It was always clear that Brexit was going to be an inherently complex undertaking that the industry must muddle through somehow. By now we’re all quite used to politicians of every stripe selling us their promises and claims, ranging from the more realistic
to the less credible. What’s different this week is that the regulatory authorities have now waded in to the argument. As my colleague noted yesterday, the EBA claimed
that banks’ plans for a hard Brexit were “inadequate”. Now the FCA has hit back, refuting that claim.
This is quite astonishing. Even with something as controversial as MiFID II, public disagreements between European regulators were limited. They usually managed to settle their differences behind closed doors before representing a joint position publicly.
While an honest and open debate is always welcome, the benefits of regulators agreeing on a common set of requirements are undeniable. But judging by this week’s statements, it looks like the road through Brexit has a few more twists and turns to navigate
before the authorities on both sides of the Channel can agree on a joint position.