On 25 March 2019, the FCA confirmed that, in light of the recent agreement between the UK government and the remaining 27 EU Member States, it intends to permit notifications to enter the TPR to be submitted by the end of 11 April 2019.
With the timing of the UK’s departure from the EU still uncertain, EEA funds and firms which want to continue marketing to UK investors after Exit Day (currently 29 March 2019) should remember that they must notify the FCA by the end of 28 March 2019 if they wish to enter the UK’s Temporary Permissions Regime (TPR).
Once the notification window for the TPR has closed, fund managers that have not submitted a notification for a fund will not be able to use the TPR’s marketing regime for that fund nor continue marketing that fund in the UK on the same basis as they did before Exit Day.
The only exception to this is in respect of new sub-funds of EEA UCITS that are in the TPR on Exit Day – such new sub-funds will still be entitled to enter the TPR after Exit Day.
What is the TPR?
The TPR has been established by HM Treasury and the FCA as part of the UK’s preparations for the possibility of a Hard Brexit.
Under the TPR, (a) firms which currently make use of either a passport under an EU directive or rights under an EEA Treaty and (b) EEA-domiciled funds would be able to continue to access the UK market after Exit Day (currently envisaged to be 29 March 2019) while they seek full authorisation or recognition from the FCA.
The TPR would last for a maximum of three years.
However, to make use of the TPR, the firm or fund must notify the FCA of its intention to do so before “the end of 28 March 2019”.
For more information, see our elexica articles, The UK's Temporary Permissions Regime (TPR) - the FCA consults and UK Temporary Permissions Regime - EEA UCITS to be permitted to add new sub-funds after Exit Day.
This document (and any information accessed through links in this document) is provided for information purposes only and does not constitute legal advice. Professional legal advice should be obtained before taking or refraining from any action as a result of the contents of this document.