Regulatory amendments to deal with Brexit

Updated

An important part of preparing for a no-deal withdrawal of the United Kingdom is implementing necessary regulatory amendments in both EU legislation and Swedish statutes.

The Swedish legislative amendments that have been adopted are listed below under each responsible ministry. As a result of the extension of the deadline for the Article 50 period until 31 October 2019 and thereafter until 31 January 2020, some of the adopted contingency measures are subject to technical adjustments, with the aim of postponing the final date. Updates are published regularly below. 

Ministry of Justice

Exemption from the residence and work permit requirements

The Government has adopted amendments to secondary legislation so that UK nationals who are in Sweden with right of residence under EU law are temporarily exempted from the requirements concerning residence and work permits. During this period, they can apply for a residence permit and at the same time live, study and work in Sweden. They will also be given access to social security, health and medical care, and education on similar terms as today. This exemption is intended to apply for one year.

Exemption until 31 March 2020:

Extension of exemption until 31 December 2020:

Special regulations on residence permits in the event of a no-deal Brexit

Proposals have been presented concerning provisions on residence permits for UK nationals and their family members currently living and working in Sweden under the rules on right of residence. The aim is to ensure that, even in the event of a no-deal Brexit, these individuals have the right to stay in Sweden in the long term under more or less the same terms as currently apply to them and other EU citizens. The memorandum is currently being circulated for comment.

Memorandum: Special regulations on residence permits in the event of a no-deal Brexit (in Swedish)

Measures to facilitate the introduction of special regulations on residence permits for affected UK nationals

Amendments have been made to the Aliens Act giving the Government authorisation to issue regulations concerning residence and work permits for UK nationals and their family members who want to continue living and working in Sweden after the UK withdraws from the EU. These measures allow the Government to introduce the special regulations on residence permits being prepared (see above). In addition, an adjustment was introduced concerning the provisions on the status of third-country nationals who are long-term residents, making it clear that UK nationals may include the time they have been legally residing in Sweden with a right of residence if they apply for long-term residence status.

Govt Bill 2018/19:119 Measures to make things easier for UK citizens in Sweden in the event of a no-deal Brexit (in Swedish)

Ministry of Health and Social Affairs

Amended legislation on social security benefits after Brexit

The Government proposes that Swedish citizens should continue to receive certain social security benefits paid to the UK in the event of a no-deal Brexit. Instead of the previously proposed final date of 31 December 2019, the right to social security benefits will apply for six months, calculated from the month the UK leaves the EU. The proposal was presented to the Riksdag on 15 October.

Measures to mitigate the consequences to social security schemes in the event of a no-deal Brexit

The Government wishes to mitigate the consequences for Swedish citizens in the United Kingdom in the event that the country leaves the EU without reaching any agreement whatsoever on how this withdrawal is to take place. In the bill, the Government presents proposals whereby, in the event of a hard Brexit, it will still be possible to pay Swedish social security benefits to individuals in the United Kingdom during a transitional period. It is also proposed that it will still be possible to receive compensation for healthcare expenses during the same period. The Government’s proposals have been adopted by the Riksdag.

Recognition of UK professional qualifications in health and medical care in event of a no-deal Brexit

The Government has adopted amendments to the Patient Safety Ordinance to allow the completion of pending applications for recognition of professional qualifications in the health and medical care sector.

Ministry of Education and Research

Exemption from the provisions on application and tuition fees at higher education institutions for certain UK nationals in the event of a no-deal Brexit

The Government has adopted amendments to secondary legislation for UK nationals studying at higher education institutions in Sweden. The amendments mean that for a limited period, some UK nationals will be exempted from the provisions on application and tuition fees at higher education institutions. 

The continued right of UK nationals not registered in the population register to attend Swedish schools in the event of a no-deal Brexit

The Government has adopted amendments to secondary legislation allowing British children who attend Swedish schools but are not registered as resident in Sweden to continue to have the right to education under EU law during a transitional period of no more than 14 months.  

Ministry of Infrastructure

Temporary exemptions in the Driving Licence Ordinance concerning the validity of UK driving licences in Sweden

To avoid UK driving licences becoming invalid from one day to the next, the Government has introduced a one-year exemption in the Driving Licences Act.

Vehicle type approval procedures

The Government has introduced an amendment to the Vehicle Ordinance allowing the appointment of more actors for tests and inspections in vehicle type approval procedures.

Referral of the Proposal to amend the Vehicle Ordinance (2009:211) (in Swedish)

Ministry of Finance

Possibility for companies in the UK to temporarily provide investment services without the need for a licence in the event of a no-deal Brexit

Measures have been taken that will allow investment firms domiciled in the UK to continue providing services to professional clients during a transitional period following the UK’s withdrawal from the EU. The aim is to eliminate the risk – in the event of a no-deal withdrawal – of interrupted access to the financial services that are needed to handle derivative contracts entered into by Swedish businesses with a counterpart in the UK. 

Continued access to international settlement systems – adaptations to implementation of the Settlement Finality Directive resulting from Brexit 

In order to adapt Sweden’s implementation of the Settlement Finality Directive to Brexit, amendments have been introduced to the Act on Systems for Settlement of Obligations on the Financial Market and the Resolution Act.
The amendments mean that foreign settlement systems under which the law in a country outside the European Economic Area (EEA) are to be applied and which therefore are not covered by the EU Directive on settlement finality in payment and securities settlement systems (Settlement Finality Directive) may be considered equivalent to systems that are covered by the Directive. The same protection against legal risks is to be afforded to settlement arrangements in equivalent systems as is afforded settlements in systems covered by the Settlement Finality Directive.