UK: Business Brexit Preparations Cannot Wait for Final Deal (Pinsent Masons Insurance Briefing: 5 September 2018)

Last Updated: 5 September 2018
Article by Colin Read, Nicholas Bradley and Alexis Roberts

Insurance briefing is a round-up of legal and business developments published on

The main topics we're focusing on this week are:

Business Brexit preparations cannot wait for final deal

Businesses cannot wait for clarity over the terms of the UK's final deal with the EU before taking steps to prepare for Brexit, an expert has warned. Clare Francis of Pinsent Masons, was commenting on reports that a full session of the European parliament will not vote on whether to approve the final exit agreement until a session on 11-14 March 2019, just two weeks before the UK is due to leave the EU. "Businesses intent on waiting for clarity on the detail of the Brexit deal before taking steps to prepare for Brexit need to consider whether the negotiating timetable permits this strategy. We are encouraging all businesses that haven't already done so to draw up plans for a range of plausible Brexit outcomes immediately so that they can take steps to manage risk. Businesses that don't take these steps risk quickly being overtaken by events and losing their competitive advantage," she said.

UK government details implications of 'no deal' Brexit

The UK government has started to outline the impact that a 'no deal' Brexit could have on businesses and consumers. It has published 25 technical notices spanning a broad range of issues and sectors, including financial services, the regulation of medicines and medical devices, importing and exporting, farming and VAT, that highlight the practical effects that could result from the UK exiting the EU on 29 March 2019 without having reached an agreement on the terms of its withdrawal with the remaining 27 EU member states. Further 'no deal' technical notices are expected to be issued over the coming weeks. Guy Lougher, an EU and Brexit specialist at Pinsent Masons, said: "The government's publication of the 25 notices is a wake-up call for those businesses that have not yet done any structured scenario planning in order to understand the potential implications for them of a 'no deal' outcome. It is clear that in many respects a no deal outcome will likely have significant consequences, and necessitate trading differently. For example, the notice on 'trading with the EU if there's no Brexit deal' outlines some of the practical ways in which businesses will need to trade differently with the EU post-Brexit. Businesses need to engage now with the subject matter of the notices, and organise scenario planning sessions if they have not already done so, given the risk and implications of a no deal outcome," he said.

Insurance brokers call for post-Brexit equivalence regime

UK insurance brokers are questioning the application of 'enhanced equivalence' proposals in the UK government's Brexit documents for financial services and are seeking the introduction of a new 'equivalence' regime, similar to that available to investment managers, to allow them continued access to the EU market after Brexit. According to the London and International Insurance Brokers' Association (LIIBA) in a letter to the prime minister, the proposals for an 'enhanced equivalence' regime for UK financial firms, based on that already available to non-EU countries, will not work for intermediaries. As there is no such equivalence framework in either the EU's Insurance Mediation Directive or its replacement, the Insurance Distribution Directive (IDD), which comes into force on 1 October 2018, there is no existing regime to be enhanced.

GDPR prompts UK data protection complaints to double

The number of data protection complaints received by the UK's data protection watchdog has doubled since the General Data Protection Regulation (GDPR) took effect. The Information Commissioner's Office (ICO) said that it received 4,214 data protection complaints in July, up from 3,098 in June, 2,310 in May and 2,165 in April, according to media reports. The GDPR took effect on 25 May this year. The ICO has also seen an increase in the number of personal data breaches reported to it since the new EU data protection laws began to apply. A spokesperson for the ICO said: "It is early days and we will collate, analyse and publish official statistics in due course. But generally, as anticipated, we have seen a rise in personal data breach reports from organisations. Complaints relating to data protection issues are also up and, as more people become aware of their individual rights, we are expecting the number of complaints to the ICO to increase too."

FCA focused on anti money laundering in fight against financial crime

ANALYSIS: Recent sanctions imposed by the Financial Conduct Authority (FCA) on Canara Bank show the regulator's increasing focus on anti money laundering (AML) systems and controls.
The UK branch of the Indian bank was fined £896,100 by the FCA in June 2018 for breaching Principle 3 (taking reasonable steps to organise its affairs responsibly and effectively, with adequate risk management systems) of the FCA's Principles for Businesses. It was also banned from accepting deposits from new customers for 147 days. The bank failed to maintain adequate AML systems and failed to take sufficient steps to remedy weaknesses in its AML systems and controls once notified by the FCA. The Canara Bank sanctions are the latest in a series of AML system findings and penalties imposed by the FCA on financial services firms over the last five years. They follow findings against Deutsche Bank (fined over £163 million in 2017); Sonali Bank (fined over £3.25m and banned from acquiring new customers for 168 days in 2016); Bank of Beirut (fined £2.1m and banned from acquiring new customers from high-risk jurisdictions for 126 days in 2015); and Standard Bank UK (fined over £7.64m in 2014). The FCA has been focusing on combatting money laundering, and specifically on ensuring that firms have adequate AML controls and systems in place which are implemented. In its 2017-18 business plan, the regulator said that it would generally use its civil powers in these cases, but may use its criminal powers to prosecute firms or individuals "if failings are particularly serious or repeated".

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

In association with
Related Topics
Related Articles
Related Video
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Registration (you must scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of

To Use you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.


The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.


Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions