One year to go for T+1 settlement: the regulatory framework is complete, now let's make it happen
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With one year to go before the EU moves to T+1 settlement on 11 October 2027, ESMA declares the regulatory framework complete and urges market participants to finalise technical preparations and start testing as soon as possible. The first milestone is 7 December 2026, when the new requirements on allocations and confirmations apply.
Key points
- Amended RTS on settlement discipline and revised guidelines on standardised procedures and messaging protocols are now published.
- From 7 December 2026: electronic standardised channels, international messaging standards and machine-readable formats.
- ESMA points to the recommendations of the EU T+1 Industry Committee.
Who is affected
Investment firms, their professional clients, central securities depositories, custodians and the whole trading and settlement chain.
Deadlines
7 December 2026 (allocations and confirmations); 11 October 2027 (switch to T+1).
Plain-language version
There is one year to go until T+1 in the EU, meaning that from 11 October 2027 trades on the stock market settle the next business day. ESMA, the EU's stock market watchdog, says the rules are complete and wants the industry to speed up preparations. From 7 December 2026, trade confirmations must be electronic and standardised.
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