(Alliance News) - TP ICAP PLC on Monday confirmed its commitment to relocating staff to France as part of its Brexit readiness plan.
The interdealer broker, however, noted the Covid-19 pandemic - particularly the stay-at-home orders and travel restrictions - has meant it has not yet been possible to complete the relocation of staff or the hire of local brokers in the EU-based offices as quickly as originally planned.
"Following the loss of the EU passporting rights, TP ICAP's UK-based authorised subsidiaries no longer have the full scope of necessary regulatory permissions to service all clients based in the EU 27. TP ICAP's UK-based authorised subsidiaries continue to service clients based in certain EU 27 member states where possible under available temporary permission regimes, existing third country access rights, or as otherwise permitted by applicable laws and regulations," the company said.
TP ICAP has established a new authorised subsidiary in France, TP ICAP Europe SA.
It continued: "TP ICAP believes that the successful implementation of its Brexit readiness plan will ensure a robust and sustainable future operating platform for servicing EU 27-based clients, notwithstanding the fact that the regimes for the cross border provision of financial services from the UK to the EU 27 may evolve further during 2021."
TP ICAP does not expect "any material impact" on its global broking business or its financial results as a result of the delayed staff moving.
Shares in TP ICAP were trading up 0.4% in morning trade in London on Monday at 218.60 pence each.
By Paul McGowan; paulmcgowan@alliancenews.com
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TP ICAP (TCAP)