The Financial Conduct Authority (FCA) has submitted an application to the UK’s High Court to lift the suspension on a contract awarded for a bond consolidated tape.
The FCA is seeking permission to sign a contract with Etrading Software for the provision of the consolidated tape, which integrates multiple sources of trading data into a single stream. This initiative aims to enhance transparency and accessibility while reducing costs and improving quality.
Etrading was selected for the £4.8 million contract in August, but a legal challenge from rival bidder Ediphy in September halted the selection process. Ediphy claims that a technical fault in the auction software resulted in its wrongful exclusion from bidding.
The vendor previously secured a deal with the European Securities and Markets Authority for a bond consolidated tape in the EU and is currently pursuing damages.
The FCA argues that allowing it to proceed with the contract signing for Etrading is essential for moving forward with the delivery of the tape and addressing the legal challenge simultaneously. In a statement, the FCA emphasized, “It is in the public interest to deliver the important benefits of the tape as soon as possible. We believe the legal challenge is without merit and should not obstruct this process.”