Decree Law No. 147/2019
- Issuer: Presidency of the Council of Ministers
- Diploma Type: Decree Law
- Number: 147/2019
- Pages: 37 - 49
Summary in plain english
This decree-law approves measures to be applied in the event of the United Kingdom leaving the European Union without an agreement on financial services and social security matters.What is going to change?
1) Financial Services
- Transitional measures are adopted, which allow credit institutions, investment firms and management entities headquartered in the United Kingdom, which on the date of exit of the United Kingdom from the European Union are authorised to provide investment services and activities, to continue provisionally to do so in Portugal, with the necessary time to terminate existing contracts and associated investments;
- Contingency measures are approved for contracts relating to the receipt of deposits or other repayable funds and other credit operations, thus ensuring services to bank customers;
- Insurance contracts covering risks located in Portugal or somewhere Portugal is a Member State, which insurer is an insurance company headquartered in the United Kingdom and which were concluded pursuant to an authorisation to carry on insurance business in Portugal, shall remain in force.
2) Social Security
In order to protect citizens' expectations regarding their social security rights, for access to social benefits and pensions, it is envisaged to account for the periods during which they have paid into the UK social security system after the date of departure and until 31 December 2020.
It also provides that benefits regarding sickness, parenthood, invalidity, survivors, accidents at work and occupational diseases, death, unemployment, pre-retirement and family related who are in payment at the date of exit of the United Kingdom will continue to be in payment as long as the conditions for entitlement are met.What advantages does it bring?
This decree-law allows, in the scenario of the United Kingdom leaving the European Union without an agreement, to provide greater legal certainty as regards the validity of contracts concluded in the field of financial services and also to meet the legitimate expectations of citizens as regards their social security rights.When does it enter into force?
This decree-law shall take effect on the date on which the United Kingdom leaves the European Union without an agreement.
This decree-law will expire on 31 December 2020.