Retained EU Law SI 2018/1229 United Kingdom

Commission Delegated Regulation (EU) 2018/1229 of 25 May 2018 supplementing Regulation (EU) No 909/2014 of the European Parliament and of the Council with regard to regulatory technical standards on settlement discipline (Text with EEA relevance)

Read it on legislation.gov.uk (opens in a new tab)
Status
In Force
Penalty ceiling
Regulated

Does it bind you?

Business-side roles with duties under this instrument.

Financial Services Firm22 Trader1 Any Person1

Plus 5 duties on the regulator, Crown ministers and public bodies — folded into the section list below.

Other Acts binding the same actors

If a role above is yours, these are the other instruments that most often bind it.

Financial Services Firm — also bound by 167 other Acts
Trader — also bound by 825 other Acts
Companies Act 2006 243 duties
Companies Act 1985 85 duties
Any Person — also bound by 2340 other Acts

What it requires

Regulations creating concrete business duties or carrying penalties, grouped as the instrument is structured. Titles link to the source text — blue means you’re leaving for legislation.gov.uk.

s.art002 Measures concerning professional clients Regulated
  • Ensure professional clients provide settlement information and confirm transactionsFinancial Services Firm
s.art003 Measures concerning retail clients Regulated
  • Your retail clients must send settlement info by midday on the next business dayFinancial Services Firm
s.art004 Settlement facilitation and processing Regulated
  • Process settlement instructions automatically and notify manual interventionsFinancial Services Firm
s.art005 Matching and population of settlement instructions Regulated
Other duties (1) — Crown / regulator
  • Central Securities Depositories must provide real-time matching and enforce instruction matchingStatutory regulator
s.art006 Tolerance levels Regulated
  • Set tolerance levels for settlement amountsFinancial Services Firm
s.art007 Cancellation facility Regulated
  • Set up a bilateral cancellation facility for matched settlement instructionsFinancial Services Firm
s.art008 Hold and release mechanism Regulated
Other duties (1) — Crown / regulator
  • CSDs must set up a hold and release mechanism for settlement instructionsStatutory regulator
s.art009 Recycling Regulated
  • Recycle failed settlement instructions until settled or cancelledFinancial Services Firm
s.art010 Partial settlement Regulated
Other duties (1) — Crown / regulator
  • Allow partial settlement of instructionsStatutory regulator
s.art011 Additional facilities and information Regulated
  • Offer real-time settlement status and counterparty notificationsFinancial Services Firm
s.art012 Derogation from certain measures to prevent settlement fails Regulated
  • CSDs must assess settlement fails thresholds annually and notify regulatorFinancial Services Firm
s.art013 Details of the system monitoring settlement fails Regulated
  • CSDs must monitor settlement fails and cooperate with major participantsFinancial Services Firm
s.art014 Reporting settlement fails Regulated
  • Report settlement fails to the competent authorityFinancial Services Firm
s.art015 Public disclosure on settlement fails Regulated
  • Publish annual settlement fail data on your websiteFinancial Services Firm
s.art016 Calculation and application of cash penalties Regulated
Other duties (1) — Crown / regulator
  • CSDs must calculate and apply cash penalties for settlement fails dailyStatutory regulator
s.art017 Collection and distribution of cash penalties Regulated
  • CSDs must collect and distribute cash penalties for settlement fails monthlyFinancial Services Firm
s.art018 Costs of the penalty mechanism Regulated
  • Disclose penalty mechanism costs and charge participants separatelyFinancial Services Firm
s.art019 Penalty mechanism where the participant is a CCP Regulated
Other duties (1) — Crown / regulator
  • CSDs must manage cash penalty mechanism for CCP settlement failsStatutory regulator
s.art023 Application of partial settlement Regulated
  • Partially settle securities instructions when partial delivery is possible on the last day of the extension periodFinancial Services Firm
s.art025 Contractual arrangements and procedures Regulated
  • Establish contractual arrangements and procedures for buy-in processFinancial Services Firm
s.art026 Initial verification Regulated
  • Verify buy-in feasibility after extension period and act accordinglyFinancial Services Firm
s.art027 Buy-in procedure and notifications Regulated
  • CCPs must run buy-in auctions or appoint buy-in agents after settlement failsFinancial Services Firm
s.art028 Initial verification Regulated
  • Check if buy-in is possible after a settlement fail and act accordinglyFinancial Services Firm
s.art029 Buy-in procedure and notifications Regulated
  • Follow the buy-in process when a trade fails to settleFinancial Services Firm
s.art031 Buy-in procedure and notifications Regulated
  • Appoint a buy-in agent and notify the failing party after a settlement failTrader
s.art033 Payment of the cash compensation Regulated
  • Failing trading venue members must pay cash compensation for settlement failsFinancial Services Firm
s.art035 Payment of the price difference Regulated
  • Pay price difference if buy-in price exceeds trade priceFinancial Services Firm
s.art038 Duration of deferral of the execution of a buy-in Regulated
  • Follow Article 37 timeframes when deferring a buy-in executionFinancial Services Firm
s.art041 Settlement information in the absence of direct transaction feed from the trading venue Regulated
  • Identify trading venue and transactions in settlement instructions when no direct feedAny Person
17 other provisions — procedural and definitional
uri:annex/ii uri:annex/ii
uri:annex/iii uri:annex/iii
s.annex iii para.1 Table 1 No. Details to be published Format 1. Reporting...
s.annex ii para.1 Table 1 No Details to be reported Format 1. Country...
s.art001 Definitions
s.art020 CSDs that use a common settlement infrastructure
s.art021 Buy-in not possible
s.art022 Ineffective buy-in process
s.art024 Buy-in agent
s.art030 Initial verification
s.art032 Calculation of the cash compensation
s.art034 Payment of the costs of the buy-in
s.art036 Extension periods
s.art037 Timeframes for the delivery of financial instruments
s.art039 Consistent and systematic failure to deliver securities
s.art040 Settlement information for CCPs and trading venues
s.art042 Entry into force

Duty extraction and severity labels are Guvnor’s analysis of the instrument, not the instrument itself. Always verify against the linked source text.