The Financial Services Act 2021

On 29 April 2021, the Financial Services Act 2021 (the Act) received Royal Assent. It is seen as the UK’s first step in control of the financial services regulatory framework post-Brexit and ensuring that the UK remains an “open and dynamic financial centre” while delivering on the Government’s vision for a more open, technologically advanced and greener industry.

While the majority of the Act does seek to shape the regulatory framework for UK financial services outside of the EU, the legislation contains a broad range of measures unconnected to Brexit which will affect firms across the sector. In this bulletin, we consider both the Brexit -related developments and those miscellaneous areas that the Government has sought to address.