Advocate General Jaaskinen has advised the Court of Justice of the EU to grant the United Kingdom's challenge and annul Article 28 of the Short Selling Regulation (Regulation 236/2012). The AG ruled in favour of the UK on one of its grounds, holding that Article 28 went beyond internal market harmonisation, and so Article 114 TFEU was not a proper legal base. If the Court follows the Opinion, the power conferred on the European Securities and Markets Authority to ban short selling will be struck down, and a replacement provision could only be adopted unanimously by all of the EU Member States (under Article 352).
The opinion is here.
Jemima Stratford QC and Andrew Henshaw QC appeared for the United Kingdom.