{
  "url": "https://openlegislation.uk/draft-benchmarks-amendment-and-transitional-provision-eu-exit-regulations-2019/regulation-42",
  "json_url": "https://openlegislation.uk/draft-benchmarks-amendment-and-transitional-provision-eu-exit-regulations-2019/regulation-42.json",
  "legislation": "ukdsi/2019/9780111179208",
  "legislation_title": "The Benchmarks (Amendment and Transitional Provision) (EU Exit) Regulations 2019",
  "legislation_url": "https://openlegislation.uk/draft-benchmarks-amendment-and-transitional-provision-eu-exit-regulations-2019",
  "path": "regulation/42",
  "kind": "regulation",
  "number": "42",
  "heading": "Transitional provisions",
  "text": "(1) Article 51 (transitional provisions) is amended as follows.\n(2) For paragraph 1 substitute—\n“1. An index provider providing a benchmark to which paragraph 1A applies must apply for authorisation or registration in accordance with Article 34 on or before 31 December 2019, in order to provide a benchmark that may be used in the United Kingdom on or after 1 January 2020.\n1A. A supervised entity may, during the period specified in paragraph 1D, use a benchmark in the United Kingdom that:\n(a) is provided by a UK index provider who was providing a benchmark in the United Kingdom on 30 June 2016, or\n(b) is a benchmark (to which paragraph (a) does not apply) that was provided by a UK index provider in the United Kingdom in the period beginning with 1 July 2016 and ending with 31 December 2017,\n(but see paragraph 1B).\n1B. A supervised entity may not use a benchmark under paragraph 1A if:\n(a) the index provider providing the benchmark either:\n(i) before exit day, makes an application to the FCA for registration or authorisation under Article 34 of the EU Benchmarks Regulation; or\n(ii) during the transition period, makes an application to the FCA for registration or authorisation under Article 34 of this Regulation; and\n(b) the index provider is notified that the application is refused or approved.\n1C. Where the UK index provider is notified that the application is refused or approved on or after exit day, the benchmark may not be used under paragraph 1A:\n(a) where the application is refused, from the day after the date on which the index provider is notified of the refusal;\n(b) where the application is approved, from the day on which the index provider is recorded on the FCA register.\n1D. For the purposes of paragraph 1A, the period begins with exit day and ends with:\n(a) if the index provider has made an application in accordance with paragraph 1, the day referred to in paragraph 1C(a) or (b) (as applicable); or\n(b) if the index provider has not made an application in accordance with paragraph 1, 31 December 2019.”.\n(3) In paragraph 2—\n(a) in the opening words, for the words from “competent” to “that index provider” substitute “FCA may register an index provider providing a benchmark to which paragraph 1A applies (who makes an application under Article 34)”;\n(b) in point (b)—\n(i) for “competent authority” substitute “FCA”;\n(ii) for the words from “Member State” to the end substitute “United Kingdom”;\n(c) omit the second subparagraph;\n(d) in the third subparagraph, for “competent authority”, both times it occurs, substitute “FCA”.\n(4) Omit paragraph 3.\n(5) In paragraph 4—\n(a) for “an existing benchmark”, where first occurring, substitute “a benchmark provided by a UK index provider”;\n(b) for the words from “the use of” to “located” substitute “the FCA shall permit the use of the benchmark in the United Kingdom”;\n(c) for “an existing benchmark”, where second occurring, substitute “a benchmark”.\n(6) For paragraph 5 substitute—\n“5. A supervised entity may use a benchmark provided by an administrator located in a third country as a reference for a financial instrument, a financial contract or for measuring the performance of an investment fund in the United Kingdom:\n(a) during the transition period;\n(b) on and after 1 January 2020, if the benchmark is used as a reference for that financial instrument, that financial contract or for measuring the performance of that investment fund on 31 December 2019,\n(but see paragraph 5A).\n5A. A benchmark may not be used under paragraph 5 if:\n(a) before exit day:\n(i) the administrator providing the benchmark makes an application for registration or authorisation under Article 34 of the EU Benchmarks Regulation; and\n(ii) the administrator is notified that the application is refused;\n(b) the benchmark, or the administrator providing the benchmark, is recorded on the FCA register in accordance with—\n(i) Chapter 2 of Part 3 of the Benchmarks (Amendment and Transitional Provision) (EU Exit) Regulations 2019; or\n(ii) Article 36 of this Regulation.\n5B. A benchmark that:\n(a) is provided by an administrator to whom paragraph 5A(a) applies, and\n(b) is used as a reference for a financial instrument, a financial contract or for measuring the performance of an investment fund in the United Kingdom before the administrator is notified the application is refused,\nmay continue to be used in the United Kingdom as a reference for that financial instrument, that financial contract or for measuring the performance of that investment fund.”.\n(7) In paragraph 6—\n(a) for the words from “Commission” to “determine” substitute “Treasury may make regulations to specify”;\n(b) for “relevant competent authority” substitute “FCA”;\n(c) for “an existing benchmark” substitute “a benchmark provided by a UK index provider”.\n(8) After paragraph 6 insert—\n“7. In this Article:\n“transition period” means the period beginning with exit day and ending with 31 December 2019;\n“UK index provider” means an index provider located in the United Kingdom.”.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukdsi/2019/9780111179208/regulation/42",
    "retrieved_at": "2026-10-30T15:01:29.992538+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}