Markets in Financial Instruments (Amendment) (EU Exit) Regulations 2018

SI 2018/1403: This enactment is made in exercise of legislative powers under the European Communities Act 1972 and the European Union (Withdrawal) Act 2018 in preparation for Brexit. This enactment amends key pieces of UK domestic law and EU tertiary legislation in relation to markets in financial instruments arising from the withdrawal of the UK from the EU, to ensure that the legislation continues to operate effectively at the point at which the UK leaves the EU. It comes into force partly on 20 December 2018 and fully on exit day. (Updated from draft on 21 December 2018.)

Purpose

These Regulations are made in exercise of the powers in section 2(2) of the European Communities Act 1972, and section 8(1) of, and paragraph 21 of Schedule 7 to, the European Union (Withdrawal) Act 2018 (EU(W)A 2018) in order to address failures of retained EU law to operate effectively, and other deficiencies arising from the withdrawal of the UK from the EU (and in particular, the deficiencies under EU(W)A 2018, s 8(2), paras (b), (c), (e), (f), (g)).

These Regulations are made to:

• amend the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001, SI 2001/544, the Financial Services and Markets Act 2000 (Markets in Financial Instruments) Regulations 2017, SI 2017/701, and the Data Reporting Services Regulations 2017, SI 2017/699

• amend EU Regulation (EU) 600/2014 on markets in financial instruments, EU Regulation (EU) 2017/565 supplementing EU Directive 2014/65/EU as regards organisational requirements and operating conditions for investment firms and defined terms, and EU Regulation (EU) 2017/567 supplementing Regulation (EU) 600/2014 with regard to definitions, transparency, portfolio compression and supervisory measures on product intervention and positions

Resolution procedure

• Affirmative

Amended UK enactments

• Financial Services and Markets Act 2000 (Regulated Activities) Order 2001, SI 2001/544

• Data Reporting Services Regulations 2017, SI 2017/699

• Financial Services and Markets Act 2000 (Markets in Financial Instruments) Regulations 2017, SI 2017/701

Amended EU enactments

• Regulation (EU) 600/2014 of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending EU Regulation (EU) 648/2012 is amended

• Regulation (EU) 2017/565 supplementing EU Directive 2014/65/EU of the European Parliament and of the Council as regards organisational requirements and operating conditions for investment firms and defined terms for the purposes of that Directive is amended

• Regulation (EU) 2017/567 supplementing EU Regulation (EU) 600/2014 of the European Parliament and of the Council with regard to definitions, transparency, portfolio compression and supervisory measures on product intervention and positions is amended

Repeals and revocations (whole/partial)

• None

Savings and transitional provisions

• None

Jurisdictional extent

This enactment extends to England, Scotland, Wales and Northern Ireland.

Read the official version of this legislation and explanatory memorandum. The Lexis®Nexis full text version of the content will be available within 24 hours and will include links to related legislation and annotations.

Note on retained EU law: unless otherwise stated, references to EU enactments in this summary are references to direct EU legislation anticipated to form part of the body of retained EU law incorporated into UK domestic law (as amended) on exit day under EU(W)A 2018.