CP19/2: Brexit and contractual continuity
The financial services contracts regime (FSCR) allows EEA firms to run off their regulated business in the UK, if the UK leaves the EU without an implementation period. This consultation paper sets out details of the FSCR and the rules we propose should apply to firms during the regime.
The FSCR will work alongside the temporary permissions regime, which enables inbound EEA firms to access the UK market while seeking full authorisation in the UK.
The FCSR allows EEA firms to conduct an orderly exit from the UK market by running off regulated business. The FSCR will apply automatically to EEA firms who have regulated business in the UK to run off, and either:
- do not enter the temporary permissions regime, or
- exit the regime without full UK authorisation
This paper sets out:
- details of the FSCR
- the rules we propose to apply to firms during the regime
Who this applies to
Who needs to read this paper:
- EEA firms that are passporting into the UK under the Financial Services and Markets Act 2000 (FSMA) and Treaty firms
- EEA electronic money and payment institutions and registered account information service providers passporting into the UK
Who else might be interested in this document:
- current and prospective customers of firms that currently passport into the UK
- advisers of firms that passport into the UK