The European Central Bank and the Bank of England are will bring together a working group on Brexit-related risks.
ECB and BoE said they will convene a technical working group on risk management in the period around 30 March 2019 in the area of financial services. The group, which will be chaired by the president of the ECB and the Governor of the Bank of England, will see The European Commission and HM Treasury attend as observers. Other relevant authorities will be invited on an issue-specific basis.
The pair will report regularly to the European Commission and HM Treasury, with the primary responsibility to prepare for Brexit remains with market participants. It will work separate from the on-going negotiations on the Withdrawal Agreement between the EU and the UK and from the negotiations on the overall understanding of the framework for the future relationship between the EU and the UK.
The legal text of the draft Withdrawal Agreement agreed between the EU and UK negotiators covering the transition period would mean, when ratified, that Union law, including in relation to financial services, shall be applicable to and in the UK until 31 December 2020.
Earlier this year, Bank of England governor Mark Carney reportedly called for Cryptocurrencies to be regulated. Speaking at the inaugural Scottish Economics Conference, Carney said that the currencies themselves could present a future risk to financial stability and called for them to be more rigorously regulated.
He said, “The time has come to hold the crypto-asset ecosystem to the same standards as the rest of the financial system. Being part of the financial system brings enormous privileges, but with them great responsibilities.”
Copyright © 2018 RegTech Analyst
Copyright © 2018 RegTech Analyst
