Consumer Credit Brexit Regulations published: No More SECCI
On 17 July HM Treasury published the Consumer Credit (Amendment) (EU Exit) Regulations 2018. These draft Regulations will come into force on the date that the UK withdraws from the EU.
The most notable feature is the abolition of the names “SECCI” (the Standard European Consumer Credit Information) and, for overdrafts, “ECCI” (the European Consumer Credit Information) to describe pre-contract information that must be disclosed to prospective borrowers. The Consumer Credit (Disclosure of Information) Regulations 2010 will be amended so that references to these names are deleted. The documents shall simply be known as the Pre-Contract Credit Information and the Pre-Contract Consumer Credit Information (Overdrafts). However, there is no substantive change to the contents of the documents.
The other principal amendment is to the Financial Services Act 2012 (Consumer Credit) Order 2013. The reference to powers of intervention against incoming passporting EEA firms will be deleted, as the EEA financial services passport will be unworkable without a negotiated agreement with the EU.
Otherwise, the draft Regulations make minor, technical amendments to the CCA to facilitate the operation of retained EU law. Obligations not to make certain disclosure where prohibited by an “EU obligation” shall be rephrased to refer to a “retained EU obligation” (CCA ss 98A(5)(a) and 157(2A)(b)).
Draft Regulations available here.