Revocation of retained EU law Transitional amendments Amendments to the EU Securitisation Regulation 2017 Equivalence framework for STS securitisations
Article 46 of the UK Securitisation Regulation placed an obligation on HM Treasury to review the functioning of the Regulation. As part of that review, HM Treasury was required to assess whether, in the area of STS securitisations, an equivalence regime could be introduced for overseas originators, sponsors and SSPEs. Industry respondents to HM Treasury’s call for evidence , as part of the review process, were supportive of the creation of such a regime to provide more choice for UK investors.
	As a result, the Act aims to increase choice for UK investors in the market for STS securitisations, by allowing for STS equivalent non-UK securitisations to be recognised in the UK, with appropriate safeguards, provided they are originated in a jurisdiction that has an equivalent framework for STS securitisations to the UK. Therefore, the Act creates a framework under which HM Treasury can designate other jurisdictions as having an STS securitisation framework equivalent to that of the UK.