Background

For an international investment bank, managing all regulatory banking relationships in relation to Brexit was a key challenge. The client was preparing for a potential no-deal hard Brexit, in which the client’s UK subsidiaries would lose access to EU clients and counterparties. A key objective was to enable the subsidiaries and branches in the EU, including obtaining the necessary regulatory approvals, providing suitable platforms and training employees. In addition, the transfer of the EU client business from London to continental Europe was a crucial aspect.

Our value contribution

Our service included advising the program management on the hard Brexit strategy with a focus on central program and stakeholder management, involving key bodies such as the Board of Directors and Executive Board. We advised on regulatory strategy and coordinated all regulatory interactions such as PRA, FCA, FINMA, BaFIN, ECB, ACPR and CNMV. We also led several workstreams in the areas of capital, risk models and corporate processes.

Our contribution included the implementation of a governance framework within and between the legal entities to synchronize internal and external communication in a highly complex multi-stakeholder environment. We ensured a coordinated and aligned approach across different jurisdictions and ensured the availability of S&P and Fitch ratings for two legal entities. We also supported the client on key success factors such as capital, ratings and communications to effectively manage the challenges of Brexit.