Using Connect to submit notifications

Please note the EMIR portal will be discontinued and you need to register on a new system, Connect, to be able to make your EMIR notifications from 17 June 2019 onwards. The EMIR portal will become read-only shortly. Please ensure your firm is registered on Connect to submit all future dispute notifications, applications for intragroup exemptions from the clearing and reporting requirements and clearing threshold notifications.

From 17 June 2019, all EMIR notifications must be submitted using Connect, our main FCA interface, except applications for intragroup exemptions from bilateral margining. These need to be submitted by email following the current process set out on our EMIR notifications and exemptions page.

Register on Connect 

You can register as a user on Connect to make EMIR notifications in several ways:

  1. If your firm already has access to Connect:

FCA authorised firms will likely already have a Connect firm profile for other FCA submissions. If the individual(s) who will be responsible for submitting the EMIR forms already have a user profile, they can use that existing user profile.

 If you require an additional user profile, your firm’s Connect Principal User can create an additional Connect access for the individual(s) who will be responsible for submitting the EMIR forms.

Alternatively, the individual(s) responsible for submitting the EMIR forms can create a new user account on Connect not linked to the firm profile. You will then need to ask your firm’s Connect Principal User to link your new user profile to the firm’s central account. Doing so will ensure that all the information related to your firm is linked to your firm’s Connect profile. Please follow this link to understand how to create a user profile.

  2. If your firm does not already have access to Connect:

This is most likely to be the case if you are a non-financial counterparty. You will have to register yourself on Connect, creating a new account which can then be used to submit the relevant EMIR notifications. Please follow this link to understand how to create a user profile.

For queries on the registration and notification process, please contact our Contact Centre.

What notifications to submit via Connect

Firms will be required to submit the following notifications via Connect:

  1. Financial counterparty clearing threshold notification (Article 4a)
  2. Non-financial counterparty clearing threshold notification (Article 10)
  3. Intragroup transaction reporting exemption notification (Article 9)
  4. Disputes notifications (Article 11)
  5. Intragroup exemptions from the clearing requirements (Article 4)

Firms must submit notifications for intragroup exemptions from the margin requirements to [email protected], using the application templates provided in our EMIR notifications and exemptions webpage.

More information on how to complete the notifications

Non-financial counterparty clearing threshold notification (Article 10)

NFCs are required to notify the FCA if they are over the clearing thresholds for each respective asset class of OTC derivatives activity. Using Connect, notifying NFCs must indicate the asset class(es) in which they exceed the thresholds.

If you have notified the FCA that you are an NFC over the clearing threshold but your derivatives activity means that you subsequently no longer exceed the clearing threshold, you need to notify us that the NFC is no longer above the clearing threshold.

If you have notified us that you are an NFC over the clearing threshold but you need to update the list of counterparties within the combined group notification section of the form, you will need to notify us that you have updated the notification for exceeding the clearing threshold.

Disputes notifications (Article 11)

​If you are notifying a dispute where you do not agree on the amount or value of the dispute with your counterparty, counterparties should consider the cumulative amount of the dispute:

Example 1

  • A calculates that B should pay €5m to A.
  • B calculates that B should pay €3m to A.

In this example both parties agree that B is indebted to A. Their valuation of the liability, however, is different. The cumulative value of the dispute is €2m. The threshold for dispute notifications is €15m and so this dispute would not need to be reported.  

Example 2

  • A calculates that B should pay €5m to A.
  • B calculates that A should pay €10m to B.

In this example there is a dispute over both the value of the liability and which counterparty is liable. So this dispute, is the sum of both parties liability valuation. The dispute value in this scenario is €15m. If this dispute remains unresolved for 15 business days or more, a dispute notification will have to be made using  Connect

Reporting the 'Amount or value of the dispute (€m)' where the amount of a dispute varies over time: If the dispute is closed by the end of the reporting period (ie, month end), the value on the day the dispute became reportable (ie, exceeded the €15m and 15 business day thresholds) should be used. If the dispute is still open at month end (regardless of whether the dispute is reported for the first time or whether it has been reported previously), the value reported by the 15th of the following month (reporting date) should be the value as of the last business day of the calendar month for which the report is being submitted (reporting period). There is no need to provide an updated submission for any disputes that have been reported in a prior period but closed by the end of the current reporting period.

Disputes which occurred after the end of a reporting period but before the relevant reporting date should not be included in the report relating to such a reporting period but should be included in the next report. For example, a dispute which is identified on the 3rd June should only be included as part of the (June) set of notifications submitted for the 15th July deadline.

Financial counterparties submitting a nil return through Connect if they do not have any notifiable reports in a particular month: nil returns are not required, so financial counterparties do not need to register on Connect until a reportable dispute arises.

Reporting a dispute but it is still outstanding during the following month: the same submission should be updated during each subsequent month that the dispute remains outstanding and above the notification threshold. You should not make a new notification for the same dispute.

Intragroup exemptions from the clearing requirements (Article 4)

Entering a Legal Entity identifier (LEI) as the counterparty identifier for non-EU intragroup counterparties: the counterparty identifier should be an LEI for all intragroup counterparties when applying for an exemption from the clearing obligation.  As set out in the EMIR technical standards on format and frequency of trade reporting, all counterparties must have an LEI for reporting to trade repositories under EMIR.

Information that applicant counterparties must provide to demonstrate that both counterparties are subject to appropriate centralised risk evaluation, measurement and control procedures.

To demonstrate that appropriate centralised risk evaluation, measurement and control procedures are in place, the applicant counterparty should be able to cover the following areas by providing a summary description in the free text box:

  • describe the risk management policies and controls and how they are centrally defined and applied
  • demonstrate that senior management is responsible for risk management and that risk measurement is regularly reviewed
  • demonstrate that regular and transparent communication mechanisms are established within the organisation, so that the management body, senior management, business lines, the risk management function and other control functions can all share information about risk measurement, analysis and monitoring
  • demonstrate that internal procedures and information systems are consistent throughout the institution and reliable so that all sources of relevant risks can be identified, measured, and monitored on an aggregated basis and also, to the extent necessary, by entity, business line, and portfolio
  • demonstrate that key risk information is regularly reported to the central risk management function to enable appropriate centralised evaluation, measurement and control risk across the relevant group entities

Attaching documents or diagrams in the free text boxes within the clearing exemption forms: you cannot attach documents or diagrams to the free text boxes in the clearing exemption form. You will need to give us an answer to the relevant questions.

Group notification to cover all our counterparties notifying or applying for the intragroup clearing exemption: you cannot make a group-wide notification or application for the intragroup clearing exemption, because the exemption needs to be applied for at the counterparty level. However, if there are two counterparties within a group who are both established within the UK you can make one notification to cover both of these counterparties. We are accepting applications for transactions between a UK entity and an entity elsewhere in the EU. However, such notifications require the joint approval of the FCA and the other relevant EU national competent authority (NCA). As a result, the firms should check the decision of the other EU NCA before relying on the exemption.

We are also accepting applications for transaction between a UK entity and a third country entity. These notifications can be submitted via Connect.