UK grants permanent clearing exemption to pension funds

The UK government has officially removed the clearing obligation for pension schemes by enacting the Pension Fund Clearing Obligation Exemption (Amendment) Regulations 2025. This new law permanently exempts pension schemes from clearing certain over-the-counter (OTC) derivative contracts through central counterparties (CCPs). By eliminating the previous expiry date of 18 June, the government ensures the exemption remains in place indefinitely.