UK withdrawal from the EU
While the UK is a member of the EU, or for as long as the UK continues to be bound by EU obligations during an implementation period, the UK financial system will continue to be regulated in accordance with its existing obligations as an EU Member State. FSCS will continue to protect depositors, policyholders, investors and others.
The Government has put in place a programme of action designed to avoid disruption in the event of a no-deal scenario. This work includes putting in place a Temporary Permissions Regime for firms that are passporting into the UK before Exit, to allow them to continue operating for a limited period of time while their application for full authorisation is considered.
The Prudential Regulation Authority and Financial Conduct Authority are consulting on the implementation of a temporary permissions regime, including what a no-deal scenario may mean for FSCS coverage. Generally, for consumers dealing with UK authorised firms in the UK, there will be no change in FSCS protection. Any changes affecting FSCS, and the coverage we provide, will be consulted upon by UK regulators.
FSCS will continue to work closely with HM Treasury, the Bank of England and the Financial Conduct Authority on the implications of EU withdrawal for FSCS and consumers to ensure clear and consistent messaging to stakeholders.