Looser rules and tax breaks can revive the London stock market - CBI

London's stock market risks "drifting into irrelevance" without reforms ranging from tax breaks for listings to looser bonus rules for directors, a lobbying group has said.

- Kalyeena Makortoff

The 20 recommendations from the Confederation of British Industry (CBI), which lobbies on behalf of UK businesses, suggest financial incentives, marketing campaigns and boardroom pay are fundamental to guaranteeing the success of the London Stock Exchange, which has been losing stock market listings and floats to foreign rivals.

"With domestic capital shifting away from UK equities, new listings having slowed... and high-growth firms often looking overseas to raise capital, the UK stands at a pivotal moment for the future of its public equity markets," the CBI said.