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

    ESMA Releases Enforcement Priorities for 2019 Annual Financial Reports

    ESMA published a statement on the priorities that European enforcers will consider when examining the 2019 annual financial reports of listed companies.

    October 22, 2019 WebPage Regulatory News
    News

    EC Consults on Alternative Standardized Approach for Market Risk

    EC is consulting on a delegated regulation amending the Capital Requirements Regulation (CRR) with regard to the alternative standardized approach for market risk.

    October 21, 2019 WebPage Regulatory News
    News

    CPMI Report Examines Impact of Global Stablecoins

    This report by the G7 Working Group on Stablecoins finds that stablecoins, regardless of size, have implications ranging from anti-money laundering efforts across jurisdictions to operational resilience (including for cyber security), consumer or investor and data protection, and tax compliance.

    October 18, 2019 WebPage Regulatory News
    News

    BoE Announces Date for Publication of Stress Test Results for Banks

    BoE announced its plans to publish results of the full UK annual stress tests on December 10, 2019.

    October 18, 2019 WebPage Regulatory News
    News

    US Agencies Request Comments on Use and Impact of CAMELS Ratings

    US Agencies (FDIC and FED) are seeking information and comments from interested parties regarding the consistency of ratings assigned by the agencies under the Uniform Financial Institutions Rating System (UFIRS).

    October 18, 2019 WebPage Regulatory News
    News

    PRA Consults on Approach to Supervising Liquidity and Funding Risks

    In consultation paper (CP27/19), PRA published a proposal (CP27/19) to update the supervisory statement SS24/15 on the PRA approach to supervising liquidity and funding risk.

    October 17, 2019 WebPage Regulatory News
    News

    US Agencies Consult on Policy Statement on Allowance for Credit Losses

    US Agencies (FDIC, FED, NCUA, and OCC) are consulting on the policy statement on allowances for credit losses and on the guidance on credit risk review systems.

    October 17, 2019 WebPage Regulatory News
    News

    FSI Paper Examines Use of Suptech Initiatives by Financial Authorities

    The Financial Stability Institute (FSI) of BIS published a paper that examines the suptech developments by analyzing suptech initiatives of 39 financial authorities globally.

    October 17, 2019 WebPage Regulatory News
    News

    US Agencies Publish Notice to Extend Form FFIEC 102 for Three Years

    US Agencies (FDIC, FED, and OCC) published a joint notice regarding extension of the market risk regulatory report for institutions subject to the market risk capital rule (FFIEC 102).

    October 17, 2019 WebPage Regulatory News
    News

    ECB Publishes Recommendations on Euro Risk-Free Rates Transition

    ECB published a report, by private sector working group on euro risk-free rates, which contains recommendations, from a risk management perspective, on the transition to new risk-free rates.

    October 17, 2019 WebPage Regulatory News
    RESULTS 1 - 10 OF 4006