[author: Kevin Wong]

European Parliament’s Committee on Economic and Monetary Affairs (“ECON”) published a letter (dated January 9, 2018) on January 16, 2018. The letter was sent by the ECON Chair to the Chair of the Council of the EU’s Permanent Representatives on the legislative proposal to postpone the application date of the Insurance Distribution Directive ((EU) 2016/97) (“IDD“) to October 1, 2018.

The proposal was adopted by the European Commission on December 20, 2017. ECON had urged the Commission to adopt a legislative proposal “swiftly” in November, to enhance legal certainty on the applicable provisions and to allow for the necessary organizational and technical changes needed to comply with the provisions introduced by the Delegated Regulations Legal update. ECON urged the Commission to take into account European Parliament’s recommendation to postpone the IDD application date to October 1, 2018.

In its latest letter, ECON confirms its support for a “postponement of the date of transposition of [the IDD] by a few months, such as 1 July 2018”. ECON goes on to confirm its intention to “steer the adoption of [the proposed amending Directive] in an expedited manner while respecting [Parliament] Rules of Procedure, and in order to avoid trialogue procedures”. ECON explains that it does not intend to object to the adoption of the proposed Directive to speed up its entry into force, and states that it trusts the Council will do the same.