1. Mandatory CSSF Brexit notifications
As indicated in our Newsletter
- May 2019, two Brexit Laws1 were adopted in April
2019 in Luxembourg.
The Brexit Laws aim to address certain potential consequences of
a situation whereby the UK leaves the EU in an uncoordinated manner
on 31 October 2019, i.e. without concluding a withdrawal agreement
based on Article 50(2) of the Treaty on the EU ("Hard
Brexit").
These laws notably granted the CSSF the right to provide for a
transitional regime, which would apply to firms providing
management, investment and/or more general financial services in
Luxembourg.
Indeed, in the case of a Hard Brexit, these firms will become
"third-country entities" for the application of the EU
legislation and they will lose the benefits derived from
passporting rights provided for under the relevant EU Directives as
from the date of the Hard Brexit.
