The Financial Conduct Authority (FCA) has increased the urgency with which it is preparing for the UK to exit the European Union, chief executive Andrew Bailey said today.
Former Bank of England deputy Bailey said the city watchdog is working with European regulatory partners to plan for a range of scenarios as the March 2019 deadline draws closer.
Speaking at City and Financial's culture and conduct forum this morning he said: "We all hope and expect that there will be an orderly transition. The spirit among the regulators is that we are working together cooperatively, we can't let Brexit cause a breakdown in relations.
"What we can do is put in place the underpinning plans...so we are ready to go. As we get nearer, the sense of urgency has risen, as you would expect."
He added that the financial services industry should "certainly prepare" for Brexit.
Bailey has long supported the view that British and European regulators can negotiate an agreement on a framework for financial services cooperation.
British firms are currently part of the EU’s Single Market, allowing them to serve customers in other countries without being regulated again using the so-called passport.
However, this will end after Brexit, potentially preventing cross-border financial trade if no agreement is reached.
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