The UK's Financial Conduct Authority (FCA) has extended the deadline for financial firms providing services from the EU to the UK after Brexit to notify it under the Temporary Permissions Regime (TPR).27 Mar 2019
The new deadline is in line with the UK government's agreement with the EU last week that the Brexit date would move from 29 March to 12 April, unless prime minister Theresa May can get parliament's backing for the withdrawal agreement negotiated with the EU.
EU based firms and funds now have until the end of 11 April to notify the FCA they want to enter the TPR.
The TPR will allow EU-based firms and funds which currently access the UK market by way of an inbound 'passport' to continue to serve their UK customers or market funds for up to three years in the event that the UK exits the EU without a formal implementation period in place. This gives them time to apply for full authorisation to carry on regulated activities or recognition for marketing funds.
To enter the TPR, firms and the managers of funds need to notify using the FCA’s online Connect system by the end of 11 April.
Financial regulation expert Anita Ives of Pinsent Masons, the law firm behind Out-Law.com, said: "The FCA has set up the TPR to provide a breathing space for incoming EEA firms and fund managers that wish to continue to provide their services in the UK following the UK’s exit from the EU. Without an agreement in place providing transitional arrangements, such businesses will lose their passports and their right to carry on such business."