United Kingdom (and EU regulation)

Chancellor unveils ‘Growth Plan’

On 23 September 2022, the Chancellor of the Exchequer, Kwasi Kwarteng, unveiled the new ‘Growth Plan’. Key takeaways for the financial services sector announced within the plan include: Later this autumn the Government will bring forward an ambitious deregulatory package with its aim being to unleash the potential of the UK financial services sector. This … Continue Reading

The Economic Crime Corporate and Transparency Bill

On 22 September 2022, the House of Commons published the Economic Crime and Corporate Transparency Bill (the Bill). Background The Bill is effectively the second part of a legislative package to prevent the abuse of UK corporate structures and tackle economic crime. It follows on from the Economic Crime (Transparency and Enforcement) Act 2022, which … Continue Reading

The Retained EU Law (Revocation and Reform) Bill

On 22 September 2022, the House of Commons published the Retained EU Law (Revocation and Reform) Bill (the Bill). Background The Bill is part of the government’s commitment to put the UK statute book on a more sustainable footing. The Bill The Bill includes the following provisions: Sun setting retained EU Law – The Bill … Continue Reading

Regulating crypto-assets in Europe: Practical guide to MiCA

We have published a new briefing note, Regulating crypto-assets in Europe: Practical guide to MiCA. The briefing note provides a high-level overview of some of the key requirements that the new legislation will impose upon issuers of crypto-assets and crypto-asset service providers and sets out some practical points for consideration for firms active in crypto-asset … Continue Reading

FCA CP22/18 ‘Guidance on the trading venue perimeter’

On 22 September 2022, the FCA published Consultation Paper 22/18 ‘Guidance on the trading venue perimeter’ (CP22/18). CP22/18 is part of the Wholesale Markets Review and addresses the recommendation that the FCA consult on guidance that provides for greater clarity on the types of firms which need to be authorised as a trading venue. In … Continue Reading

FOS publishes complaints data from the first half of 2022

On 22 September 2022, the Financial Ombudsman Service (FOS) published data showing the number of complaints they received about individual businesses between 1 January and 30 June 2022. 212 businesses feature in the complaints data for the first half of 2022 compared to 216 in the previous six-month period. The average uphold rate across all … Continue Reading

European Commission announces plan to ensure complete and timely transposition of EU directives

On 21 September 2022, the European Commission announced its plan to ensure complete and timely transposition of EU directives. The Commission is adopting a package of infringement decisions due to the absence of communication by Member States of measures taken to transpose particular EU directives into national law (referred to as ‘non-communication infringements’).  In the … Continue Reading

SRB welcomes adoption of the review of the ‘CRR quick-fix’

On 22 September 2022, the Single Resolution Board (SRB) announced that they welcomed the adoption of the review of the Capital Requirements Regulation (CRR), known as ‘CRR quick-fix’. The CRR quick-fix clarifies the treatment of total loss-absorbing capacity (TLAC) surpluses located in third countries for banks with a multiple entry point of entry (MPE) resolution … Continue Reading

Decisions amending the EEA Agreement published in the OJ

On 22 September 2022, the following decisions amending Annex IX (Financial services) to the EEA Agreement were published in the Official Journal of the EU: Decision of the EEA Joint Committee No 138/2022 of 29 April 2022 amending Annex IX (Financial services) to the EEA Agreement [2022/1582] Decision of the EEA Joint Committee No 139/2022 … Continue Reading

ESMA consults on draft RTS on business reorganisation plans

On 22 September 2022, the European Securities and Markets Authority (ESMA) published a consultation paper seeking views on proposed regulatory technical standards (RTS) for central counterparties’ (CCPs) business reorganisation plans. The proposed RTS are part of the CCP resolution regime under the Regulation on a framework for the recovery and resolution of CCPs (CCPRRR). Specifically, … Continue Reading

Commission Delegated Regulation (EU) 2022/1622 on emerging markets and advanced economies

On 21 September 2022, there was published in the Official Journal of the European Union(OJ) Commission Delegated Regulation (EU) 2022/1622 of 17 May 2022 supplementing the Capital Requirements Regulation (CRR) with regard to regulatory technical standards on emerging markets and advanced economies. The RTS specify which countries constitute advanced economies for the purposes of specifying … Continue Reading

PRA consults on changes to the regulatory regime for credit unions

On 21 September 2022, the PRA published Consultation Paper 7/22 ‘Credit Unions: Changes to the Regulatory Regime’ (CP7/22). In CP7/22 the PRA sets out proposed amendments to the regulatory regime that applies to credit unions. The proposals broadly relate to amending and strengthening the regulatory regime in order to address risks posed by larger, more … Continue Reading

EBA publishes final draft RTS specifying the performance-related triggers pursuant to the Securitisation Regulation

On 20 September 2022, the European Banking Authority (EBA) published final draft Regulatory Technical Standards (RTS) specifying the minimum performance-related triggers for simple, transparent and standardised (STS) on-balance-sheet securitisations that feature non-sequential amortisation. The draft RTS have been developed in accordance with Article 26c(5) of the Securitisation Regulation (as amended by Regulation 2021/557), which requests … Continue Reading

BoE Consultation Paper on the 2022/23 fees regime for FMI supervision

On 20 September 2022, the Bank of England (BoE) published its Consultation Paper on the 2022/23 fees regime for financial market infrastructure (FMI) supervision. The Consultation Paper is relevant to all FMIs that currently pay FMI supervisory fees to the BoE or are expecting to do so within the 2022/23 fee year, except for non-UK … Continue Reading

JMLSG publishes new consultation part 1

On 16 September 2022, the Joint Money Laundering Steering Group (JMLSG) published proposed amendments to part 1 of its guidance. The proposed revisions take account The Money Laundering and Terrorist Financing (Amendment)(High-risk Countries) Regulations 2022 and The Money laundering and Terrorist Financing (Amendment)(No.2) Regulations 2022. The following text will be affected: Paragraph 5.5.11 and Annex … Continue Reading

Commission letter to the EBA and ESMA on response to the current level of margins and of excessive volatility in energy derivatives market

On 15 September 2022, the EBA published a letter that the European Commission had sent to both it and the European Securities and Markets Authority regarding a response to the current level of margins and of excessive volatility in energy derivatives markets. The letter outlines that, with the sharp rise in gas and electricity prices … Continue Reading

FSB publishes survey on experiences with the FSB framework

On 14 September 2022, the Financial Stability Board (FSB) published a survey seeking to gather feedback on experiences with its framework for information from financial market infrastructure (FMI) intermediaries to support resolution planning. The deadline for completing the survey is 9 October 2022. The framework aims to help FMI intermediaries better understand what information clients … Continue Reading

State of the Union Address- Facing the energy crisis in the EU: work streams related to the financial system

On 14 September 2022, President Von der Leyen announced in her State of the Union Address, the first package of emergency energy measures aimed at providing an EU-wide response to the difficulties that high energy prices are causing for consumers, as well as for energy firms participating in wholesale energy markets. The President also mentioned … Continue Reading

BCBS reaffirms Basel III implementation expectations and work priorities

On 13 September 2022, the Basel Committee on Banking Supervision (BCBS) published a press release following a meeting of the Group of Central Bank Governors and Heads of Supervision (GHOS) reaffirming their expectation to implement Basel III in full and work as fast as possible; provide direction on future work on climate-related financial risks and … Continue Reading

UK Finance FAQs regarding banking services during the period of national mourning

On 13 September 2022, UK Finance published FAQs regarding banking services during the period of national mourning and the bank holiday on 19 September. The FAQs provide that all banking services will be operating as normal during the period of national mourning with the exception of the bank holiday on Monday 19 September. The bank … Continue Reading

Joint Committee report on risks and vulnerabilities in the EU financial system

On 12 September 2022, the Joint Committee of the European Supervisory Authorities published a report on risks and vulnerabilities in the EU financial system. The report highlights that the deteriorating economic outlook, high inflation and rising energy prices have increased vulnerabilities across the financial sectors. The Joint Committee advises national competent authorities, financial institutions and … Continue Reading

Financial Services and Markets Bill – Amendment Paper

On 9 September 2022, the House of Commons published an Amendment Paper for the Financial Services and Markets Bill. A new clause was moved that would bring the non-interest-bearing elements of buy-now-pay-later lending and similar services under the regulatory ambit of the FCA, as proposed by the Government consultation carried out in 2022.… Continue Reading

New FCA webpage on side pockets

On 8 September 2022, the FCA published a new webpage on side pockets. The new webpage follows the FCA’s July 2022 Policy Statement on side pockets and discusses at a high level how they work and what investors can expect.… Continue Reading

Financial Services and Markets Bill – update

On 7 September 2022, the Financial Services and Markets Bill had its Second Reading in the House of Commons. Key points in the debate include: The Government has no plans to merge the FCA and the PRA. The Government welcomes the recommendations of the Independent Panel of Ring-fencing and is committed to publishing a Government … Continue Reading
LexBlog