Combined View / SUP / 13A / 1

SUP 13A.1 Application and purpose

Application

SUP 13A.1.1

27/07/2012

FCAPRA

(1)  This chapter applies to an EEA firm that wishes to exercise an entitlement to establish a branch in, or provide cross border services into, the United Kingdom under a Single Market Directive or the auction regulation. (The Act refers to such an entitlement as an EEA right and its exercise is referred to in the Handbook as "passporting".) (See SUP App 3 (Guidance on passporting issues) for further guidance on passporting.)

(2)  This chapter also applies to:

(a)  a Treaty firm that wishes to exercise rights under the Treaty in respect of regulated activities , those rights not being covered by passporting rights provided by the Single Market Directives, and qualifies for authorisation under Schedule 4 to the Act (Treaty Rights); and

(b)  a UCITS qualifier, that is, an operator, trustee or depositary of a recognised collective investment scheme, constituted in another EEA State, and which qualifies for authorisation under Schedule 5 to the Act (Persons concerned in collective investment schemes).

(3)  The provisions implementing the Single Market Directives are within the coordinated field (see PERG 2.9.18 G (1)). So, where an incoming ECA provider intends to provide electronic commerce activity that consists of activities that fall within one of the Single Market Directives, the passporting requirements on exercising an EEA right in this chapter will apply.

SUP 13A.1.2

01/04/2013

FCAPRA

This chapter does not apply to:

(1)  an EEA firm that wishes to carry on in the United Kingdom activities which are outside the scope of its EEA right and the scope of a permission granted under Schedule 4 to the Act; in this case the EEA firm requires a "top-up permission" under Part 4A of the Act (see the appropriate UK regulator's website http://www.fca.org.uk/firms/about-authorisation/getting-authorised for the FCA and www.bankofengland.co.uk/pra/Pages/authorisations/newfirm/default.aspx for the PRA); or

(2)  an EEA firm that carries on any insurance activity:

(a)  by the provision of services; and

(b)  pursuant to a community co-insurance operation in which the firm is participating otherwise than as leading insurer (see Article 11 of the Regulated Activities Order); or

(3)  a Treaty firm that wishes to provide electronic commerce activities into the United Kingdom ; or

(4)  a market operator that operates a regulated market or an MTF in an EEA State other than the UK and wishes to make appropriate arrangements so as to facilitate access to and use of its system by remote users or participants in the UK. See SUP App 3.6.25 G for guidance.

SUP 13A.1.3

06/03/2009

FCAPRA

(1)  Under the Gibraltar Order made under section 409 of the Act , a Gibraltar firm is treated as an EEA firm under Schedule 3 to the Act if it is:

(a)  authorised in Gibraltar under the Insurance Directives; or

(aA)  authorised in Gibraltar under the Reinsurance Directive; or

(b)  authorised in Gibraltar under the Banking Consolidation Directive ; or

(c)  authorised in Gibraltar under the Insurance Mediation Directive; or

(d)  authorised in Gibraltar under the MiFID.

(1A)  Similarly, an EEA firm which:

(a)  has satisfied the Gibraltar establishment conditions and has established a branch in the UK; or

(b)  has satisfied the Gibraltar service conditions and is providing cross border services into the UK;

is treated as having satisfied the establishment conditions or service conditions (as appropriate) under Schedule 3 to the Act. Regulations 4 to 7 of the EEA Passport Rights Regulations will apply to the establishment of the branch or the provision of cross border services.

(2)  Gibraltar insurance companies, credit institutions, insurance intermediaries and investment firms are allowed to passport their services into the United Kingdom if they comply with the relevant notification procedures. So, any references in this chapter to EEA State or EEA right include references to Gibraltar and the entitlement under the Gibraltar Order where appropriate.

(3)  [deleted]

Purpose

SUP 13A.1.4

01/02/2006

(1)  This chapter explains how an EEA firm and a Treaty firm can qualify for authorisation under Schedules 3 and 4 to the Act and how a UCITS qualifier is authorised under Schedule 5 to the Act.

(2)  This chapter also provides guidance on Schedule 3 to the Act for an incoming EEA firm that wishes to establish a branch in the United Kingdom instead of, or in addition to, providing cross border services into the United Kingdom or vice versa.

SUP 13A.1.5

01/04/2013

FCAPRA

(1)  EEA firms should note that this chapter only addresses the procedures which the appropriate UK regulator will follow under the Act. So, an EEA firm should consider this guidance in conjunction with the requirements with which it will have to comply in its Home State.

(2)  The guidance in this chapter represents the appropriate UK regulator's interpretation of the Single Market Directives, the auction regulation, the Act and the secondary legislation made under the Act. The guidance is not exhaustive and should not be seen as a substitute for a person consulting the legislation or taking legal advice.