November 27, 2022

Volume XII, Number 331


HM Treasury and Swiss Government Joint Statement on a Future Mutual Recognition Agreement

On June 30, HM Treasury published a joint statement with the Swiss Federal Department of Finance on deepening co-operation in the financial services sector (the Statement).

The Statement sets out their common intention to conclude a legally binding international agreement on mutual recognition (the Agreement). The objective of the Agreement is to improve the cross-border market for financial services between the UK and Switzerland, with an intended focus on the provision of services to wholesale and sophisticated clients in the fields of insurance, banking, asset management and capital markets.

Consequently, the Agreement is expected to:

  • establish outcomes-based mutual recognition, providing rights for the provision of relevant financial services from one jurisdiction into the other, and reducing regulatory frictions for cross-border activity;

  • establish structures and appropriate safeguards to underpin these rights, including provisions for regulatory and supervisory cooperation; and

  • create a clear, transparent and managed process in the event that recognition is withdrawn in the future or re-established after a withdrawal.

In connection with the Statement, HM Treasury published a speech by the UK Government on June 30, confirming that that the UK has completed its equivalence assessment of Swiss stock markets and deemed them to be equivalent (the Speech).

The Statement is available here.

The Speech is available here.

©2022 Katten Muchin Rosenman LLPNational Law Review, Volume X, Number 192

About this Author

Carolyn H. Jackson, International Attorney, Katten Muchin law firm

Carolyn Jackson is a partner in Katten Muchin Rosenman UK LLP and is a Registered Foreign Lawyer. She provides US financial regulatory legal advice to a broad range of market participants, including commercial banks, investment banks, investment managers, broker-dealers, electronic trading platforms, clearinghouses, trade associations and over-the-counter derivatives service providers.

Carolyn guides clients in the structuring and offering of complex securities, commodities and derivatives transactions and in complying with US securities and commodities laws...

+44 0 20 7776 7625
Nathaniel Lalone, Katten Muchin Law Firm, Financial Institutions Attorney
Senior Associate

Nathaniel Lalone, a partner at Katten Muchin Rosenman UK LLP, has a broad range of experience in the regulation of financial products and financial markets, and frequently provides regulatory and compliance advice to trading venues, clearing houses and buy-side firms active in the over-the-counter (OTC) derivatives, futures and securities markets. He is actively involved in advising clients on the implementation of MiFID 2 and MiFIR in the European Union as well as the international reach of US financial services regulation. He also has significant experience with structuring...

+44 0 20 7776 7629
Neil Robson, private equity fund managers counselor, Katten Law Firm, London

Neil Robson, a regulatory and compliance partner with Katten Muchin Rosenman LLP, focuses his practice on counseling hedge and private equity fund managers and other investment advisers on operational, regulatory and compliance issues. He regularly addresses Financial Conduct Authority (FCA) and EU authorization and compliance under both the EU Alternative Investment Fund Managers Directive (AIFM Directive) and MiFID, cross-border issues in the financial services sector, market abuse, anti-money laundering and regulatory capital requirements, formations and buyouts of...