In the wake of the referendum result, only those firms who have not been listening to the FCA can believe that there is the silver lining of not having to implement any more European financial services legislation. After the never-ending waves of post-financial crisis reform, firms might in particular have hoped to avoid the seismic MiFID II rewriting of almost all the rules relating to investment services and markets.

Authors: Tamasin Little Charlotte Collins

Type: Insights

However, the FCA moved quickly to quash any such hopes and to emphasise that firms cannot simply scrap current implementation plans, by stating immediately after the announcement of the UK's vote to leave the EU:

"Much financial regulation currently applicable in the UK derives from EU legislation. This regulation will remain applicable until any changes are made, which will be a matter for Government and Parliament.

Firms must continue to abide by their obligations under UK law, including those derived from EU law and continue with implementation plans for legislation that is still to come into effect." (our emphasis)