HM Treasury and the European Commission published a joint statement recording the discussions at the third Joint EU-UK Financial Regulatory Forum held in London on 12 February 2025. The statement reiterates the role of structured UK-EU regulatory cooperation in supporting financial stability, market integrity and investor and consumer protection, and notes continued cooperation on areas such as anti-money laundering and sanctions. Across five themes, participants exchanged on macroeconomic and financial stability risks and took stock of policy priorities to support growth. Banking and resolution discussions covered Basel III implementation consistency, securitisation framework developments, and cross-border resolution issues including open bank bail-in operationalisation, alongside updates on the European Union’s Crisis Management and Deposit Insurance framework review and the United Kingdom’s Bank Resolution (Recapitalisation) Bill. Digital and markets topics included joint work to develop a common understanding of artificial intelligence benefits and risks, progress on cryptoasset regulation including the European Union’s Markets in Crypto-Assets Regulation entering full application on 30 December 2024 and the United Kingdom’s plans to legislate for its own regime, and support for global implementation of the Financial Stability Board framework. In capital markets, both sides discussed progress towards a T+1 settlement cycle with a growing consensus around 11 October 2027, continued liaison on consolidated tapes and benchmarks, and the importance of implementing Financial Stability Board recommendations on Money Market Funds and finalising international reforms addressing non-bank financial intermediation leverage, alongside updates on the United Kingdom’s Overseas Funds Regime and the extension of its Temporary Marketing Permissions Regime for certain funds, including Money Market Funds, until end-2026. On sustainable finance, the statement highlights a focus on international coordination to promote interoperability and reduce reporting frictions, including exchanges on sustainability disclosures, transition planning, transition finance and green taxonomies, alongside the European Union’s intention to bring forward an Omnibus simplification package to reduce companies’ reporting burden. The European Union and the United Kingdom agreed to follow up as appropriate between now and the next Forum, including continued engagement on T+1, with industry taskforce chairs participating as observers in each other’s taskforces.
HM Treasury 2025-02-13
HM Treasury and European Commission publish joint statement from third EU-UK Financial Regulatory Forum with coordination focus on T+1 settlement by 11 October 2027
HM Treasury and the European Commission issued a joint statement after the third Joint EU-UK Financial Regulatory Forum, emphasizing cooperation to enhance financial stability, market integrity, and investor protection. Discussions covered Basel III implementation, cryptoasset regulation, and sustainable finance, focusing on international coordination and reducing reporting burdens. Both parties agreed to ongoing engagement, including T+1 settlement cycles and industry taskforce collaboration.