FCA warns on no-deal Brexit

By Daniel Lanyon on Friday 13 September 2019

Alternative LendingDigital BankingSavings and Investment

The regulator is stepping up its efforts to ensure firms are aware of what they need to do prepare for the potential of a no-deal Brexit.  

FCA warns on no-deal Brexit
Image source: Photo by rawpixel.com from Pexels

Financial firms not prepared appropriately for a no-deal Brexit may risk an impact on their business, according to an update from the The Financial Conduct Authority (FCA).

Brexit will result in the loss of passporting for UK firms doing business in the EEA. Whether firms need regulatory permissions to continue to do business in an EEA country will depend on the activity they are carrying on, the local law and the approach of the local authorities in that jurisdiction.

With the 31 October deadline approaching fast the UK regulator has increased its efforts signposting - digital adverts - its Brexit advice

 The FCA is urging all firms to consider the implications of a no-deal exit and is particularly relevant for firms that:

  • are a UK business which does any business in the EEA

  • passport into the UK and have not notified the FCA for entry into the Temporary Permissions Regime

  • have consumers in the EEA

  • transfer personal data from the EEA

Nausicaa Delfas, Executive Director of International at the Financial Conduct Authority said:

'The FCA has undertaken significant work to prepare for the UK’s departure from the EU. We have published extensive information on our Brexit pages and held events, reaching firms and trade organisations around the country.

'We expect firms to ensure they are ready if there is a no-deal. If firms haven’t finalised their preparations, there is a risk they could be impacted. Firms should consult the information on our website."

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