The UK Financial Conduct Authority (FCA) is investigating whether the London Stock Exchange Group and the landlord of the LSE data centre building have hindered competition for low latency connectivity services (LLCS) between certain trading venues.
Currently, only LSEG can use the rooftop of the data centre building for radio equipment used for LLCS. To address FCA’s competition concerns, LSEG and the landlord have proposed to offer equal access to the rooftop to others.
LLCS providers build and operate high-speed connections between trading venues, which allow trading firms to process trades very quickly. Offering very fast connections is key to competition, and to maximise the speed of their connections, providers must be able to place radio units close to trading venues.
The FCA’s investigations under competition law relate to the supply of LLCS between the LSE trading venue in London and two other trading venues in the UK: Cboe Europe and ICE. Currently, LSEG has exclusive rights to locate radio units on the rooftop of the data centre building.
The FCA is concerned that these rights and LSEG’s rooftop policy at the LSE trading venue prevent rival LLCS providers from installing equipment on the rooftop, favouring LSEG’s own LLCS and so hindering competition.
To address FCA’s concerns, LSEG and the landlord have proposed:
- To end LSEG’s exclusive rights to the rooftop. In future, LSEG will only use part of that space for its equipment.
- To make an equivalent space on the rooftop available to third parties, on a fair and reasonable basis.
The FCA provisionally considers that the commitment proposals address its competition concerns. The regulator consulting on them before reaching a final decision on whether to accept them and close the investigations accordingly.
The consultation runs from 11am on 5 September 2025 to 5pm on 29 September 2025. Any person wishing to comment on the proposed commitments should email: CA98.2023.02@fca.org.uk.
