends EU cost-disclosure rules to reflect LCIC features and clarifies that ongoing costs relate to the share price, not ongoing charges; the Act extends to England, Wales, Scotland and Northern Ireland and takes effect on the day of enactment.
The Committee’s Second Report flags two main concerns: first, in the Passenger Railway Services (Public Ownership) Bill it questions a broad repeal power for sections 30A–30B and seeks clarity on its limits (and whether the affirmative procedure should apply); second, in the Product Regulation and Metrology Bill it criticises skeleton clauses that would leave most regulatory substance to regulations, including powers to create criminal offences, and calls for their removal or substantial justification and greater parliamentary scrutiny. The report notes that other listed Bills contain no related concerns.
The Listed Investment Companies (Classification etc) Act 2024 defines Listed Closed‑End Investment Companies (LCICs) and requires regulators to apply rules based on LCIC characteristics. It amends cost-disclosure rules so the share price is used as the LCIC’s value, ongoing charges exclude LCIC costs (with certain fees treated as non‑ongoing), and there are no entry charges disclosed to investors; shareholders generally do not have redemption rights in ordinary trading. The Act applies UK-wide, clarifies LCICs’ status relative to open‑ended funds, and comes into force on the day it is passed.
No recorded votes for this bill yet.
