Significant changes proposed for EMIR reporting

The European Commission has published its legislative proposals to amend European Market Infrastructure Regulation (EMIR).

If implemented, they will result in significant changes to the current reporting obligations.

Here is a quick rundown of the key changes being proposed:

• Good news if you have not reported your historic trades – they are no longer needed
• ETD reporting is going single sided, with the central counterparties (CCPs) picking up the burden.  The question remains for non-EU CCPs though.
• Similarly, small non-financial counterparties (NFCs) will be able to rely upon financial counterparties (FCs) to take up the reporting burden.
• Finally, trade repositories are going to be asked to ensure the quality of the data.

The proposals follow on from a public consultation on EMIR and the Call for Evidence on financial regulation.  They also form part of the 2016 Commission’s Regulatory Fitness and Performance programme (REFIT).

Yesterday the Commission also said it intended to present further proposed changes to EMIR on derivatives clearing as its scale and importance grows.

We’ll be writing a more in-depth analysis of the proposals in the coming weeks.

More information can be found on the European Commission’s EMIR webpage.