Interdealer broker TP ICAP plc has announced the launch of a French subsidiary in readiness for the new trade restrictions after Brexit.

However, the company said it’s facing some slight delays in the migration of staff to its Paris subsidiary. According to the firm, it’s because of the current travel restriction caused by the COVID-19 pandemic.

This month TP ICAP pointed out that regulators have given it the green light to continue offering its services to EU customers from London as it finalizes set up in France.

TP ICAP finalizing subsidiary in Paris

The EU declined to grant direct access to financial firms in Britain to set up in EU countries after Brexit. As a result, companies that wish to serve their clients in EU countries would need to do it via subsidiaries, since Britain is no longer part of them.

TP ICAP revealed that the French regulators insisted that British companies wishing to operate in France must be sufficiently staffed with a full unit in the bloc.

However, the company stated that it wants to comply with the directive and rule, but may have to hold on for a while due to the restrictions.

But, the firm noted that at the earliest opportunity, it hopes to complete the migration of staff to the EU 27.

TP ICAP to offer services in EU

TP ICAP also said it will be offering some service in the EU where it’s permissible, and based on existing access rights.

The broker reiterated that it doesn’t expect to have any financial slump as a result of its temporary service reduction on EU clients.

Ever since Britain decided to leave the EU in 2016, companies and trading organizations have been working out modalities that will not have too much negative impact on their businesses in the EU.

Four days after the Brexit final phase conclusion on January 1, 2021, trading worth about 6 billion euros exchanged hands in euro-denominated shares. Most of the shares moved to newly established entities in the EU from their main platforms in London. It’s expected that more funds will move when EU governments start relaxing travel restrictions.