On August 8, the UK Financial Conduct Authority (FCA) published a “Dear CEO” letter concerning cross-border booking arrangements. In the letter, the FCA explains that the UK’s impending withdrawal from the EU has resulted in firms needing to put in place contingency plans that, when executed, will impact current business models, legal entity strategies and… Continue Reading
On July 30, the Association of Financial Markets in Europe (AFME) and the International Swaps and Derivatives Association, Inc. (ISDA) released a paper outlining the challenges UK and EU firms will face in relation to legacy over-the-counter (OTC) derivative contracts following the United Kingdom’s departure from the European Union (Brexit).… Continue Reading
On July 24, HM Treasury published its draft version of the European Economic Passports Rights (Amendment, etc., and Transitional Provisions) (EU Exit) Regulations 2018 (draft Regulations). The purpose of the draft Regulations is to remove references to the passporting framework set out in the Financial Services and Markets Act 2000 and in other UK legislation.… Continue Reading
On July 24, the Bank of England (BoE) published a webpage on its and the UK Prudential Regulation Authority’s (PRA’s) approach to the temporary permissions regime (TPR) and the temporary recognition regime (TRR). The TPR aims to enable EEA firms currently using a passport operating in the United Kingdom to continue their activities in the… Continue Reading
On July 16, a draft of the Financial Regulators’ Powers (Technical Standards etc.) (Amendment etc.) (EU Exit) Regulations 2018 was published. The publication of the draft regulations follows the making of the first delegated legislation under the European Union (Withdrawal) Act 2018 earlier this month (discussed in the Corporate & Financial Weekly Digest edition of… Continue Reading
On July 18, eight of the EU member states (Denmark, Estonia, Finland, Ireland, Latvia, Lithuania, Sweden, and The Netherlands) published a joint statement on the Capital Markets Union (CMU) after Brexit. The joint statement sets out the shared views of the member states’ finance ministers and urges the European Union to use Brexit as a… Continue Reading
On July 3, the Department for Exiting the European Union created the European Union (Withdrawal) Act 2018 (Commencement and Transitional Provisions) Regulations 2018 (Regulations). The United Kingdom’s European Union (Withdrawal) Act 2018 (Act) delegates power to make such provisions.… Continue Reading
On July 12, the UK Department for Exiting the European Union published a white paper, which sets out the United Kingdom’s proposal for the UK-EU relationship after the United Kingdom’s withdrawal from the European Union on March 29, 2019 (Brexit) through what it terms “an association agreement.” Notably, the white paper features differing approaches with… Continue Reading
On July 12, the European Securities and Markets Authority (ESMA) released a public statement concerning the timely submission of requests for authorization regarding the United Kingdom withdrawing from the European Union (Brexit).… Continue Reading
On June 26, the UK Financial Conduct Authority (FCA) published a statement updating stakeholders on its preparations for the United Kingdom’s withdrawal from the European Union (Brexit). The FCA’s statement noted HM Treasury’s preparations for Brexit, which were then published in HM Treasury’s own press release, dated June 27.… Continue Reading
On June 25, the European Banking Authority (EBA) published an opinion on preparations for the withdrawal of the United Kingdom from the European Union (Brexit). Its opinion cites two aims with respect to national competent authorities: ensuring that financial institutions are adequately considering the risks of a possible Brexit without a ratified withdrawal agreement, and… Continue Reading
On June 26, the European Union (Withdrawal) Act 2018 (Withdrawal Act) received royal assent, which is the final stage for approving UK parliamentary bills. The Corporate & Financial Weekly Digest edition of July 14, 2017 included a substantive review of the Withdrawal Act. Notably, the House of Commons amended that bill to require that any… Continue Reading
On June 5, the Futures Industry Association (FIA) published a report summarizing the responses to its latest survey and setting out its recommendations to United Kingdom (UK) and European Union (EU) policymakers. The survey concerns Brexit implementation plans for the client clearing businesses of FIA members.… Continue Reading
In advance of the EU’s General Data Protection Regulation (GDPR) going into effect on May 25, the UK’s Data Protection Bill received Royal Assent on May 23, to become the Data Protection Act 2018 (DPA 2018). The DPA 2018 is designed to:… Continue Reading
On May 16, the European Central Bank (ECB) published an article on the impact of a potential Brexit transition period (for more information on the proposed transition period, please see the Corporate & Financial Weekly Digest edition of March 23, 2018). In the article, the ECB sets out how the transition period affects its expectations… Continue Reading
On May 9, the UK government published its response to the House of Lords European Union Committee’s report, entitled “Brexit: The Future of Financial Regulation and Supervision,” which was published on January 27. The Committee’s report includes recommendations under six categories, including: 1. Incorporating the EU acquis (being the accumulated legislation and court decisions) in… Continue Reading
On April 19, HM Treasury and the US Treasury Department published a joint statement announcing the formation of a US-UK Financial Regulatory Working Group (Working Group). The joint statement explains that Brexit provides an opportunity for the Working Group to formalize existing US-UK regulatory cooperation. The Working Group will include staff from the respective treasury… Continue Reading
On April 19 the European Parliament’s Economic and Monetary Affairs Committee (ECON) and Committee on Constitutional Affairs (AFCO) published a draft report (dated April 13) concerning a proposal for an amendment of the Statute of the European System of Central Banks and the European Central Bank (ECB) (the Statute), enhancing the ECB’s powers over central… Continue Reading
On April 4, the House of Commons Exiting the European Union Committee published a report on the future UK/EU relationship following the United Kingdom’s withdrawal from the European Union. The report examines existing EU relationships with Canada, Ukraine, Switzerland, Norway and Turkey, the impact of trading on World Trade Organization terms (i.e., without a trading… Continue Reading
On March 28, the UK Financial Conduct Authority (FCA) published a statement on the withdrawal of the United Kingdom from the European Union (Brexit) following UK-EU agreement in relation to aspects of the transition period—notably the end date for the transition period of December 31, 2020.… Continue Reading
On March 22, the European Securities and Markets Authority (ESMA) updated its Q&As on the European Union (EU) Benchmarks Regulation (BMR). The Q&As aim to promote common supervisory approaches and practices in the day-to-day application of the BMR. The updated Q&As on the BMR add one new question and answer which considers the application of… Continue Reading
On March 19, the UK government and the European Commission (EC) published a draft withdrawal agreement (Latest Draft Agreement) which includes the legal text agreed by negotiators on the transition period following the UK’s withdrawal from the European Union (EU).… Continue Reading
Steven Maijoor, Chair of the European Securities and Markets Authority (ESMA) spoke on March 20, regarding ESMA’s work during the past year. In his speech, Mr. Maijoor commented on ESMA’s work in relation to: supervisory convergence to limit the scope for regulatory arbitrage in light of the United Kingdom’s upcoming withdrawal from the European Union… Continue Reading
On March 9, the UK Financial Conduct Authority (FCA) launched a short online survey for firms providing cross-border services into the UK from other European Union/European Economic Area (EEA) jurisdictions (“passporting”), or marketing funds in the UK. The survey follows the UK government’s December 2017 announcement that, if necessary, it will legislate to provide a… Continue Reading
