Onshoring updates to our Handbook and Technical Standards

We’ve published several consultations to prepare our Handbook and relevant Technical Standards for EU exit and the end of the transition period. We sometimes refer to this preparation process as ‘onshoring’.

We responded to a number of these consultations in 2019 in our Policy Statement PS19/5[1]. Since then we’ve made the updates below. While they are of historical interest, they also include links to the latest information about onshoring which we’ve published on other pages of our website.

1 October 2020

We have published Handbook Notice No 80[2] which gives feedback on our Brexit consultations in CP 19/27 and CP 19/33 (see the updates below for 6 December 2019 and 6 September 2019).

This Handbook Notice contains several instruments we have made which amend our Handbook and relevant technical standards in preparation for the end of the transition period, which is due to happen at 11pm on 31 December 2020.

We published these instruments on an updated version of our Handbook[3] which allows users to time travel and see the changes that will apply to a firm after the end of the transition period. There’s an accompanying guide[4] to help navigate the Handbook website and understand how to read the onshoring changes alongside the new TTP pages[5] we published today, which include key requirements for firms.

Given that EU law continues to apply in and to the UK until the end of the transition period, we have updated the instruments we made last year (see the update below for 28 February 2019 and our update on 29 March 2019) so that they refer to that time period (31 January – 31 December 2020) where relevant, instead of to ‘exit day’, which occurred on 31 January 2020 at 11pm.

We’ve updated our guides on:

• our approach to EU non-legislative materials[6] (PDF) 
• our approach to non-Handbook guidance where it relates to EU-law or EU-derived law[7] (PDF)
• completing our forms after the UK’s withdrawal from the EU[8] (PDF)

4 September 2020

We have issued a further consultation on Brexit changes[9]. This consultation closes in November and we’ll publish further information and final instruments in due course.

6 December 2019

We continue to plan for a range of Brexit outcomes. One of these outcomes is the UK leaving the EU on 31 January 2020 without a transition period. If this happens, we must ensure there is a functioning regulatory framework in place. We therefore need to amend our Handbook in line with the Government’s legislative changes and to reflect the UK’s new position outside the EU. Similarly, we need to amend binding EU technical standards (BTS) for which we will gain responsibility.

We have previously consulted on Brexit-related Handbook and BTS changes. Today, we are consulting on further minor or consequential Brexit-related Handbook and BTS changes.

The proposals include Handbook changes relating to:

• the Glossary definitions of ‘EU EMIR’ and ‘readily realisable security’
• pre-exit day regulated mortgages, and
• a consequential change relating to annual corporate reporting in the European single electronic format for issuers with securities admitted to trading on a regulated market.

In addition, we are consulting on BTS in relation to the Transparency Directive, Securitisation Regulation and MiFIR.

Further, we are proposing to update certain provisions that we consulted on previously to reflect final rules on the Senior Managers & Certification Regime (SM&CR).

The consultation closes on 6 January 2020. Please send comments via the online response form. Responses will be shared with the Bank of England/Prudential Regulation Authority and HM Treasury.

6 September 2019

We continue to plan for a variety of Brexit outcomes. One of these outcomes is the UK leaving the EU on 31 October 2019 without a transition period. If this happens, we must ensure there is a functioning regulatory framework in place. We therefore need to amend our Handbook in line with the Government’s legislative changes and to reflect the UK’s new position outside the EU. Similarly, we will need to amend binding EU technical standards (BTS) for which we will gain responsibility.

We have previously consulted on Brexit-related Handbook and BTS changes. Today, we are consulting on further minor or consequential changes.

The proposals include Handbook and BTS changes relating to binary options and contracts for difference, and the Prospectus Regulation. We are also consulting[10] on changes to Handbook provisions and new BTS in relation to the Securities Financing Transactions Regulation (SFTR).

We are also proposing to update certain provisions that we consulted on previously to reflect final rules on the Senior Managers & Certification Regime (SM&CR), and applying rules for overdrafts and buy now pay later offers to firms subject to the temporary permissions regime (TPR) in the UK.

In addition, we are proposing certain Handbook changes to take into account the Treasury’s changes to the domestic legislation implementing the European Markets Infrastructure Regulation (EMIR). Further, we are proposing to modify the periodic fee rules for Recognised Overseas Investment Exchanges (ROIEs) that are also European Economic Area (EEA) market operators.

The consultation closes on 4 October 2019. Please send comments via the online response form. Responses will be shared with the Bank of England/Prudential Regulation Authority and HM Treasury.

18 April 2019

We published the majority of our instruments on 29 March 2019. A small sub-set of FCA BTS instruments were made after 29 March and were published on 18 April 2019, including some where the PRA is the lead authority.
We may publish a further set of TTP directions later in the year.