The European Commission has extended its equivalence determination for U.K. central counterparties under the European Market Infrastructure Regulation until June 30, 2028. The relevant Commission Implementing Decision has been published in the Official Journal of the European Union. In terms of next steps, the formal process of extending any temporary recognition and tiering decisions for U.K. CCPs will need to be completed. The decision is welcome as it provides clarity and preserves financial stability and access to liquidity for EU market participants.
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