The Financial Conduct Authority (FCA) has published two consultation plans in preparation for UK’s departure from the European Union (EU) bloc with no deal and implementation period. The FCA Brexit plans are now open for feedback.
The first consultation paper ‘Amendments to the FCA Handbook and Binding Technical Standards’ encompasses all EU rules that FCA will assume after Brexit.
FCA is scheduled to take over the supervision of certain sectors in the UK from European regulators including credit rating agencies and trade repositories.
The second consultation paper ‘Temporary Permissions Regime’ details how EEA firms can continue its operations in the UK for a limited period of up to three years after Brexit till they receive complete UK authorisation.
It is relevant to all EEA firms conducting business in the UK through passports and includes how FCA intends to sector to continue operations following Brexit.
EEA firms would also be required to pay fees to the regulator to continue tending to UK-based customers post Brexit.
FCA executive director of international Nausicaa Delfas said: “Today we are publishing two consultation papers to ensure that in the event the UK leaves the EU in March 2019 without an implementation period, we have a robust regulatory regime from day one, and to ensure a smooth transition for EEA firms and funds currently passporting into the UK.
“This is consistent with our aim to provide certainty and confidence for firms operating in the UK. We welcome engagement from across the sector, as we continue with our preparations for Brexit.”
The two papers will be open for consultation from all industry stakeholders till 7 December 2018.