What is the UK Temporary Permissions Regime?

If we have a hard (i.e. no transitional “implementation” period) Brexit, the FCA’s “Temporary Permissions Regime” will allow EU27 and EEA firms and funds passporting into the UK to continue operating in the UK after Brexit while they get themselves authorised.  Section 8 of the EU (Withdrawal) Act 2018 empowers the Government to make consequential regulations and on 24th July 2018 it published the draft EEA Passport Rights (Amendment, etc., and Transitional Provisions) (EU Exit) Regulations 2018 which will embody this regime, and the FCA is consulting on them until 8th December.  There will be similar schemes for institutions passporting under the Electronic Money Directive or the Payment Services Directive.  Firms which notify pre-Brexit that they want to carry on doing business in the UK post-Brexit will be deemed to be authorised temporarily.  A similar regime will apply to the UK recognition of investment funds. The EU has not yet announced any temporary permissions regime. Michael McKee and his team have done a detailed note, posted on FinBrief a few days ago. Yesterday the BOE launched a consultation on its post-Brexit approach to financial services legislation in the event of a hard Brexit with no implementation period.  It says nothing new: the official line remains that there will be an implementation period running until December 2020 during which the UK will continue to implement EU law including new EU law coming into effect during that time (such as the Prospectus Regulation), passporting will continue, and so on, and firms should assume this.