Overview of the Act
- The Financial Services Act ensures the UK's regulatory framework continues to function effectively following the UK’s withdrawal from the EU, and makes important updates to the regulatory framework.
- The Act enhances the UK’s world-leading prudential standards and promote financial stability by enabling the implementation of the full set of Basel III standards, a new prudential regime for investment firms, and giving the Financial Conduct Authority (FCA) the powers it needs to oversee an orderly transition away from the LIBOR benchmark.
- The Act promotes openness between the UK and international markets by introducing a new mechanism to simplify the process whereby overseas investment funds can be marketed in the UK and delivers a ministerial commitment to provide long-term access between the UK and Gibraltar for financial services firms.
- Finally, the Act includes a number of measures to maintain the effectiveness of the financial services’ regulatory framework and sound capital markets.