Date: 2019-03-22Category: Not ApplicableState: Union GovernmentCountry: Europe
Commission Delegated Regulation (EU) 2019/463 of 30 January 2019 amending Regulation (EU) 2015/2365 of the European Parliament and of the Council with regard to the list of exempted entities (Text with EEA relevance.)
Executive Summary:
Commission Delegated Regulation (EU) 2019/463 amends Regulation (EU) 2015/2365 regarding the list of exempted entities, specifically adding the United Kingdom's central bank and related public bodies. This adjustment follows the United Kingdom's notification of withdrawal from the European Union. The regulation enters into force and applies from the day following the cessation of Regulation (EU) 2015/2365's applicability to the UK.
Key Points / Main Content:
* **Amendment of Regulation (EU) 2015/2365:**
* Article 22 of Regulation (EU) 2015/2365 is amended to include the central bank and other similar bodies, as well as public bodies managing public debt in the United Kingdom of Great Britain and Northern Ireland, in the list of exempted entities.
* **Justification for Amendment:**
* The amendment is a consequence of the United Kingdom's withdrawal from the European Union.
* The Commission assessed the international treatment of central banks and public debt management bodies in the United Kingdom post-withdrawal and concluded that they should be exempted from certain reporting and transparency requirements.
* The UK authorities have assured comparable exemptions for ESCB members and similar EU bodies.
* **Entry into Force and Application:**
* The regulation enters into force the day after its publication in the Official Journal of the European Union.
* It applies from the day following the date on which Regulation (EU) 2015/2365 ceases to apply to and in the United Kingdom.
* **Ongoing Monitoring:**
* The Commission will continue to monitor the treatment of exempted central banks and public bodies and may update the list of exempted entities based on regulatory developments and new information.
Impact Analysis:
* **United Kingdom Central Bank and Public Bodies:**
* *Impact:* These entities are now included in the list of exemptions from the reporting obligation under Article 4 and the reuse transparency requirements under Article 15 of Regulation EU 2015/2365.
* *Action Required:* Ensure compliance with the applicable regulations, considering the new exemption status.
* **European System of Central Banks (ESCB) Members and Other Member States' Bodies:**
* *Impact:* The authorities of the United Kingdom have provided assurances regarding the status, rights, and obligations of ESCB members, including their intention to grant an exemption comparable to the one provided for in Article 22 of Regulation EU 2015/2365.
* *Action Required:* Monitor the implementation of comparable exemptions by the UK authorities.
* **European Commission:**
* *Impact:* Responsible for ongoing monitoring of the treatment of exempted central banks and public bodies.
* *Action Required:* Continue regular monitoring and update the list of exempted entities as necessary based on regulatory developments and new information.
* **Member States:**
* *Impact:* This regulation is binding in its entirety and directly applicable in all Member States.
* *Action Required:* Ensure the implementation of this regulation within their jurisdiction from the date of its entry into force.
Key Entities Referenced
European Union: A political and economic union of member states located primarily in Europe.
United Kingdom: A country consisting of England, Wales, Scotland and Northern Ireland. It was formerly a member of the European Union.
Regulation EU 2015/2365: A regulation of the European Parliament and of the Council on transparency of securities financing transactions and of reuse.
European Parliament: The parliamentary assembly of the European Union that directly elected legislative body.
Council of the European Union: A Council of ministers of the European Union, it is part of the legislative and the budgetary authority of the EU
Treaty on the Functioning of the European Union: One of the two treaties forming the constitutional basis of the European Union (EU).
European System of Central Banks (ESCB): The central banking system of the European Union.
Commission Delegated Regulation (EU) 2019/463: A regulation amending Regulation (EU) 2015/2365 regarding the list of exempted entities.
L 80/16 EN Official Journal of the European Union 22.3.2019
COMMISSION DELEGATED REGULATION (EU) 2019/463
of 30 January 2019
amending Regulation (EU) 2015/2365 of the European Parliament and of the Council with regard
to the list of exempted entities
(Text with EEA relevance)
THE EUROPEAN COMMISSION,
Having regard to the Treaty on the Functioning of the European Union,
Having regard to Regulation (EU) 2015/2365 of the European Parliament and of the Council of 25 November 2015 on
transparency of securities financing transactions and of reuse (1), and in particular Article 2(4) thereof,
Whereas:
(1) On 29 March 2017, the United Kingdom submitted the notification of its intention to withdraw from the Union
pursuant to Article 50 of the Treaty on European Union. The Treaties will cease to apply to the United Kingdom
from the date of entry into force of a withdrawal agreement or failing that, two years after that notification,
unless the European Council, in agreement with the United Kingdom, unanimously decides to extend that period.
(2) The withdrawal agreement as agreed between the negotiators contains arrangements for the application of
provisions of Union law to and in the United Kingdom beyond the date the Treaties cease to apply to the United
Kingdom. If that agreement enters into force, Regulation (EU) 2015/2365, including the exemption provided for
in Article 2(2)(a) of that Regulation, will apply to and in the United Kingdom during the transition period in
accordance with that agreement and will cease to apply at the end of that period.
(3) The withdrawal of the United Kingdom from the Union would, in the absence of any special provisions, have the
effect that the exemption for the members of the European System of Central Banks (ESCB) and other Member
States' bodies performing similar functions and other Union public bodies charged with, or intervening in, the
management of the public debt in Article 2(2)(a) of Regulation (EU) 2015/2365 will no longer apply to the
United Kingdom central bank and other bodies performing similar functions and other public bodies charged
with, or intervening in, the management of the public debt in the United Kingdom.
(4) The Commission has carried out an assessment of the international treatment of central banks and the public
bodies charged with or intervening in the management of the public debt under the laws to be applicable in the
United Kingdom with regards to securities financing transactions after its withdrawal from the Union and has
presented its conclusions to the European Parliament and the Council.
(5) The Commission concluded in its assessment that the United Kingdom central bank and public bodies charged
with or intervening in the management of the public debt should be exempted from the reporting obligation
under Article 4 and the reuse transparency requirements under Article 15 of Regulation (EU) 2015/2365.
(6) The authorities of the United Kingdom have provided assurances on the status, rights and obligations of ESCB
members, including their intention to grant to the members of the ESCB and other Member States' bodies
performing similar functions and other Union public bodies charged with or intervening in the management of
the public debt an exemption comparable to the one provided for in Article 2(2) of Regulation (EU) 2015/2365.
(7) Consequently, the central bank of the United Kingdom and other bodies performing similar functions and other
public bodies charged with, or intervening in, the management of the public debt in the United Kingdom should
be included in the list of exempted entities laid down in Regulation (EU) 2015/2365.
(8) Therefore, Regulation (EU) 2015/2365 should be amended accordingly.
(9) The Commission continues to monitor on a regular basis the treatment of the central banks and public
bodies exempted from the reporting obligation and the reuse transparency requirements laid down in the list in
Article 2(2) of Regulation (EU) 2015/2365. That list may be updated in light of the development of the
regulatory arrangements in those third countries and taking into account any relevant new sources of
information. Such reassessment could lead to the removal of certain third countries from the list of exempted
entities.
(1) OJ L 337, 23.12.2015, p. 1.22.3.2019 EN Official Journal of the European Union L 80/17
(10) This Regulation should enter into force as a matter of urgency and should apply from the day following that on
which Regulation (EU) 2015/2365 ceases to apply to and in the United Kingdom,
HAS ADOPTED THIS REGULATION:
Article 1
In Article 2(2) of Regulation (EU) 2015/2365, the following point (c) is added:
‘(c) the central bank and other bodies performing similar functions and other public bodies charged with, or
intervening in, the management of the public debt in the United Kingdom of Great Britain and Northern
Ireland.’.
Article 2
This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European
Union.
It shall apply from the day following that on which Regulation (EU) 2015/2365 ceases to apply to and in the United
Kingdom.
This Regulation shall be binding in its entirety and directly applicable in all Member States.
Done at Brussels, 30 January 2019.
For the Commission
The President
Jean-Claude JUNCKER