A majority of our membership will be impacted by Brexit not only those working in the UK and Europe, but also non-UK members providing services to the UK and EU.
A majority of our membership will be impacted by Brexit - not only those working in the UK and Europe, but also non-UK members providing services to the UK and EU.
There is cause for optimism. An upturn in the economy will benefit many, and any downturn or job migrations to the single market may be initially mitigated by the need for decades of financial interdependence within Europe to be unpicked. We might see actuaries incentivised to learn new skills and develop new market opportunities.
Trade relationships will change: IFoA members' status as 'qualified actuaries' in EU markets may come under challenge, and the IFoA's relationship with the Actuarial Association of Europe (AAE) will need review. While passporting rights may be lost, the IFoA has been active in developing market opportunities outside the EU for some years, particularly in Africa and Asia; these may be bolstered by new trade deals.
Much UK financial regulation derives from EU legislation. In the short term, the Treasury and the Financial Conduct Authority have made clear all existing regulations will remain in place. Upon leaving, the UK will be able to take total regulatory control, though the extent of future EU alignment remains to be seen. A notable discussion point is Solvency II; the UK financial services industry has argued that the UK regulators' interpretation of the rules has been too strict, and the House of Commons Treasury Committee has called for a re-examination.
We must keep in mind that in leaving the EU we forgo our influence on future EU legislation - and such legislation will continue to impact the UK.
There is clearly uncertainty around Brexit, but the IFoA is striving to ensure a smooth and beneficial transition for the profession and its members.
Derek Cribb is the chief executive of the Institute and Faculty of Actuaries