On 9 April 2021, the European Securities and Markets Authority (ESMA) published a summary of conclusions following its meeting of board of supervisors on 23 February 2021. Among other things the summary refers to co-operation with the UK FCA and meeting its CEO Nikhil Rathi. The summary notes that there was an exchange of views … Continue Reading
On 31 March 2021, the European Securities and Markets Authority (ESMA) issued a statement concerning the application of transparency requirements by UK issuers with securities admitted to trading on regulated markets in the EU under Article 4 of the Transparency Directive (TD). ESMA is issuing the statement to promote common supervisory practices among Member State … Continue Reading
On 26 March 2021, HM Treasury issued a press release stating that technical discussions on the text of the Memorandum of Understanding (MoU), which was agreed in a Joint Declaration on Financial Services Regulatory Cooperation alongside the Trade and Cooperation Agreement, have now been concluded. The statement adds that formal steps need to be undertaken … Continue Reading
On 24 March 2021, the FCA issued a statement on its website concerning a review of the approach to the UK’s derivatives trading obligation (DTO). In December the FCA published a statement on its use of the Temporary Transitional Power (TTP) to modify the application of the DTO. In that statement the FCA said that … Continue Reading
On 3 March 2021, the FCA published the following webpages: Supervising firms in the TPR. This webpage provides a brief summary of how the FCA supervises firms in the temporary permissions regime (TPR). In particular, it reminds firms in the TPR that in some cases different rules apply when compared to when they were passporting … Continue Reading
Executive summary The ability of firms to effectively challenge regulatory decisions on rule-making and rule application is a key part of holding regulators properly to account. Whilst there are existing review mechanisms in place for firms such as the ability to seek judicial review through the courts, some features of these mechanisms may currently be … Continue Reading
On 3 February 2021, the FCA published an approach document setting out the factors that it will consider when it assesses international firms. The approach document will be relevant when international firms apply for authorisation and when the FCA supervises them. It also sets out the circumstances in which international firms could present higher risks … Continue Reading
On 3 February 2021, HM Treasury issued guidance confirming that its decision under the share trading obligation (STO) for Switzerland, which was laid before Parliament on 13 January 2021, is now in force. HM Treasury states that the decision means that UK firms can meet their obligations under the STO on BX Swiss AG and … Continue Reading
On 13 January 2021, the European Securities and Markets Authority (ESMA) issued a public statement designed to remind firms of the MiFID II requirements on the provision of investment services to retail or professional clients by firms not established or situated in the EU. The public statement notes that there have been some questionable practices … Continue Reading
On 25 January 2021, the European Commission published Commissioner Mairead McGuinness’ opening remarks at the ECON Committee Structured Dialogue. Among other things Commissioner McGuinness covers Brexit stating that talks have not yet started on the Memorandum of Understanding that the parties have agreed to reach by March 2021. She also adds that the Commission envisages … Continue Reading
On 24 December 2020, we posted an update on the EU27 temporary transitional measures. Since posting this update, we understand that there have been further developments in several EU27 Member States as to the temporary transitional measures that are available, and we have updated our summary table to reflect these developments. The summary table reflects … Continue Reading
On 15 January 2021, the House of Commons’ EU Services Sub-Committee launched its inquiry into the future of UK-EU relations on trade in services. The inquiry will examine the impact of the provisions set out in the UK-EU Trade and Cooperation Agreement on the UK’s services sector. The service sectors of interest to the Committee’s … Continue Reading
On 13 January 2021, there was published on legislation.gov.uk The Markets in Financial Instruments (Switzerland Equivalence) Regulations 2021 together with an explanatory memorandum. The statutory instrument specifies that the legal and supervisory framework for stock exchanges in Switzerland meet at least equivalent outcomes to the UK’s corresponding regime. It will allow UK investment firms subject … Continue Reading
On 3 December 2020, we reported that the FCA had published a new webpage in which it explained the proposed process for adding a new sub-fund to an umbrella scheme that will be in the temporary marketing permissions regime (TMPR). On 31 December 2020, the FCA updated its webpage by inserting links to the final … Continue Reading
On 4 January 2021, the French regulator (the Autorité de Contrôle Prudentiel et de Résolution – ACPR) issued a press release reminding UK authorised financial institutions (including those located in Gibraltar) of their obligations towards customers residing in France. As of 1 January 2021, European law is no longer applicable in the United Kingdom (UK). … Continue Reading
As mentioned in our previous post published in April 2019, the French Ministry of Economy and Finance passed a decree dated 22 March 2019 (the March 2019 Decree) implementing the provisions of the ordinance n°2019-75 of 6 February 2019, introducing a contingency plan for the financial services sector in connection with the withdrawal of the … Continue Reading
On 4 January 2021, the FCA issued a new webpage concerning the memoranda of understanding (MoUs) that it had entered into with European authorities and which became effective at the end of the transition period. The MoUs include: A multilateral MoU with EU and EEA national competent authorities covering supervisory cooperation, enforcement and information exchange. … Continue Reading
On 31 December 2020, the FCA published a new webpage concerning passporting in and out of Gibraltar. The webpage covers how firms can passport between the UK and Gibraltar until 31 December 2021. On 4 January 2021, the PRA also published a new webpage concerning Gibraltar passporting arrangements. Passporting rights will continue for firms operating … Continue Reading
On 31 December 2020, the FCA published a new webpage reminding firms that as of 11pm on 31 December 2020 passporting between the UK and EEA States had ended and the temporary permissions regime had come into effect for those firms and funds that notified the regulator that they wanted to enter the regime. While … Continue Reading
Italy: A partial relief on Brexit transition period has been granted to UK banks, electronic money institutions operating through a branch and investment firms (the UK Regulated Entities) that submitted the authorization application to the relevant competent authority before 31 December 2020. Conversely, UK payment institutions, electronic money institutions operating under the freedom of services … Continue Reading
As noted in our blog of 31 December 2020, the FCA has given directions in relation to the application of the derivatives trading obligation under the post-Brexit UK regulatory regime. In one key respect, the approach carries on the asymmetry between the UK and EU regimes by granting UK firms the ability to trade with … Continue Reading
Germany: As previously reported the German regulator (BaFin) has published its reaction to the EU-UK Trade and Cooperation Agreement (TCA). The German regulator states that the provisions of the TCA will apply to financial services only to a limited extent and repeats that the UK service providers will no longer be able to use the European passports … Continue Reading
Having only days previously made statements that such a deal was unlikely and warning their citizens to prepare for a no deal Brexit, the United Kingdom (UK) and the European Union (EU) announced on 24 December 2020 that they had reached an agreement in principle on trade and co-operation. More than 1200 pages long, the … Continue Reading
On 31 December 2020, the FCA issued a statement on the use of the Temporary Transitional Power to modify the UK’s derivatives trading obligation. The statement provides: The FCA welcomes the announcement that the UK and EU have agreed a Trade and Cooperation Agreement and the associated Joint Declaration on financial services regulatory cooperation. The … Continue Reading
