RegSol Blog


CP135 – Consultation on Competent Authority Discretions in the Investment Firms Directive and the Investment Firms Regulation

January 2021

The consultation paper outlines the proposed approach the Central Bank of Ireland will take regarding provisions contained within the Investment Firms Directive (IFD) and the Investment Firms Regulation, in situations where the competent authority can or must exercise its discretion. This will apply to MiFID investment firms following the entry into force of the IFD/ IFR. The IFD and IFR were adopted by the Council of the EU on 23 October 2019 and were published in the Official Journal of the European Union on 5 December 2019 and entered into force on 25 December 2019. The IFD and the IFR are applicable from 26 June 2021.

As outlined in the consultation the aims of the new legislation are to:

  • ensure more proportionate rules and better supervision for all investment firms across capital, liquidity and other risk management requirements.
  • ensure a level-playing field between large and systemic financial institutions: investment firms that carry out bank-like activities and pose similar risks to credit institutions will be subject to the same rules and supervision as credit institutions.

Deadline for submissions is March 2021. For more information including a link to the full consultation paper see:

CP135 - Consultation on Competent Authority Discretions in the Investment Firms Directive and the Investment Firms Regulation




By: Eilish Larkin