In a letter to the Chancellor of the Exchequer, Baroness Falkner,
Chair of the EU Financial Affairs Sub-Committee has called for
the urgent agreement of a post-Brexit standstill transition
period for the financial services sector.
This is in response to the weight of evidence the Committee has
received during its current inquiry into the future of financial
regulation and supervision following Brexit.
, Chair of
the EU Financial Affairs Sub-Committee, said:
“The clock is relentlessly ticking. Witness, after witness, told
us that financial services industry won’t be able to continue
servicing cross-border clients after 2019 if a transition period
is not agreed by the end of this year. The UK’s financial
services industry will be severely hit – as will EU
counterparties.
“The more the Government waits, the more the value of such a
period irreversibly declines. A trickle of banks and insurers
have started to implement their contingency plans ahead of access
to the Single Market being suspended in March 2019. The
Government must urgently negotiate a transition period to stop
this trickle turning into a flood.”
The Committee has requested a swift response from the Chancellor
to this letter.
Click here
to view the letter.
Notes to Editors
The House of Lords EU Financial Affairs Sub-Committee is carrying
out an inquiry into financial regulation and supervision
following Brexit. It is examining how financial regulation and
supervision can evolve following Brexit in order to ensure
financial stability, and potentially to maintain equivalence (or
some other form of close relationship between the UK and EU
regulatory regimes) in order to preserve market access.
