United Kingdom (and EU regulation)

Updated ESMA Questions and Answers on the Transparency Directive

On 11 April 2019, the European Securities and Markets Authority (ESMA) published an updated version of its Q&As on the Transparency Directive (TD). The updated Q&As modify question 26 which deals with the situation where the UK leaves the EU without a Withdrawal Agreement and concerns a third country issuer and their disclosure of a … Continue Reading

Updated ESMA Questions and Answers on the Prospectus Regulation

On 11 April 2019, the European Securities and Markets Authority (ESMA) published an updated version of its Q&As on the Prospectus Regulation. The updated Q&As amend question 103 which has been modified in the event the UK withdraws from the EU without a Withdrawal Agreement and concerns the position where third country issuers have chosen … Continue Reading

Brexit: European Council and UK agree further extension to Article 50

The EU Withdrawal (No.5 Bill) received Royal Assent earlier this week becoming the European Union (Withdrawal) Act 2019 (the 2019 Act). Section 1 of the 2019 Act places a legal obligation on the Government, requiring a Minister to move a motion in the House of Commons which states:  “That this House agrees for the purposes … Continue Reading

General insurance firms are failing to ensure that their products and services provide value to customers says FCA

On 10 April 2010, the Financial Conduct Authority (FCA) published a press release in respect of work undertaken to ensure that customers of general insurance (GI) products are getting value for money. The FCA will continue to undertake diagnostic work on product value in GI distribution chains and will expect firms to meet its expectations … Continue Reading

EMIR related Commission Delegated Regulations preparing for no-deal Brexit

On 10 April 2019, there was published in the Official Journal of the EU: Commission Delegated Regulation (EU) 2019/564 of 28 March 2019 amending Delegated Regulation (EU) 2016/2251 supplementing Regulation (EU) No 648/2012 of the European Parliament and of the Council as regards the date until which counterparties may continue to apply their risk-management procedures … Continue Reading

ESAs publish joint advice on information and communication technology risk management and cybersecurity

On 10 April 2019, the Joint Committee of the European Supervisory Authorities (ESAs) published two pieces of joint advice in response to requests made by the European Commission in its March 2018 FinTech Action Plan: Joint Advice on the need for legislative improvements relating to Information and Communication Technology risk management requirements in the EU … Continue Reading

FSB update to G20

On 9 April 2019, the Financial Stability Board (FSB) published a letter from its Chair to the G20 Finance Ministers and Central Bank Governors. The letter comes ahead of the G20 meeting of 11 – 12 April 2019. Key points in the letter include: addressing new and emerging vulnerabilities in the financial system– the FSB … Continue Reading

ESMA updates MiFIR data reporting Q&As

On 9 April 2019, the European Securities and Markets Authority (ESMA) published an updated version of its Q&As on MiFIR data reporting. The updated Q&As insert a new question within section 19 – defined list of instruments. The new question asks: How should operators of trading venue(s) report instrument reference data in accordance with Article … Continue Reading

Basel Committee – new section on website setting out consolidated version of the global standards

The Basel Committee on Banking Supervision (Basel Committee) has launched a new section of its website that sets out a consolidated version of its global standards for the regulation and supervision of banks. The new area of the website provides the full set of standards of the Basel Committee. Also, the website enables users to view the … Continue Reading

European Commission consults on Distance Marketing Directive

On 9 April 2019, the European Commission published a new webpage detailing a consultation on the Distance Marketing Directive (the Directive). The Commission notes that since 2002, when the Directive came into force, the retail financial sector has gone increasingly digital, with new products and actors available on the market and new sales channels being … Continue Reading

FATF Report to the G20 Finance Ministers

On 8 April 2019, the Financial Action Task Force (FATF) published its April report to the G20 Finance Ministers and Central Bank Governors. The report sets out the FATF’s ongoing work to fight money laundering and terrorist financing. Key points raised by the FATF include: virtual assets pose serious money laundering and terrorist financing risks … Continue Reading

France clarifies the form and content of the information to be provided by UK insurers to their French insureds and policyholders following Brexit in the event of a no-deal

On 22 March 2019, the French Ministry of Economy and Finance passed a decree (the Decree) implementing the provisions of the ordinance n° 2019-75 of 6 February 2019, introducing a contingency plan for the financial institutions sector in connection with the withdrawal of the United Kingdom (UK) from the European Union (EU) (the Ordinance). As … Continue Reading

Financial services trade associations’ letter to HM Treasury regarding Brexit

On 5 April 2019, the International Swaps and Derivatives Association published a letter it had sent jointly with a number of UK and international financial services trade bodies (including AFME, the FIA and AIMA) to HM Treasury regarding the recognition of EEA derivatives trading venues under EMIR and MiFIR as they apply in the UK … Continue Reading

PRA consults on revisions to the Branch Return Form

On 8 April 2019, the PRA published Consultation Paper 8/19: Supervising international banks: revision of the Branch Return Form (CP8/19). CP8/19 is relevant to all existing and prospective PRA-supervised branches of deposit-takers and PRA designated investment firms which are not UK headquartered firms. CP8/19 sets out the PRA’s proposals for changes to the format and … Continue Reading

EBA final report on RTS on conditions to allow institutions to calculate KIRB

On 8 April 2019, the European Banking Authority (EBA) published a report containing the final draft regulatory technical standards (RTS) specifying the conditions that allow institutions to calculate the capital requirements of the securitised exposures (KIRB) in accordance with the purchased receivables approach under Article 255 of the Capital Requirements Regulation (CRR). The draft RTS, … Continue Reading

SFO to hit back on privilege in new cooperation guidance

In a speech earlier this week  Lisa Osofsky announced that the SFO will shortly publish guidance on its expectations in relation to self-reporting and cooperation. The speech suggested that waiver of privilege over internal investigations material will be seen by the SFO as a strong indicator of, if not a precondition to, cooperation for the purposes … Continue Reading

Extended briefing: Brexit and the future of economic partnership for financial services

The recording of our latest 40 minute briefing on Brexit and the future of economic partnership for financial services is available for free here. Please note that this recording omits the segment delivered by HM Treasury which was conducted under Chatham House rules.… Continue Reading

Revised MoU between FCA and ASA

On 4 April 2019, the FCA published a revised memorandum of understanding (MoU) between itself and the Advertising Standards Authority (ASA). The purpose of the MoU is to facilitate and provide a framework for co-operation between the FCA and ASA by setting out the respective regulatory responsibilities of the FCA and ASA and a framework … Continue Reading

ESMA announces recognition of UK CCPs and CSD in event of no-deal Brexit on 12 April 2019

On 5 April 2019, following the adoption of European Commission Implementing Decision (EU) 2019/544 of 3 April 2019 (our blog is here), the European Securities and Markets Authority has issued a new recognition decision to make sure that the UK central counterparties (LCH Limited, ICE Clear Europe Limited and LME Clear Limited) are recognised in … Continue Reading

Official translations of ESMA guidelines on CCP conflict of interest management under EMIR

On 5 April 2019, the European Securities and Markets Authority (ESMA) published the official translations of its guidelines on central counterparty (CCP) conflict of interest management under the European Markets Infrastructure Regulation. The guidelines will apply from 5 June 2019 (two months from the date of publication of the guidelines in the official languages of … Continue Reading

ECB update on TRIM

On 5 April 2019, the European Central Bank (ECB) published a note providing an interim update (dated 3 April 2019) on the targeted review of internal models (TRIM). The purpose of the note is to provide an overview of the TRIM project and to share aggregated information on its outcomes. The note complements the information … Continue Reading

FSB crypto-assets regulators directory

On 5 April 2019, the Financial Stability Board (FSB) published its crypto-assets regulators directory. The purpose of the directory is to provide information on the relevant regulators and other authorities in FSB jurisdictions and international bodies who are dealing with crypto-asset issues, and the aspects covered by them. The directory will be delivered to the … Continue Reading

The Financial Services (Miscellaneous) (Amendment) (EU Exit) (No. 2) Regulations 2019

On 4 April 2019, there was published on legislation.gov.uk a draft of the Financial Services (Miscellaneous) (Amendment) (EU Exit) (No.2) Regulations 2019 together with an explanatory memorandum. These Regulations make amendments to a number of financial services EU Exit statutory instruments and to an EU delegated regulation, correcting errors identified in legislation after it was … Continue Reading