The interpretation of certain elements of the Financial Collateral Arrangements Regulations (“FCARs”) has remained an area of legal uncertainty for a number of years. The main issue with the FCARs relates to a lack of comfort that structures not involving title transfer (e.g. pledges, mortgages, other security interests) fall within the scope of the FCARs and are therefore subject to its protections. The FCARs are listed in Schedule 1 of the Financial Services and Markets Act 2023 and will therefore be revoked in due course. The Committee asks the Government to use this opportunity to ensure that the replacement legislation for the FCARs clarifies the areas of uncertainty.