Financial supervision revealed that 96 six UK companies had applied for the TP scheme, of which seven were deemed inadmissible on the basis of eligibility criteria, and one was withdrawn.
The Cypriot Securities and Exchange Commission has established a Temporary Authorization Scheme (“TPR”) for UK companies when providing investment services.
The TPR scheme does not require UK-based financial services firms to be physically present in Cyprus when dealing with professional clients and eligible counterparties based in the country.
The scheme is designed to facilitate the transition of jurisdiction due to Brexit, as UK businesses will lose the EU passport.
CySEC received a significant number of notifications, several of which were submitted after December 31, 2020, which led the regulator to extend the deadline until February 28, 2021.
Now, the financial watchdog has revealed that 96 six UK companies have applied for the TP scheme, of which seven have been ruled ineligible on the basis of eligibility criteria, and one has been withdrawn.
The remaining 88 UK companies will be granted temporary authorization to provide investment services to professional clients and eligible counterparties, based in Cyprus until December 31, 2021.
In conjunction with the Temporary Authorization Scheme (TPR), CySEC has also launched the Brexit Information Center, intended to make it easier to navigate Brexit-related information and to make it easier for interested parties to comply with legal obligations after the period. transition from the UK’s withdrawal from the EU.
The hub contains questions and answers by regulated sector, including questions related to the Trade and Cooperation Agreement, as well as announcements issued by CySEC and circulars addressed to companies regulated by CySEC. The aforementioned TPR is also covered in the Brexit Info Center Q&A.
The launch of the Brexit Information Hub aims to offer advice to firms wishing to continue working in Cyprus and to enable UK companies which are currently reviewing their post-Brexit agreements to gain a better understanding of the regulatory environment in Cyprus and in the EU in general.