No guarantees on private UK pensions and insurances after Brexit
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Waldis Dombrovskis, the European commission Vice-President, has told Maltese MEP Alfred Sant that he would be hesitant to give him guarantees that – “irrespective of the outcome of Brexit negotiations – all EU citizens who hold private insurance and pension contracts in force with UK firms their contractual arrangements will continue to be legally safeguarded and will remain in full enjoyment of entitlements for which they have paid and are still paying.”
He pointed out that negotiations are ongoing, there are still questions and supervisors and regulators are currently assessing the continuity of contracts.
“We are certainly working to minimise disruption but we know that in terms of negotiations, they are not finished yet and there are still questions open.”
Dr Sant told Mr Dombrovskis that the continuity of contracts has emerged as “a major Brexit issue because existing agreements are structured to rely on firms’ authorisations to do business across the EU Member States.”
Once the UK leaves, those permissions will likely fall away, leaving firms unable to service cross-border contracts, said the MEP.
The Maltese MEP intervened during an exchange of views with EC Vice-President during a meeting of the European Parliament’s Committee on Economic and Monetary Affairs (ECON).