FCA Consults on Brexit Related Changes to Its Handbook and Standards
FCA published further proposals (CP18/36) on how it will amend its Handbook and EU-derived binding technical standards (BTS) if the UK leaves EU without an implementation period in place. FCA is also consulting on the proposed approach to non-Handbook guidance and to forms that appear in the FCA Handbook. The comment period on CP18/36 closes on December 21, 2018.
In October 2018, FCA had published its first consultation on the amendments needed, should the UK leave EU without an implementation period. This consultation paper proposes further changes that may need to be made to the FCA Handbook and BTS. These include amendments to reflect the temporary permissions regime, new credit rating agency (CRA) regime, and trade repository regime. CRAs in EU are regulated under the CRA Regulation and are supervised by ESMA. The Treasury intends to amend the legislation to make FCA the supervisor responsible for CRAs registered under the UK regime. FCA is also consulting on guidance on how non-Handbook guidance should be interpreted after Exit day and on the approach to forms that appear in the Handbook. In particular, CP18/36 covers the following topics:
- Chapter 2 discusses a range of cross-cutting issues which span our Handbook and BTS and the proposed FCA approach to these. This includes further issues identified since publication of the first CP.
- Chapter 3 explains the Handbook proposals covered in this consultation (except those related to the introduction of the temporary permissions regime and the new credit rating and trade repository regimes). This includes an explanation of the more significant changes FCA is proposing, including those related to the prudential standards addressing proposals related to contractual recognition of bail-in.
- Chapter 4 sets out certain proposals about the temporary permissions regime, which were previously described but not consulted on in CP18/29.
- Chapter 5 outlines the changes FCA proposes to make to BTS. An explanation of the FCA approach to BTS was included in the first consultation.
- Chapter 6 summarizes the FCA approach to forms and the guidance FCA proposes to issue on this.
- Chapter 7 outlines changes because FCA will take on regulating credit rating agencies and trade repositories.
- Chapter 8 summarizes the proposed approach to non-Handbook guidance issued by FCA and the guidance FCA proposes to issue on this. FCA expects proposals in this chapter to be of interest to CRAs and trade repositories.
Related Links
Comment Due Date: December 21, 2018
Keywords: Europe, UK, Banking, Insurance, Securities, CP18/36, Brexit, CRA Regulation, Temporary Permissions Regime, FCA Handbook, FCA
Related Insights
News
EBA Single Rulebook Q&A: Third Update for February 2019EBA published answers to two questions under the Single Rulebook question and answer (Q&A) updates for this week.
February 15, 2019
WebPage
Regulatory News
|
News
FSB Report Examines Financial Stability Implications of FintechFSB published a report that assesses fintech-related market developments and their potential implications for financial stability.
February 14, 2019
WebPage
Regulatory News
|
News
US Agencies Amend Regulatory Capital Rule to Allow Phase-In for CECLUS Agencies (FDIC, FED, and OCC) adopted the final rule to address changes to credit loss accounting under the U.S. generally accepted accounting principles; this includes banking organizations’ implementation of the current expected credit losses (CECL) methodology.
February 14, 2019
WebPage
Regulatory News
|
News
FED Issues Correction in Historical Dataset in its 2019 Stress TestsFED identified an error in the historical dataset used in its 2019 stress tests and issued a correction.
February 13, 2019
WebPage
Regulatory News
|
News
OCC Consults on Company-Run Stress Test Requirements for BanksOCC proposed amendments to its company-run stress testing requirements for national banks and Federal savings associations, consistent with section 401 of the Economic Growth, Regulatory Relief, and Consumer Protection (EGRRCP) Act.
February 12, 2019
WebPage
Regulatory News
|
News
CFTC Extends Comment Periods for Trade Execution Requirement ProposalsCFTC announced that it is extending comment period for the proposed amendments related to the regulations on swap execution facilities (SEF) and trade execution requirement.
February 12, 2019
WebPage
Regulatory News
|
News
BCBS Updates Instructions for Basel III Monitoring ExerciseBCBS updated instructions for Basel III monitoring for the collection of December 2018 data from the participating banks.
February 12, 2019
WebPage
Regulatory News
|
News
OCC Proposes to Renew Information Collection Under Stress Test RuleOCC is proposing to renew its information collection titled “Annual Stress Test Rule” (OMB Control No: 1557-0311). Comments must be received on or before March 13, 2019.
February 11, 2019
WebPage
Regulatory News
|
News
OSFI Consults on NSFR Disclosure Requirements for D-SIBsOSFI proposed the draft guideline on the net stable funding ratio (NSFR) disclosure requirements for domestic systemically important banks (D-SIBs).
February 11, 2019
WebPage
Regulatory News
|
News
EC Amends Its Regulation to Clarify Impairment Requirements for IFRS 9EC published the EU Regulation 2019/237 that amends Regulation (EC) No 1126/2008 adopting certain international accounting standards, in accordance with Regulation (EC) No 1606/2002 regarding International Accounting Standard (IAS) 28 on Investments in Associates and Joint Ventures.
February 11, 2019
WebPage
Regulatory News
|