Lending, Credit and Finance (Designated Jurisdiction) Regulations, 2023

Summary

These Regulations designate the United Kingdom as an equivalent jurisdiction under section 10(3) of the Lending, Credit and Finance (Bailiwick of Guernsey) Law, 2022. The designation means the UK's consumer protection legislation is treated as at least equivalent to that required under the Bailiwick law, and that UK credit business affords adequate protection to customers and clients.

• Effect of designation: UK licensed lending and credit entities that give notice to the Guernsey Financial Services Commission may carry on credit business within the Bailiwick without needing a separate Commission licence.
• Basis for designation: The UK is designated because it has legislation protecting customers, clients and consumers at least equivalent to the Bailiwick Law, and because it affords adequate protection to customers and clients in relation to credit business.
• Commencement: The Regulations came into force on 31 January 2023, the same date they were made.

This is a narrow designation instrument rather than a set of ongoing compliance duties for Guernsey-licensed firms; its practical effect is to create a notification-based passporting route for UK credit providers wishing to operate in the Bailiwick.

Key obligations

• UK licensed lending and credit entities seeking to rely on this designation must give notice to the Guernsey Financial Services Commission before undertaking credit business within the Bailiwick without a separate licence.

Applies to

UK licensed lending and credit business entities, Guernsey Financial Services Commission, credit business operating within the Bailiwick of Guernsey

Deadlines

• 31st January, 2023: Regulations made and came into force on this date.

Related documents

• This document is made under Lending, Credit and Finance (Bailiwick of Guernsey) Law, 2022 (Consolidated)