Featured Product

    FCA Issues Brexit Related Policy Statement and Transitional Directions

    March 08, 2019

    FCA published a policy statement (PS19/5) that sets out its responses to the feedback received on proposed changes to the FCA Handbook and Binding Technical Standards (CP18/28 and CP18/36), temporary permissions regime for inbound firms and funds (CP18/29), Brexit and contractual continuity (CP19/2), and regulatory fees and levies (CP18/34). Additionally, FCA has issued transitional directions and prudential transitional direction with respect to its approach to use the temporary transitional power.

    FCA had received 92 responses to the consultation papers—CP18/28, CP18/29, CP18/36, and CP19/2. Annex 1 to PS19/5 contains the list of respondents who did not ask for their responses to be kept confidential. FCA has published the handbook and Binding Technical Standards in the near-final form so that stakeholders are clear on the changes expected to be made to the regulatory framework. These Binding Technical Standards impact the stakeholders under the varied EU legislation, including the Credit Rating Agency Regulation, Capital Requirements Directive and Regulation, Packaged Retail and Insurance-based Investment Products Regulation, Markets in Financial Instruments Directive and Regulation, and Insurance Distribution Directive, among others. Based on the timetable of the Parliament, FCA expects its Board to make the instruments final on March 28, 2019 if a withdrawal agreement has not been ratified by UK and EU.

    HM Treasury has laid draft regulations in the Parliament (Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019), which grant FCA the powers to make transitional directions to mitigate any disruption caused by EU exit-related changes to firms’ obligations. These directions give regulated persons time to adapt to the Brexit-related changes to the UK financial services regulation. Continuity is generally achieved by applying a standstill; therefore, firms may continue to comply with the pre-exit version of an obligation. In addition, the temporary permission firms are allowed substituted compliance for home-state obligations. This power would only be used if UK leaves EU without an implementation period. The directions have been prepared on the assumption that the EU exit statutory instruments referred to in them will be in force by the exit day. 

     

    Related Links

    Keywords: Europe, EU, UK, Banking, Insurance, Securities, Brexit, FCA Handbook, Transitional Direction, PS19/5, CRA, FCA

    Related Articles
    News

    HKMA Finalizes Policy Modules on Group-Wide Approach and Remuneration

    The Hong Kong Monetary Authority (HKMA) revised the Supervisory Policy Manual module CG-5 that sets out guidelines on a sound remuneration system for authorized institutions.

    July 29, 2021 WebPage Regulatory News
    News

    EBA Guide to Monitor Threshold for Intermediate Parent Undertakings

    The European Banking Authority (EBA) published the final guidelines on the monitoring of the threshold and other procedural aspects on the establishment of intermediate parent undertakings in European Union (EU), as laid down in the Capital Requirements Directive (CRD).

    July 28, 2021 WebPage Regulatory News
    News

    PRA Finalizes Approach to Supervision of International Banks

    In a recent Market Notice, the Bank of England (BoE) confirmed that green gilts will have equivalent eligibility to existing gilts in its market operations.

    July 26, 2021 WebPage Regulatory News
    News

    FCA Issues PS21/9 on Implementation of Investment Firms Regime

    The Financial Conduct Authority (FCA) published the policy statement PS21/9 on implementation of the Investment Firms Prudential Regime.

    July 26, 2021 WebPage Regulatory News
    News

    EBA Proposes Regulatory Standards to Identify Shadow Banking Entities

    The European Banking Authority (EBA) proposed regulatory technical standards that set out criteria for identifying shadow banking entities for the purpose of reporting large exposures.

    July 26, 2021 WebPage Regulatory News
    News

    IOSCO Proposes Recommendations on ESG Ratings and Data Providers

    The Board of the International Organization of Securities Commissions (IOSCO) proposed a set of recommendations on the environmental, social, and governance (ESG) ratings and data providers.

    July 26, 2021 WebPage Regulatory News
    News

    ESMA Group Issues Recommendations on RFR Switch in Interdealer Market

    The European Securities and Markets Authority (ESMA) published recommendations from the Working Group on Euro Risk-Free Rates (RFR) on the switch to risk-free rates in the interdealer market.

    July 26, 2021 WebPage Regulatory News
    News

    ECB Study Assesses Impact of Basel III Finalization Package

    The European Central Bank (ECB) published a paper as well as an article in the July Macroprudential Bulletin, both of which offer insights on the assessment of the impact of Basel III finalization package on the euro area.

    July 26, 2021 WebPage Regulatory News
    News

    ISDA Finds FRTB Results in Higher Capital Charges for Carbon Trading

    The International Swaps and Derivatives Association (ISDA) published a paper that explores the impact of the Fundamental Review of the Trading Book (FRTB) on the trading of carbon certificates.

    July 26, 2021 WebPage Regulatory News
    News

    PRA Updates Remuneration Policy Statement Templates and Tables

    The Prudential Regulation Authority (PRA) published the remuneration policy self-assessment templates and tables on strengthening accountability.

    July 26, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 7311