The Treasury has confirmed the RDR will not impact upon the ability of firms based in Europe to advise clients in the UK, although it insists the use of passporting to evade regulation will not be permitted.
In a written question, Liberal Democrat peer Lord Dykes asked the government what discussions it had had with the European Commission on adviser firms registered in other European countries transferring into the UK and providing financial advice without having to comply fully with the requirements of RDR. Lord Sassoon, commercial secretary to the Treasury, replied: "The European Union's passporting criteria, which govern the ability of firms to offer services outside their home member states, are not affected by the RDR. "Where a firm passports into the UK, it will be subject to the r...
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