The UK’s Financial Conduct Authority (FCA) confirmed today that European regulation, like MiFID II, still applies to financial firms across the UK, despite the results of the EU referendum.
The long-term impacts of Britain’s vote to leave the EU will depend on the decisions made by the government over the months ahead, director of strategy and competition at the FCA, Christopher Woolard explained.
“As far as the FCA and UK government are concerned, firms are still expected to comply with regulations despite Brexit, and we expect firms to continue bringing forward plans to implement EU law,” Woolard said.
He stressed the issue at the beginning of a speech on innovation and competition in the FinTech sector, addressing delegates of this years ‘London’s FinTech Week’.
The FCA’s role as a regulator remains unchanged post-Brexit, Woolard added, as it works through the issues presented by the result of the referendum last month.
Woolard also informed delegates of issues highlighted by FinTech firms, which the FCA should strive to improve.
These included making reporting requirements easier to comply with, driving technology to improve compliance and expanding the international regulatory bridge.
Woolard reminded delegates of the FCA’s FinTech partnerships with Australia and Singapore, which aim to improve the process of bringing new products to global markets.
The FCA is expected to announce an addition to its international partnerships in the near future, as Woolard concluded: “We have to do whatever we can to ensure we can establish UK FinTech firms globally, and those partnerships allow data to be shared back and forth, whilst reducing the overall time to market for new FinTech products.”
FCA's position unmoved following Brexit
The FCA’s role remains unchanged post-Brexit as it expects firms to continue with plans for EU regulation.