Joint Statement on the U.S. - UK Financial Innovation Partnership meeting
7th August 2020
U.S. and UK participants in the U.S.-UK Financial Innovation Partnership (FIP) met virtually on 5 August, 2020, to exchange views on topics of mutual interest as part of their ongoing partnership.
The Regulatory and Commercial Pillars of the FIP met jointly to discuss deepening U.S.-UK ties in financial innovation. The U.S. participants included officials from the U.S. Department of the Treasury and the U.S. Department of Commerce. Participants from the UK included representatives of Her Majesty's Treasury (HMT) and the UK Department for International Trade.
In addition, the U.S. Department of the Treasury and HMT co-chaired a discussion of the Regulatory Pillar of the FIP, engaging on topics including digital payments, operational resilience, cross-border testing of innovative financial services, and regulatory and supervisory technology. U.S. participants included staff from independent regulatory agencies, including: the Board of Governors of the Federal Reserve System, Federal Reserve Bank of New York, Commodity Futures Trading Commission, Federal Deposit Insurance Corporation, Securities and Exchange Commission, and Office of the Comptroller of the Currency. UK participants included representatives of HMT, the Bank of England, and the Financial Conduct Authority. Participants intend to continue to engage on these topics, as well as other topics of mutual interest, in support of the U.S.-UK Financial Regulatory Working Group meeting later this year.
The Commercial Pillar, led by the U.S. Department of Commerce and the UK Department for International Trade, engaged in discussions on bilateral market access issues, connections between financial technology firms and financial institutions, and the forthcoming U.S. financial services trade mission to the UK in June 2021.
Participants acknowledged the importance of the ongoing partnership in monitoring and analysing trends in global financial innovation, as well as being an integral component of the U.S.-UK financial services cooperation. The FIP was inaugurated last year at the Financial Regulatory Working Group as a means of boosting U.S.-UK engagement in financial innovation issues. The inaugural FIP statement can be seen below -
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29 May 2019
The Financial Innovation Partnership
United States and United Kingdom establish the Financial Innovation Partnership to further collaboration between US Department of the Treasury and HM Treasury
Collaboration between the United States and the United Kingdom on financial services was boosted today by the establishment of a Financial Innovation Partnership.
The Partnership between the U.S. Department of the Treasury and the UK's HM Treasury will build on and deepen bilateral engagement on emerging trends in financial services innovation. This will include encouraging collaboration in the private sector, sharing information and expertise about regulatory practices, and promoting growth and innovation.
Heath Tarbert, Acting Under Secretary for International Affairs at the U.S. Department of the Treasury, said:
Technology is the future of financial services, and innovation drives growth. By jointly fostering entrepreneurial breakthroughs, we will write a new chapter in the longstanding friendship between America and Britain.
John Glen, Economic Secretary to HM Treasury said:The United Kingdom and United States lead the world in financial services, and are at the cutting edge of innovative FinTech. By working more closely together through this new partnership we can help firms in both our countries to go even further to harness new technologies, share expertise and serve consumers.
Gilbert B. Kaplan, Under Secretary for International Trade at the U.S. Department of Commerce, said:The International Trade Administration is looking forward to participating in this innovative new partnership with the UK that will help drive bilateral financial services collaboration and expand opportunities for firms from both countries at the intersection of financial services, technology and international commerce.
Graham Stuart MP, Minister for Investment, said:The United States is the United Kingdom's largest bilateral trading partner, so it is brilliant to see this commitment to increase commercial and regulatory cooperation between our leading financial services sectors. Today’s announcement is another positive step toward deepening the already extensive economic ties between the United Kingdom and United States.
The Financial Innovation Partnership (FIP) will focus on two main areas:
Regulatory Engagement: Dialogue between authorities and with the private sector is critical to identify and address potential regulatory synergies, share lessons, and develop closer working relationships. The United States and United Kingdom will build on existing regulatory cooperation by discussing regulatory developments and sharing experiences on technical issues related to innovation in financial services.
Commercial Engagement: The FIP also seeks to promote a dynamic private sector that supports entrepreneurs and new business models - a necessary driver of financial innovation. It will provide enhanced and regular opportunities for the private sector in one country to engage with industry associations, and market participants in the other country. Through the FIP, the UK Department of International Trade (DIT) will bring UK firms to the United States and the U.S. Commerce Department will coordinate trade promotion missions to the United Kingdom.
The Partnership was announced at the U.S.-UK Financial Regulatory Working Group, which was established to facilitate even closer collaboration on financial services issues between U.S. and UK Treasuries, and U.S. and UK financial regulators.
