On Tuesday, Germany’s top financial regulator stated, the EU’s banking regulators will need temporary fixes in the event of UK-based banks facing a cliff-edge after the Brexit regulations in March 2019, which could create dangerous market distortions.
As per Felix Hufeld, BaFin’s president, Britain’s departure from the European Union “certainly won’t be a piece of cake”.
Given the fact that despite five rounds of Brexit negotiations, interlocutors from the EU and Britain have made little headway, regulators will have to assume that Britain is likely to face a “cliff edge situation” said Hufeld.
In an event organised by zeb consultants in London, Hufeld said, regulators will need “adequate” temporary solutions to avoid dangerous “distortions” in markets while entering a post-Brexit scenario.
“Things that can be tolerated at the start, for instance to avoid cliff effects, must be brought into an appropriate balance in the medium term,” said Hufeld.
References:
reuters.com
As per Felix Hufeld, BaFin’s president, Britain’s departure from the European Union “certainly won’t be a piece of cake”.
Given the fact that despite five rounds of Brexit negotiations, interlocutors from the EU and Britain have made little headway, regulators will have to assume that Britain is likely to face a “cliff edge situation” said Hufeld.
In an event organised by zeb consultants in London, Hufeld said, regulators will need “adequate” temporary solutions to avoid dangerous “distortions” in markets while entering a post-Brexit scenario.
“Things that can be tolerated at the start, for instance to avoid cliff effects, must be brought into an appropriate balance in the medium term,” said Hufeld.
References:
reuters.com
