T+1 Settlement: are firms ready for 2027?

Why T+1 matters and what we’ve been doing so farThe UK’s move to a T+1 securities settlement cycle on 11 October 2027 is a fundamental shift in how securities transactions are settled.To prepare, market participants will have to rapidly speed up their post-trade processes, including automating their operations as appropriate.We’ve found that some are more ready than others – and some have a lot to do to meet deadlines, and our expectations.Participants should view T+1 as an opportunity. It will make the UK market more efficient and reduce risk – ultimately freeing up funds for investment.Our work on the T+1 transition is helping support growth in the UK financial market. We’re testing how ready market participants are for the transition, and where implementation challenges and bottlenecks remain.This forms part of our approach for T+1 we set out last year, alongside an active communications strategy and market monitoring.We’ve been speaking to participants across the market, including:buy-side and sell-side firmsfinancial market infrastructuresthird-party service providerstrade associationsThis blog sets out our reflections from that engagement.