UK government to rely on regulator for Shein IPO scrutiny

The UK government has chosen to entrust the Financial Conduct Authority (FCA) with the responsibility of examining Shein's planned stock listing in London. This decision means that there will not be a thorough investigation into the labor practices of the fast-fashion retailer.

The government believes that the FCA has the necessary mechanisms to address any potential concerns regarding Shein's employment practices and supply chain operations. Shein, which has been accused of using cotton associated with forced labor in Xinjiang, China, has denied these claims.

Despite calls from some members of the Labour Party for a comprehensive review, the government has opted for a hands-off approach, relying on existing regulatory frameworks to ensure compliance with labor standards as Shein seeks to enter the London Stock Exchange.

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