FCA Launches Further Brexit Consultation
The Financial Conduct Authority (FCA) published a further consultation on its approach to the UK’s exit from the EU. Today’s paper sets out additional proposals to prepare for the possibility the UK leaves the European Union on 29 March 2019 without an implementation period.
The FCA is working to ensure as smooth a transition as possible as the UK prepares to leave the European Union. Earlier this year, we set out the FCA’s role in preparing for Brexit. This consultation, along with those published in October, is an important part of this work.
This consultation paper principally focuses on a range of Handbook and BTS amendments which were not included in our earlier consultation papers issued in October. It also consults on:
- further amendments to the Handbook regarding the Temporary Permissions regime
- amendments to the Handbook to reflect the new Credit Rating Agency and Trade Repository regimes
- our approach to non-Handbook guidance and our approach to forms that appear in the Handbook
The FCA is not proposing any policy changes unrelated to Brexit in this consultation paper.
Nausicaa Delfas, Executive Director of International at the FCA said:
“The FCA is preparing for a range of scenarios. We have published further proposals to prepare for the possibility the UK leaves the EU in March 2019 without an implementation period.
“Our aim is to provide certainty and confidence for firms operating in the UK. These proposals will ensure we have a robust regulatory regime from day one, and a smooth transition for EEA firms and funds currently passporting into the UK.
“We welcome continued engagement from across the sector on these preparations for Brexit.”
This consultation paper is relevant to all stakeholders. The FCA is keen to hear from the widest possible range of stakeholders across sectors, including industry bodies and consumer groups.
The consultation is open until 21 December 2018. Responses can be submitted via the FCA’s online form, by email or in writing.
European firms could operate temporarily in the UK after Brexit while seeking full authorisation.
The total value of UK financial services exports remained stable in 2020.
Temporary equivalence was set to expire on June 30, 2022.
The Bank has new powers for reviewing CCPs following Brexit.
Restricting access to London CCPs would result in collateral damage for EU banks and end users.