United Kingdom (and EU regulation)

Over the Counter Derivatives, Central Counterparties and Trade Repositories (Amendment etc and Transitional Provision) (EU Exit) (No 2) Regulations 2019 made: Brexit SI

By Simon Lovegrove (UK) and Jochen Vester (UK) on October 30, 2019 Posted in Brexit, United Kingdom

On 29 October 2019, there was published on the legislation.gov.uk website the Over the Counter Derivatives, Central Counterparties and Trade Repositories (Amendment etc and Transitional Provision) (EU Exit) (No 2) Regulations 2019, together with an explanatory memorandum.

The Regulations are being made to address deficiencies in retained EU law in the Regulation on over-the-counter derivative transactions, central counterparties and trade repositories (EMIR), as amended by the EMIR Refit Regulation (REFIT), so that it operates effectively following the withdrawal of the United Kingdom from the European Union.

The Regulations make the following changes:

Part 2 of the Regulations amends the definition of EMIR in Part 18 of the Financial Services and Markets Act 2000 so that it refers to EMIR as it has been amended by REFIT;
Part 3 of the Regulations changes a number of EU exit statutory instruments made under section 8 of the EU (Withdrawal) Act 2018 as amended by EMIR and related legislation; and
Part 4 of the Regulations addresses deficiencies in EMIR, as amended by REFIT, and related UK legislation to ensure that the UK continues to have an effective regulatory framework for over-the-counter derivatives and central counterparties after the UK has left the EU.

Parts 1 (commencement) and 3 of the Regulations come into force on 30 October 2019. Parts 2 and 4 come into force on exit day.

Our Brexit Pathfinder hub is a repository of all the Brexit-related thought leadership materials published by our financial services regulatory team. Brexit Pathfinder is hosted on our gated premium knowledge portal, the Institute, which is available exclusively to clients of Norton Rose Fulbright. To register for or to log in to the Institute, please click here. After registering, Brexit Pathfinder can be found in the ‘Knowledge hub’ drop-down menu.

Also available via the hub is PathfinderPLUS, a subscription-only service providing clients with access to additional, exclusive materials including consolidated versions of the onshored UK legislation.