Contracts for differences (CFDs) meaning

Recent context Across the globe, 2023 proved a perfect storm for offshore wind. Between permitting delays and grid connection hurdles, together with inflation and supply chain pressures, a number of developers have looked to renegotiate their previously agreed offtake arrangements, or else to end their commitments under those off-take contracts by paying fines. In other parts of the globe, we saw an uncapped negative bidding auction in Germany’s 7-GW wind round, and in the UK we saw no offshore wind projects being awarded Contracts for Differences (CfDs) in Round 5. So, what lies ahead for the rest of 2024? Key offshore wind sector themes in 2024 The following five key themes are likely to develop during the course of 2024: Bigger wind turbine generators (WTGs) Cost pressures have played havoc with renewable project economics worldwide. In today's fast-growing offshore wind market, not only in Europe but also across the globe (including in the United States of America), raising WTG nameplate capacity per turbine gives developers...

The derivative contracts rules The derivative contracts regime determines how a company’s profits and losses arising from its derivative arrangements are taxed. The core provisions are contained in Part 7 of the Corporation Tax Act 2009 (CTA 2009), which this Practice Note refers to simply as Part 7. Relevant secondary legislation also applies, in particular the regulations commonly called the ‘Disregard Regs’ (the Loan Relationships and Derivative Contracts (Disregard and Bringing into Account of Profits and Losses) Regulations 2004, SI 2004/3256). This Practice Note considers the entities involved, together with the categories of instruments and transactions that fall within the ambit of the derivative contracts regime. For rules on computation—covering how profits and losses on derivative contracts are calculated and brought into account for corporation tax—see Practice Note: Taxation of derivatives—the main rules...

Banking & Finance glossary A Auditing and Accounting Organisation for Islamic Financial Institutions (AAOIFI) The foremost Islamic, international, autonomous, independent, not-for-profit corporate body that develops and issues accounting, auditing, governance, ethics and Shari’ah benchmarks and standards for Islamic Financial Institutions (IFIs) and the wider Islamic finance sector. Founded in Bahrain in 1991, it is backed by a number of institutional members across more than 45 countries, including central banks and regulatory authorities, financial institutions, accounting and auditing practices, and legal firms. Its pronouncements are currently applied by leading Islamic financial institutions across the world and have advanced a progressive and gradual harmonisation of global Islamic finance practice. It also delivers professional qualification programmes—notably Certified Islamic Professional Accountant (CIPA), Certified Shari’ah Adviser and Auditor (CSAA), and the corporate compliance programme—in efforts to strengthen the industry’s human capital and governance frameworks. For further details, see Practice Note: Key participants in the Islamic finance industry—Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI). Acceleration Acceleration is the formal action...

FORTHCOMING CHANGE relating to the modernisation of stamp taxes on shares framework: From 2027, stamp duty and SDRT will be brought together into a single, self-assessed charge on securities—the securities transfer charge (STC)—which will be paid and filed via a new online portal. The STC is expected to broadly mirror the features proposed in the 2023 consultation. Finance Bill 2026 (FB 2026) provides a power, effective from Royal Assent, to make secondary legislation enabling taxpayers to pilot the digital service by self-assessing their stamp taxes on securities liabilities and submitting transaction details electronically through the service. For further information on the modernisation of stamp taxes on securities, see News Analyses: Budget 2025—Tax analysis—Stamp and transfer taxes, Tax update spring 2025—Stamp taxes on shares modernisation, Tax update spring 2025—Tax analysis—Stamp and transfer taxes, TAMD 2023—Stamp taxes on shares modernisation, TAMD 2023—consultation—stamp taxes on shares and Tax Administration and Maintenance Day—27 April 2023—Stamp and transfer taxes...