A joint report by the Special Trade Commission and law firm CMS sets out how coordination of financial services regulation between the UK and the EU after Brexit could work – to maintain cross-border financial services trade and improve competitiveness in the sector.
- A new UK/EU relationship in financial services – A bilateral regulatory partnership [PDF]
- By Shanker Singham, Paul Edmondson & Victoria Hewson
- April 2017
- Published by the Legatum Institute
The proposals in the UK Prime Minister’s speech on 17th January and the White Paper on 2nd February will require a new construct for cross-border regulatory coordination between the EU and the UK, which will operate in a complex legal and regulatory environment (outside the EU/EEA single market). CMS and the Legatum Institute Special Trade Commission have produced a joint report which looks at how the new UK/EU partnership might work in the field of financial services. The report aims to move away from binary and simplistic discussion (such as ‘passporting’ versus ‘equivalence’) and to contribute to the development of a more informed consensus. The partnership concept that the report envisages is flexible to cater for all political outcomes and is highly negotiable. The report seeks to explain and illustrate the spectrum of possibilities, but it does not attempt to fix on detailed measures or on the priorities for each sub-sector/area of FS.
Read the full report here.