UK firms and funds which conduct business in the European Economic Area (EEA) and European firms and funds based in the EEA and which rely on passporting to carry out business in the UK should consider if or how they will be affected by Brexit and their potential options. To help firms consider whether Brexit might affect their business the FCA has published a useful Checklist.
Temporary Permissions Regime
The temporary permissions regime allows EEA-based firms passporting into the UK to continue operating in the UK market while they seek full FCA authorisation, if the UK leaves the EU after 31 January 2020 and there is no deal. It will also allow EEA-domiciled investment funds that market in the UK under a passport to continue temporarily marketing in the UK. Firms have until 30 January 2020 to enter the regime, with Fund managers having until 15 January 2020 to inform the FCA if they want to make changes to their existing notification.
This useful flowchart sunmmarises how the temporary permissions regime and finaancial services contracts regime (FSCR) will enable EEA-based firms to continue operating in the UK after Brexit.
The FCA has some flexibility in applying post-Brexit regulations, allowing firms to transition to a new UK regulatory framework. This means that not all firms will have to prepare now for post-Brexit requirements, just those within certain frameworks. You can find details about this on the FCA website.
How we can help UK firms
Compliancy Services provide a range of consulting services and have helped number of Financial Services firms across different sectors consider their Brexit plan.
How we can help EEA firms
Compliancy Services offer a specialist award-winning FCA Authorisations service that has been honed while successfully managing over 1,100 authorisations. We know what the FCA is looking for and we're here to help you get authorised quickly and with a minimum of fuss.