Bank of England reassures finance companies on Brexit transition deal

LONDON, March 28 (Reuters) - The Bank of England said onWednesday finance companies operating in Britain will have moretime to meet a Brexit deadline, in a move aimed at avoiding apotentially disorderly shift of people and operations across thecontinent.

Britain and the European Union last week agreed a transitionperiod of 21 months that will follow Britain's departure fromthe bloc in March 2019 during which companies will haveunchanged access to the bloc's markets.

But many banks have said they will not be able to rely onsuch a political deal as it will not be formally ratified bygovernments until the autumn and any deal could collapse ifthere is domestic political upheaval in the months beforeBritain leaves.

Companies will be able "to plan that they will be able tocontinue undertaking these activities during the implementationperiod in much the same way as now," the BoE said in astatement.

"The Bank has made clear to relevant firms that they mayplan on the assumption that UK authorisation or recognition willonly be needed by the end of the implementation period," the BoEadded.

(Reporting By Andrew MacAskill and Alistair Smout; editing byStephen Addison)