Explanatory note

These Regulations make supplementary provision in relation to the Treasury’s powers under other legislation to designate the law and practice of another country or territory as equivalent to that of the United Kingdom in relation to an area of financial services and markets law and practice or where it is exercising powers specified in the Schedule to the Regulations. These Regulations restate with modifications the Equivalence Determinations for Financial Services and Miscellaneous Provisions (Amendment etc) (EU Exit) Regulations 2019 (S.I. 2019/541), which are revoked by section 1(1) of, and Schedule 1 to, the Financial Services and Markets Act 2023 (c. 29).

Regulation 2 and the Schedule define “overseas recognition regime designation” for the purposes of the Regulations.

Regulation 3 ensures that the Treasury are able to impose conditions or limitations on the application of an overseas recognition regime designation or to revoke or vary it.

Regulation 4 gives the Treasury the power to require the regulators to give the Treasury any advice or information they consider necessary to decide whether to make an overseas recognition regime designation.

Regulation 5 provides for the coordination of the functions of the Treasury and the regulators in relation to their functions under these Regulations.

Regulation 6 ensures that information received by the Bank of England is subject to the same requirements in relation to the disclosure of confidential information as information received by the other regulators.

Regulations 7 and 8 make amendments to other secondary legislation in order to establish uniformity across overseas recognition regimes.

A full impact assessment has not been produced for this instrument as no, or no significant, impact on the private, voluntary or public sector is foreseen.