UK and Europe T+1

It is massively important that settlement cycles are harmonised across international markets and the EU and the UK have both committed to migrating to a mandatory T+1 settlement regime, with trades settled one day after the transaction date, from 11 October 2027. The transition date was only set after a prolonged period of consultation between regulators, industry trade associations and market participants.

CDB was an active participant in these consultations from the earliest stages and has also committed to providing resources to support the transition by leading workstreams, contributing as subject matter experts and offering operational support to our clients as they make their own T+1 preparations.

Specific examples of best practise that our clients noted in the survey were for our efforts to:

better equip custodians in the servicing of their asset manager clients
facilitate complex collateral movements
provide deep technical understanding of the clients’ needs and being responsive to inquiries

CDB as a Financial Market Infrastructure (FMI) is integral to the ecosystem that facilitates the clearing and settlement of trades and will be at the heart of the migration to T+1.

It is important to recognise that many trades already settle on a T+1 basis.

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