Financial regulators from China and the United Kingdom have explored the feasibility of new mechanisms to facilitate two-way investment flows, as part of efforts to strengthen bilateral financial cooperation amid broader high-level exchanges between the two countries.
The discussions took place at the first meeting of the China–UK Financial Working Group (FWG), held in Beijing and announced by the People’s Bank of China (PBC). The meeting was co-chaired by Pan Gongsheng, governor of the PBC, and Lucy Rigby, Economic Secretary to the HM Treasury.
Focus on connectivity and market access
According to a joint readout, regulators from both sides examined the possibility of establishing a new “connect” programme aimed at improving cross-border investment access. Building on existing frameworks, including the China–UK Stock Connect, the two sides said they would encourage eligible companies to seek listings in each other’s markets and continue exploring deeper market connectivity.
A key item on the agenda was the feasibility of a China–UK Wealth Connect programme, which would enable two-way investment by individuals and institutions, channel long-term or “patient” capital, and deliver stable returns for investors in both jurisdictions. Such a scheme would mirror similar connect arrangements China has developed with other financial centres, while adapting to the regulatory environments of both countries.
Broad regulatory cooperation
Beyond market access, the meeting covered a wide range of regulatory and policy issues. Participants exchanged views on global macroeconomic developments and financial stability, financial regulation and supervision, and market development. They also discussed cooperation on anti-money laundering, anti-counterfeit currency measures, and crisis management, and agreed to strengthen collaboration in areas such as central counterparty supervision and sustainable finance capacity building.
The joint readout described the meeting as delivering several “tangible cooperation outcomes”, signalling a pragmatic approach to financial engagement despite wider geopolitical uncertainties.
London’s role in renminbi markets
China reiterated its recognition of London as one of the world’s largest and most dynamic offshore renminbi centres. The PBC said it supports UK-based Chinese financial institutions in developing new renminbi-denominated financial products, reinforcing London’s role as a gateway for China-related financial activity in Europe.
Analysts view the launch of the China–UK Financial Working Group as an institutional step towards stabilising and deepening financial ties. While concrete programmes will require further technical work and regulatory approval, the discussions suggest a shared interest in expanding cooperation in a controlled and rules-based manner, positioning finance as a stabilising pillar in the broader China–UK relationship.