The EU could grant the UK so-called partial regulatory equivalence for some financial products once the separate memorandum of understanding on financial regulation is reached, according to a person familiar with the negotiations. The EU and Britain would retain their unilateral right to grant or retract those equivalence rulings. The two sides have been negotiating a memorandum of understanding (MoU) around regulatory cooperation on financial services since January. The latest draft now includes calls for both sides to keep each other informed about their taxation plans for the finance industry as well as efforts to combat money laundering and terrorist financing, according to a separate person familiar with the matter. While the MoU talks are on track, continuing disagreements around Northern Ireland is escalating post-Brexit tensions, which could impact equivalence decisions, another EU official said this week.

Source: Irish Independent March 20, 2021 02:34 UTC