ECB: UK-based banks to apply as soon as possible for licences - Reuters

Cross-border banks in London looking to shift operations to the euro zone after Britain leaves the European Union should allow at least six months for a new licence, the European Central Bank said on Tuesday, according to report by Reuters.

Key highlights (via Reuters):

• Will take at least six months for new licence for banks shifting operations from London to Euro zone
• If a bank asks for extension of existing licence this period may be shorter
• In any case a decision by authorities must be taken within 12 months
• Requirements for a well-functioning bank must be in place before an institution takes up any banking activities in the euro area
• Supervisors expect banks to have sufficient capabilities in place to manage all material risk locally