WASHINGTON (Reuters) -The U.S. Securities and Exchange Commission on Tuesday said it was conditionally allowing stock exchanges to lower costs tied to a comprehensive market surveillance system that has been in development for more than a decade.

In a statement, SEC Chair Paul Atkins said that the so-called Consolidated Audit Trail "must be more efficient and cost-effective," especially in light of a recent court decision invalidating the funding model adopted under former President Joe Biden in 2023.

(Reporting by Douglas Gillison in Washington)