Here's the link to the Regulators full response
Please put your thoughts on record here, from an initial reading I have to say this looks quite balanced and positive.
The concern regarding it causing a detrimental effect to any grant funding has been noted so hopefully we'll get some centralised work done on that, the current situation is pretty erratic already.
It definately opens up the potential in the CLS model. In my opinion 20% isnt too much but is generous,the shares will still be illiquid so rampant speculation isnt about kick the door in, its a positive step. This WILL attract a whole new range of potential funding, and even though its a slight stretch of the social investors imagination we can now say there is potential for a return of capital in 5 years. When matched against a testing environment this could help solve some of the funding issues anticipated, so we'll probably go all out and focus on the positive outcomes this should create. The Regulator will be reviewing again in 2/3 years, so its important we all ensure we keep feeding good data in.
We'll definately be discussing this at CIC Start 2010 on the 18th so come along if you want express your views, the afternoon session is destructured to allow the debate to develop on the day.