The amendments update Class Order [CO 03/1099] to cater for reforms to the UK financial services regulatory system that took effect in 2012. The reforms created a new UK prudential regulator known as the Prudential Regulation Authority (PRA). Deposit-takers (such as banks), insurers and major investment firms, known as dual-regulated bodies, are now regulated by both the PRA and the UK Financial Conduct Authority (FCA).

Dual-regulated bodies that are currently relying on the passport exemption will need to lodge new or amended documents with ASIC before 31 March 2014 in order to continue to be eligible to rely on the exemption.

The form of the written client disclosure required under the passport exemption has changed for all financial service providers relying on the exemption, including non-dual-regulated bodies. All providers should update their client disclosure and check whether new disclosures should be issued to existing clients.