Download Briefing Paper 27 Briefing Paper 27 – January 2019 Authors: Andy Tarrant, Peter Holmes and R. Daniel Kelemen Key points Introduction Equivalence in financial services Would equivalence as it currently exists benefit UK financial services? Mutual recognition within the EU The version of mutual recognition preferred by the UK What are the institutional differences between mutual recognition and equivalence with a third country? The different defaults under equivalence and mutual recognition Nature of the tests for establishing or withdrawing equivalence and withdrawing mutual recognition Nature of the decision-making body The difficulties for the EU in agreeing mutual recognition with the UK Political difficulty Potential legal difficulty Would equivalence with the revisions proposed by the UK in its subsequent White Paper resolve barriers to cross-border trading with the EU? Is there a precedent for the UK’s negotiating position in previous trade agreements? Don’t EU guidelines mean that UK financial services firms can establish themselves abroad, so what’s the issue? Conclusion Footnotes Key points The Withdrawal Agreement and Political Declaration do not fully determine the content of a market access agreement for financial services between the UK and the EU post-Brexit. The UK initially sought market access on a mutual recognition [...]