(This note is not part of the Regulations)

These Regulations are made in exercise of the powers in section 8 of the European Union (Withdrawal) Act 2018 (c. 16) in order to address failures of retained EU law to operate effectively and other deficiencies (in particular, under paragraphs (d), (e) and (g) of section 8(2)) arising from the withdrawal of the United Kingdom from the European Union.

They amend section 409 of the Financial Services and Markets Act 2000 and the Financial Services and Markets Act 2000 (Gibraltar) Order 2001, which together make provision about the rights of Gibraltar-based firms to carry on business in the United Kingdom and about the requirements to be met in the United Kingdom by firms based in the United Kingdom that seek to carry on business in Gibraltar.

They also amend the EEA Passport Rights (Amendment, etc., and Transitional Provisions) (EU Exit) Regulations 2018 (S.I. 2018/1149), so as to exclude firms established in Gibraltar from certain provisions of those regulations.

Regulation 12 provides for Parts 2 and 3 of these Regulations to expire at the end of 2020, but gives HM Treasury power by regulations to keep them in force for successive periods of 12 months.

An impact assessment has not been produced for this instrument as no, or no significant, impact on the private or voluntary sector is foreseen.