On 27 October 2020, the Dutch Central Bank (De Nederlandsche Bank, DNB) published a news item aimed at insurers regarding Brexit.
In its news item DNB calls on insurers to liaise with UK investment firms and take appropriate action to prevent bottlenecks in the service provision by UK investment firms to insurers as of 1 January 2021. DNB notes that even if the UK and the EU reach agreement before the end of the year, it still expects that UK investment firms will no longer be able to serve their EU customers in the same way as they do now. The Dutch Minister of Foreign Affairs recently indicated that there will be no transition regime for UK investment firms in 2021 and the European Commission announced that it will not adopt an equivalence decision in the short or medium term.
DNB indicates that without taking additional measures, UK investment firms will no longer be able to service Dutch insurers from 1 January 2021. Therefore, insurers need investigate possible solutions with UK investment firms in a timely manner. DNB emphasises that it is important to verify whether UK investment firms have the required authorisation to continue to provide their services in the Netherlands after the end of the Brexit transition period.