2018: business as (un)usual – a look at European financial & regulatory developments into 2018

Author: | Published: 6 Feb 2018
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2017 for the UK and the rest of Europe seems to have been primarily a year devoted to implementation – both of political decisions already made and of legislation that had already been enacted. mofo report  

On the political front, Brexit continued to dominate many conversations around EU financial services. Theories circulated that EU decisions on various equivalence and passporting provisions, intended to be based on regulatory system comparisons, were being delayed for political reasons linked to the continued non-finalisation of a deal on the post-Brexit relationship between the UK and the rest of the EU. 

After Brexit, it is likely that UK financial services entities will lose the benefit of EU financial passports, and may need to try and utilise the existing provisions on equivalence for non-EU countries. Given that the UK, as a member state of the EU, already has such standards in place, granting equivalence status to the UK post-Brexit would be a logical step. But politics and logic make strange bedfellows. UK financial services entities will be watching this area closely in 2018. 

Click here for Morrison & Foerster and IFLR’s annual outlook report, which sets out a summary of the progress of some important areas of financial regulation in 2017 and look ahead to expected developments in 2018.

Contact Morrison & Foerster partners Peter Green at pgreen@mofo.com, or Jeremy Jennings-Mares at jjenningsmares@mofo.com, for more information.