FCA to consult on Brexit rule changes

FCA to consult on Brexit rule changes

The Financial Conduct Authority has said it will consult on Brexit-related changes to its handbook in the autumn.

The regulator has said it will be amending its handbook to make sure it is consistent with changes the government is making to European Union law and to make sure it works effectively after the UK has left the trading bloc.

Earlier this year the FCA said it would be limiting rule changes in the run-up to Brexit to those which are essential or part of its core priorities because of the increased workload involved in leaving the EU.

The FCA has said a consultation on Brexit-related changes would take place in the autumn, subject to HM Treasury's own plans, but has not specified when it would happen beyond this.

It will also consult on the rules which will apply to firms in the temporary permissions regime, which is being created to allow firms using the EU's passporting regime to do business into the UK to continue to do so.

The EU (Withdrawal) Act, which became law earlier this week, will transfer and convert existing EU law at the point of exit into UK law. It also gives ministers powers to make secondary legislation to amend these rules to ensure it functions effectively when the UK leaves the EU.

In a statement the FCA that as part of this, the Treasury had tasked the regulator with amending and maintaining EU binding technical standards.

It said: "We continue to prepare for a range of scenarios, including one in which the UK leaves the EU on 29 March 2019 without a withdrawal agreement and implementation period having been ratified between the UK Government and the EU."