The FCA has reminded financial firms across the UK to be ready for the end of the transition period in one month’s time.

When the transition period ends at 11pm on 31 December, the regulator said that firms will need to be prepared for several regulatory changes.

At the end of the transition period, the FCA highlighted that EU laws will no longer apply and passporting will end.

The regulator suggested that firms intending to carry on providing services currently covered by a passport will need to ensure they will be able to do so after the end of the transition period. The FCA has also set out considerations to help firms understand how they will be affected, and what action they may need to take.

The regulator’s handbook has also been updated with changes to regulatory requirements that will apply to firms, while the temporary permissions regime (TPR) will enable relevant firms and funds which passport into the UK to continue operating in the UK – providing that they notify the FCA no later than 30 December, the regulator said.

If a firm currently relies on a passport to provide services to or from the UK, and proposes to cease those services at the end of the transition period, the FCA said it expects them to ensure the “right outcomes” for their customers.

“With just a month to go until the end of the transition period, firms need to make sure they are prepared for the end of passporting, and for the new financial services landscape after the end of the transition period,” commented FCA executive director of international, Nausicaa Delfas.

“To help minimise disruption, we have on-shored EU legislation and established temporary regimes to allow non-UK firms and funds to operate in the UK after 31 December 2020. We remain committed to open markets, international co-operation and high international standards of regulation.”

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