1. The European Securities and Markets Authority (ESMA) is issuing this Public Statement in order to raise the awareness of all market participants on the importance to prepare for the possibility of no agreement in the context of the United Kingdom withdrawing from the European Union. As there is no assurance that a transition period will be agreed upon, entities need to consider the scenario where a hard Brexit would take place on 30 March 2019.

2. In particular, ESMA emphasises the importance of the timeline to submit requests for authorisation to the National Competent Authorities [National Competent Authorities as defined under Art. 4 of the ESMA Regulation] (NCAs) and ESMA for regulated entities [Entities regulated by reference to Article 1.2 of Regulation (EU) No 1095/2010 of the European Parliament and of the Council of 24 November 2010 including investment firms, asset managers, trading venues, credit rating agencies and trade repositories.] (entities) wishing to relocate in the context of the United Kingdom withdrawing from the European Union. On 30 March 2019, firms must have a fully authorised legal entity located in the EU27 to continue providing services in the EU27.

3. ESMA has seen an increase in the number of authorisation requests submitted to EU27 authorities. Against this background, ESMA urges entities wishing to relocate to the EU27 to submit their application for authorisation as soon as possible to allow it to be processed before 29 March 2019. Some NCAs have already been clear to entities that, unless an application is received in the month of June/July, there is no guarantee that authorisation will be achievable before 29 March 2019.