PART 2PASSPORTING

Exercise of rights to establish a branch by EEA firms3

1

Paragraph 13 of Schedule 3 to the Act (establishment conditions for EEA firms) is amended as follows.

2

At the beginning of sub-paragraph (1), insert “If the firm falls within paragraph 5(a), (b), (c) or (d),”.

3

After sub-paragraph (1), insert—

1A

If the firm falls within paragraph 5(e), the establishment conditions are that—

a

the firm has given its home state regulator notice of its intention to establish a branch in the United Kingdom;

b

the Authority has received notice (“a regulator’s notice”) from the firm’s home state regulator that the firm intends to establish a branch in the United Kingdom;

c

the firm’s home state regulator has informed the firm that the regulator’s notice has been sent to the Authority; and

d

one month has elapsed beginning with the date on which the firm’s home state regulator informed the firm that the regulator’s notice has been sent to the Authority.

4

In sub-paragraph (4), in the definition of “permitted activity”, after “consent notice”, insert “or regulator’s notice, as the case may be”.