Key takeaways:

• The UK’s Financial Services Authority (now the Financial Conduct Authority) has levied a fine of more than £2 million on a UK Premium Listed company for breaches of the Listing Rules, a significantly higher fine than seen in previous cases involving a similar breach.
• The fine levied in this case was calculated by the regulator using a new method based on a percentage of market capitalisation of the company in breach.
• The Financial Conduct Authority has made clear its intention to pursue breaches of the Listing Rules more actively and that it will use the new market capitalisation method to calculate fines, which is likely to mean a very marked increase in the level of fines imposed.