Trade repositories

The UK left the EU on 31 January 2020 and entered a transition period with a Withdrawal Agreement in place. The transition period is due to end on 31 December 2020. During the transition period, EU law will continue to apply in the UK and trade repositories (TRs) remain regulated by ESMA until 31 December 2020.

Any TR wishing to offer its services relating to onshored EMIR (UK EMIR) or onshored Securities Financing Transactions Regulation (UK SFTR) in the UK after this date will need to be registered with, or recognised by the FCA.

UK EMIR validation rules

UK reporting counterparties and UK TRs should use the UK EMIR validation rules we published on 18 September 2020 when submitting derivative transactions entered into from 11.00pm on 31 December 2020 onwards.

Please note, these validation rules also include references to future amendments to the rules which will apply from 1 February 2021.

Getting registered under UK EMIR

To support a smooth transition to the new regime for TRs in the UK, the Trade Repositories (Amendment and Transitional Provision) (EU Exit) Regulations 2018 (TR Regulation), which transfers functions in relation to the registration of TRs from ESMA to the FCA, includes both a conversion and temporary registration regime for firms wishing to operate under UK EMIR as a TR in the UK after the end of the transition period:

  • Conversion regime: this will allow TRs established in the UK before the end of the transition period to convert their existing ESMA EMIR registration into a registration with the FCA.
  • Temporary registration regime (TRR): this will offer temporary registration to TRs that apply for registration with the FCA before the end of the transition period, provided they are a UK legal entity and part of the same group as a TR with an existing ESMA registration. Applications submitted by TRs alongside a notification to enter the TRR will be assessed in accordance with the requirements of the TR Regulations.
  • For firms not falling into the above categories, applications to register as a new TR will be assessed in accordance with the usual procedures in EMIR after the end of the transition period.

Getting registered under UK SFTR

To help firms understand their obligations we’ve provided links to useful information on EU SFTR legislation and UK SFTR.

On 30 April 2020, the Treasury confirmed that they intended to bring forward legislation before the end of the transition period which will be similar to the Trade Repositories Regulations

It would allow TRs who wish to offer services under the UK SFTR to register with the FCA, or apply in advance, and operate in the UK immediately after the end of the transition period. The legislation would provide for both a conversion and temporary registration regime for firms wishing to operate under UK SFTR as a TR in the UK after the end of the transition period:

  • Conversion regime: this should allow TRs established in the UK before the end of the transition period to convert their existing ESMA SFTR registration into a registration with the FCA.
  • Temporary registration regime (TRR): this should offer a temporary registration mechanism to TRs that apply for registration with the FCA before the end of the transition period, provided they are a UK legal entity and part of the same group as a TR with an existing ESMA SFTR registration. Applications submitted by TRs alongside a notification to enter the TRR would be assessed in accordance with the requirements of the TR Regulations.

Draft forms can be found below, the provision of which has been made in order to give firms sufficient time to submit the information requested.

What TRs should do now

TRs should let us know if they intend to offer UK EMIR or UK SFTR services to UK markets from the end of the transition period.

Email: [email protected]

Application to convert ESMA EMIR or ESMA SFTR registration

If you are a UK TR that wishes to convert its ESMA registration into a registration with the FCA you should complete and submit:

For EMIR, the conversion form for UK TRs (with supporting documentation) by email.

For SFTR, the draft conversion form  for UK TRs (with supporting documentation) by email.

In order to give sufficient time for these notifications to be processed, firms should aim to submit their completed notifications, together with all supporting documentation, by midnight on 4 December 2020. Firms are encouraged to submit draft documentation when they are ready, in good time before this deadline, and work with us to ensure effective management of the notification.

The FCA cannot guarantee that notifications submitted after this time, or incomplete notifications, will be processed by 31 December 2020.

Application to register a new UK legal entity and enter the TRR under UK EMIR or UK SFTR

If you are a UK TR that is a UK legal entity and part of the same group as a TR with an ESMA registration, and wish to apply for registration in the UK and enter the TRR, you will need to notify the FCA that you wish to enter the TRR and submit:

For EMIR, a completed registration form for UK TRs (with supporting documentation) by 11pm on 31 December 2020. You will also be required to pay a fee of £5,000 for your advance application. Full details of both our application and periodic fees can be found in Policy Statement 19/10.

For SFTR, a completed registration form  for UK TRs (with supporting documentation) by no later than 11pm on 31 December 2020.

A UK TR should take steps to ensure that the submission is made in good time.  Your covering email should specifically state that you wish to be included in the TRR.

We have also published UK EMIR notes, and UK SFTR notes to assist you in completing each registration form.

Application for a new registration

If you are a UK TR that is a UK legal entity and not part of the same group as a TR with an ESMA registration and wish to submit an advanced application, we ask that you contact us so to ensure you complete the appropriate form.

For firms not wishing to seek registration with immediate effect from the end of the transitional period, applications made after the end of the transition period to register as a new TR will be assessed in accordance with the usual procedures in UK SFTR and the Transparency of Securities Financing Transactions and of Reuse (Amendment) (EU Exit) Regulations 2019.

You will also be required to pay a fee of £5,000 for your new registration application. Details of both our application and periodic fees can be found, for UK EMIR, in Policy Statement 19/10. For UK SFTR, as the relevant rules have not yet been made, please refer to the Quarterly Consultation Paper 19-27, chapter 7, page 36.

If you have any queries, please email us.

List of TRs who intend to operate under UK EMIR in the UK after 31 December 2020

The following TRs have applied to offer UK EMIR TR services in the UK at the end of the transition period:

  • ICE Trade Vault Europe Limited
  • UnaVista Limited
  • DTCC Derivatives Repository Plc
  • REGIS-TR UK Limited

The above list will be updated as necessary. It does not supersede the Financial Services Register which will be appropriately updated after the transition period.

List of TRs who intend to operate under UK SFTR in the UK after 31 December 2020

With their consent, we will publish the list of applicant firms once draft applications and notifications have been received.