EU withdrawal

17 October 2019: We, HM Treasury, and the Financial Conduct Authority (FCA) published a Memorandum of Understanding (MoU) between HM Treasury, the Bank of England (Bank), Prudential Regulation Authority (PRA) and FCA. This sets out how the parties to the MoU expect to coordinate their respective functions in relation to equivalence and exemption determinations. These are new functions that will be transferred to UK authorities in the context of the UK’s withdrawal from the European Union and will come into effect from exit day.

This Memorandum of Understanding (MoU) is established in accordance with regulation 6 of the Equivalence Determinations for Financial Services and Miscellaneous Provisions (Amendment etc) (EU Exit) Regulations 2019.

13 September 2019: We published a new waiver by consent to waive the Continuity of Access requirements contained in the Depositor Protection Part of the PRA Rulebook. More information is available on the EU withdrawal – Temporary permissions regime page.

25 July 2019: We published Joint Bank of England/PRA Consultation Paper 18/19 ‘UK withdrawal from the EU: Changes following extension of Article 50’. Responses to the consultation are requested by Wednesday 18 September 2019.

Our work on EU withdrawal

The United Kingdom’s withdrawal from the European Union is a large and complex process that has significant implications for the way we discharge our responsibilities. Many parts of the Bank have worked closely together to assess the potential impact of EU withdrawal on our policy objectives of monetary and financial stability.

Our key communications

Our work in relation to EU withdrawal is covered in further detail in a number of Bank regular publications, including our Inflation Report, Financial Stability Report, speeches and annual reports.

In addition, we have also made a number of communications to firms on EU withdrawal. These are covered in the list below.

2019 key communications
17 October	Memorandum of understanding between HM Treasury, the Bank of England, the Prudential Regulation Authority and the Financial Conduct Authority (PDF) Established in accordance with regulation 6 of the Equivalence Determinations for Financial Services and Miscellaneous Provisions (Amendment etc) (EU Exit) Regulations 2019. Authority and the Financial Conduct Authority expect to coordinate their respective functions in relation to equivalence and exemption determinations.
25 July	Joint Bank of England/PRA Consultation Paper 18/19 ‘UK withdrawal from the EU: Changes following extension of Article 50’. Responses to the consultation are requested by Wednesday 18 September 2019.
13 June	Update to PS5/19 ‘The Bank of England’s amendments to financial services legislation under the European Union (Withdrawal) Act 2018’ to add Appendix B.2A which makes a small amendment to the PRA Rulebook: (EU Exit) Instrument 2019 in Appendix B.2. This updates the date on which new liquidity reporting rules are commenced, to take account of the extension of the Article 50 negotiating period and consequent change in exit day.
18 April	PS5/19 ‘The Bank of England’s amendments to financial services legislation under the European Union (Withdrawal) Act 2018’ – April 2019 Joint Bank and PRA Statement of Policy 'Interpretation of EU Guidelines and Recommendations: Bank of England and PRA approach after the UK’s withdrawal from the EU' PRA Supervisory Statement (SS) 1/19 ‘Non-binding PRA materials: The PRA’s approach after the UK’s withdrawal from the EU’ PRA SS2/19 ‘PRA approach to interpreting reporting and disclosure requirements and regulatory transactions forms after the UK’s withdrawal from the EU’ Update to PRA SS18/15 ‘Depositor and dormant account protection’ Bank SS ‘Non binding Bank materials relating to Financial Market Infrastructure Supervision: The Bank’s approach after the UK’s withdrawal from the EU’ Regulatory framework in a no-deal scenario page provides an update on the legal and regulatory framework that would apply in a no-deal scenario.
28 March	PRA Direction: Temporary permission and variation: notification before exit day (amendment) (PDF)
22 March	PRA Direction - Temporary permission and variation: notification before exit day (PDF) (supplements the PRA Direction issued in November 2018)
20 March	News release - ‘PRA and FCA agree Memorandum of Understanding (MoUs) with EBA’
14 March	We requested that any insurers with EEA business looking to use the Part VII of the Financial Services and Markets Act (FSMA) insurance business transfers: Saving Provisions available in the Financial Services (Miscellaneous) (Amendment) (EU Exit) Regulations 2019, whose transfer is not already underway make immediate contact with their PRA supervisory contact, or email the PRA Part VII Transfers team at Portfolio.Transfers@bankofengland.co.uk.
5 March	News release - Bank of England and Financial Conduct Authority agree Memoranda of Understanding (MoUs) with EIOPA and EU insurance supervisors
28 February	News release - Bank of England's approach to financial services legislation under the European Union (Withdrawal) Act - February 2019 Joint Bank and PRA Policy Statement 5/19 ‘The Bank of England’s amendments to financial services legislation under the European Union (Withdrawal) Act 2018’ Which includes near- final versions of policy materials including EU Exit Instruments, Supervisory Statements (SSs), and a Statement of Policy. Transitioning to post-exit rules and standards, including Bank and PRA transitional direction instruments and all Binding Technical Standard instruments Transfer of roles and responsibilities to the Bank including ‘The transfer of the function to produce Solvency II technical information to the PRA’
25 February	Joint statement by UK and US authorities on continuity of derivatives trading and clearing post-Brexit
4 February	The Bank of England and European Securities and Markets Authority (ESMA) have agreed Memoranda of Understanding (MoUs) regarding cooperation and information-sharing arrangements with respect to central counterparties (CCPs) and central securities depositories (CSDs). News release
24 January	We updated the financial market infrastructure supervision page with interim lists of third-country CCPs, third-country CSDs and EEA systems that will enter into the various temporary or transitional arrangements on exit day if the UK leaves the EU with no implementation period.
7 January	Application of the Senior Managers and Certification Regime to firms in the temporary permissions regime: clarification of the PRA’s and FCA’s proposals

2018 key communications
20 December	Joint Bank/PRA Consultation Paper 32/18 ‘UK withdrawal from the EU: Further changes to – PRA Rulebook and Binding Technical Standards – Resolution Binding Technical Standards’
19 December	Bank of England statement on equivalence of the future UK legal and supervisory framework for central counterparties and central securities depositories
4 December	Agents’ survey on preparations for EU withdrawal and results from the Decision Maker Panel survey The Bank’s Agents have conducted a survey of business contacts about their preparations for Brexit, to support the Bank’s analysis of the impact of EU withdrawal on the UK economy.
28 November	EU withdrawal scenarios and monetary and financial stability - A response to the House of Commons Treasury Committee Financial Stability Report - November 2018 - see in particular ‘Resilience of the UK financial system to Brexit’ on pages 17-33.
7 November	PRA Direction: ‘Temporary permission and variation: notification before exit day’ (pdf) See amendment to this PRA Direction made on 28 March 2019.
6 November	Follow-up letter to EU systems designated under the Settlement Finality Directive from David Bailey, Executive Director, Financial Market Infrastructure
25 October	News release 'Bank of England's approach to financial services legislation under the European Union (Withdrawal) Act - October 2018' Joint Bank/PRA Consultation Paper 25/18 'The Bank of England’s approach to amending financial services legislation under the European Union (Withdrawal) Act 2018' PRA Consultation Paper 26/18 'UK withdrawal from the EU: changes to PRA Rulebook and onshored Binding Technical Standards' Bank Consultation Paper 'UK withdrawal from the EU: Changes to FMI rules and onshored Binding Technical Standards' Bank Consultation Paper 'UK Withdrawal from the EU: The Bank of England’s approach to resolution Statements of Policy and onshored Binding Technical Standards' Update to firms on the Bank’s regulatory approach, and firm preparations, for EU withdrawal - Letter from Sam Woods (PRA CEO and Deputy Governor for Prudential Regulation) to CEOs of PRA-regulated firms Letters from Jon Cunliffe to: Non-UK CCPs Non-UK CSDs
24 July	News release 'Temporary permissions and recognition regimes' The Government published a draft of the statutory instrument that will, subject to parliamentary approval, deliver a temporary permissions regime for EEA firms operating in the UK
24 July	Letter to EU systems designated under the Settlement Finality Directive from David Bailey, Executive Director, Financial Market Infrastructure
27 June	See Table A.2 on page 9 of the Financial Stability Report – June 2018 for ‘FPC judgement of progress against actions to mitigate the risk of disruption to end users of financial services as at 22 June 2018’
27 June	News release 'Bank of England’s approach to financial services legislation under the European Union (Withdrawal) Act' HM Treasury sets out its approach to onshoring financial services legislation under the European Union (Withdrawal) Act
27 April	News release 'EU Commission and HM Treasury ask the European Central Bank and the Bank of England to convene a technical working group' HM Treasury and the European Commission have asked the Bank of England and the ECB to convene a technical working group on risk management
28 March	News release 'Update on the regulatory approach to preparations for EU withdrawal' The Bank of England welcomes the agreement between the UK and EU27 that there should be an implementation period until the end of 2020 as part of the UK’s Withdrawal Agreement with the EU
28 March	CCPs’ preparations for the UK’s withdrawal from the European Union: update following March 2018 European Council Letter from Sir Jon Cunliffe, Deputy Governor, Financial Stability to Central Counterparties (CCPs)
28 March	Firms’ preparations for the UK’s withdrawal from the European Union: update following March 2018 European Council Letter from Sam Woods, Deputy Governor, Prudential Regulation and CEO, Prudential Regulation Authority
28 March	PRA Supervisory Statement 1/18 'International banks: the Prudential Regulation Authority’s approach to branch authorisation and supervision'
28 March	PRA Supervisory Statement 2/18 'International insurers: the Prudential Regulation Authority’s approach to branch authorisation and supervision'
16 March	Financial Policy Committee statement from its meeting FPC judgement of progress against actions to mitigate the risk of disruption to end users of financial services as at 12 March 2018

2017 key communications
20 December	News release 'The Bank of England’s approach to the authorisation and supervision of international banks, insurers and central counterparties' The Bank of England is announcing today that it is consulting on an updated approach to authorising and supervising international banks and insurers
20 December	Firms’ preparations for the UK’s withdrawal from the European Union: planning assumptions Letter from Sam Woods, Deputy Governor, Prudential Regulation and CEO, Prudential Regulation Authority
20 December	Letter to Central Counterparties (CCPs) from Sir Jon Cunliffe, Deputy Governor, Financial Stability
7 April	Contingency planning for the UK's withdrawal from the European Union Letter to firms from Sam Woods, Deputy Governor, Prudential Regulation and CEO, Prudential Regulation Authority

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EU withdrawal

In this section

Our latest EU withdrawal updates

Our work on EU withdrawal

Our key communications

2019 key communications

2018 key communications

2017 key communications