Berne Financial Services Agreement for UK and Swiss firms

UK firms will be able to apply through Connect via a notification form.

For the form, firms will need to:

• Provide their firm name, firm registration number (FRN), contact and the classes of insurance they wish to provide in Switzerland.
• Confirm they're eligible for the BFSA. See eligibility criteria in Annex 4 section IV paragraph B of the Agreement[2].
• Declare they'll comply with the conditions set out in the Agreement.
• If successful, within 30 days, the FCA/PRA will confirm that the firm is eligible and of good standing to the Financial Market Supervisory Authority (FINMA).
• FINMA will acknowledge receipt and put the firm details on its BFSA register within 30 days, at which point firms can begin to provide insurance services in Switzerland. Firms will be notified when they've been added to the FINMA register.

Swiss firms will notify FINMA via the FINMA survey and application platform (EHP).

For the form, firms will need to:

• Provide their name, FRN, contact details and the services they wish to supply into the UK.
• Declare they meet the eligibility criteria in Annex 5, paragraph III, IV, A of the Agreement[2].
• If successful, FINMA will confirm that the firm is eligible and of good standing to the FCA within 60 days.
• Upon receipt of FINMA’s confirmation, the FCA will place the firm on its public BFSA register within 30 days, at which point the firm can begin supplying services in the UK. Firms will be notified once they've been added to the register.

Switzerland has deferred to UK authorisation and prudential measures for certain insurance services. This means UK insurance firms within scope of the BFSA will be able to supply certain insurance services into the Swiss domestic market.

UK insurers can provide selected lines of non-life insurance business cross-border to large Swiss corporates without authorisation in Switzerland. 

With the BFSA, UK insurance intermediaries aren't required to have a local presence in Switzerland to service clients.

To be eligible, a firm must be a UK entity or branch of a Swiss entity authorised in the UK as an insurer or insurance intermediary to supply the relevant covered services.

Insurers must have no or limited life insurance business, employ staff with relevant knowledge of Swiss insurance legislation, and be subject to Solvency II regulatory requirements (unless they are a UK branch of a Swiss entity). They must meet solvency requirements without capital relief measures and fulfil their company specific management buffer requirement.

Swiss firms will be able to provide cross-border investment services to UK high net worth clients, professional clients and eligible counterparties without authorisation in the UK or complying with certain prudential measures.

The UK has deferred to Swiss authorisation and prudential measures for certain investment services and ancillary services. This means that, in the areas where deference applies, Swiss suppliers only need to comply with Swiss authorisation and prudential requirements when supplying those activities into the UK.

To be eligible, a firm must be a Swiss entity authorised and supervised as a bank, securities firm, fund management company, manager of collective assets, or portfolio manager – and FINMA-authorised to supply the relevant covered services in Switzerland. The firm must not have Part 4A permission for the services it wishes to provide through the BFSA.

Under the BFSA, UK insurance intermediaries aren't required to have a local presence in Switzerland when providing services to Swiss clients. Otherwise, the relevant Swiss domestic laws continue to apply.

Insurance intermediaries don't need to notify the FCA under the BFSA but must comply with requirements for pre-contractual and ad hoc disclosures to clients according to Annex 4 Section VII[3].

Starting 1 January 2026, professional requirements for insurance intermediaries will have to be obtained in Switzerland in line with FINMA's minimum standards.

The Vocational Training Association of the Insurance Industry (VBV/AFA) will be responsible for verifying skills and competences in this regard.

The BFSA will permit a UK firm without local presence in Switzerland to supply certain lines of insurance (see Annex 4 Section III paragraph B[4]) to Swiss clients that meet certain criteria (see Annex 4 Section V paragraph B.

Professional client advisers acting on behalf of UK investment services firms will also no longer need to individually register with Swiss registration bodies to provide services whilst in Switzerland. Instead, the firm can confirm, on the advisers’ behalf, that it meets the requirements for giving business or investment advice to Swiss clients.

Before supplying services, the firm must first notify the FCA that it wishes to provide specified services through client advisers in Switzerland, and must provide clients with a disclosure document according to Annex 5 Section IX.B.2[4].

Currently, Swiss investment services firms can access the UK market through the Overseas Persons Exclusion (OPE) or through seeking authorisation in the UK.

The BFSA provides new, streamlined access in investment services, including to high-net-worth clients.

This new access won't replace other existing routes for firms, such as the OPE. However, firms must choose between access routes on an activity basis and cannot use both routes simultaneously to provide the same service type.

Firms with an existing UK presence can still supply services covered under the Agreement, however this cannot be done through their UK-authorised branch. It must be through their Swiss-based entity.

This is in the Agreement – see page 66, Annex 5 (Investment Services) section III (on Covered Services)[6]. 

The BFSA Memorandum of Understanding sets out the arrangements for supervisory cooperation and information sharing.

This is according to Article 14 paragraph 5 of the BFSA between the Bank of England including in its capacity as the PRA, the FCA and FINMA. 

The implementation and application of the BFSA will be reviewed by a Joint Committee, established under Article 23 of the Agreement.

Under Article 46 of the Agreement, unless otherwise agreed, the BFSA will be reviewed every 5 years.