On 19 November 2020, the CSSF published on its website a press release (Press Release 20/23) (“Press Release”) updating Luxembourg-based entities on the recent developments regarding the UK’s Temporary Permissions Regime (“TPR”) as communicated to the CSSF by the UK’s Financial Conduct Authority (“FCA”).
Both the CSSF and the FCA wish to inform/remind Luxembourg-based entities through the Press Release that the TPR will enable Luxembourg-based firms and funds which passport into the UK to continue to do so from the end of the transition period (being 31st of December 2020), as well as allow them to obtain authorisation or recognition in the UK (if required), subject to notifying the FCA in advance:
- For Luxembourg based firms and funds that passport into the UK, the notification window for the TPR reopened on 30 September 2020 (allowing notifications to the FCA for those entities who have not done so yet or allowing them to update their previously submitted notifications, if necessary);
- If firms hold a passport and have already notified the FCA to be registered with the TPR, but do not require a UK authorisation (e.g. because they are not doing any UK business), they should withdraw their TPR notification and, if they have no existing contracts, also cancel their passport; and
- Firms that hold a passport and are not registered with the TPR, but require permission to perform an existing contract, will automatically enter the UK’s Financial Services Contracts Regime (FSCR), to allow them to wind down their UK business in an orderly fashion.
Concerned Luxembourg-based firms and funds (especially those which currently passport into the UK on a services basis) are also urged to take into account the FCA’s consultation paper published on 23 September 2020 which sets out more information on the FCA’s expectations for those entities wishing to undertake regulated activities in the UK on an on-going basis.
Questions related to TPR notifications should be addressed directly to the FCA.