The UK’s FCA has today opened a consultation on the future of the Ancillary Activity Test under MIFID II, which is used to determine whether an entity may use the Ancillary Activity Exemption found in Article 2(1)j. This would apply to UK firms. The consultation can be found here and is open until 28th August. The new version will pass into legislation in 2026 and be applied from 2027.

The UK has run a temporary version of the AAT since Brexit (see here). There was to be a new version in 2025 but this was suspended (see here). The EU version of the test was modified in 2022 as part of the “Quick Fix” (see here).