The Commission’s legislative proposal to delay the PRIIPs Regulation by 12 months
We would like to inform you that the European Commission has just publicly announced that its intention to delay the PRIIPs Regulation by one year, thus shifting the Regulation’s application date to 01 January 2018 (see the press release here and attached). EFAMA has already expressed its support for the delay, but cautioned that the revision of the RTS need to also tackle past performance and the transaction cost methodology (please see here).
While this announcement is not yet accompanied by a legislative proposal, this will be published in the coming days after a final review by the Commission’s lawyer linguists. Both Council and Parliament have shown themselves confident to pass this delay in time to be published in the EU Official Journal before 31 December 2016.
Furthermore, the Commission also announced that is working closely with the ESAs to resubmit the revised RTS. The content of the revisions is in line with Friday’s leaked document (see attached), namely targeted changes in on multi-option products, performance scenarios, comprehension alert and presentation of insurance related costs. The ESAs will now have six weeks to resubmit the revised RTS to the Commission. It will have to be endorsed by the Commission and then be subject to scrutiny by the European Parliament and the Council. The Commission expects that that the revised PRIIPs framework should be in place during the first half of 2017 and apply as of 1 January 2018.