The UK is preparing to switch to T+1 calculations

The UK plans to switch to the T+1 settlement mode on the stock market in 2027. Andrew Douglas, who heads the working group on this transition under the British government, noted that the changes could take effect on October 11, 2027. However, he stressed the importance of early preparation for these changes, so as not to delay implementation until the last moment. According to him, studying the US experience can help minimize the difficulties they face.

A similar initiative has been proposed in the European Union. The European Securities and Markets Authority also recommended switching to T+1 calculations on the same day, October 11, 2027.

At the moment, in the UK and EU countries, most securities transactions are carried out under the T+2 regime, which involves a two-day settlement cycle. For comparison, American exchanges have already implemented the T+1 mode. This process ended on May 28, 2024, making the United States one of the first major markets to adopt the new standard.

The transition to the T+1 mode assumes that transactions will be completed the next day after their conclusion. This will allow investors to purchase shares for dividends one day before the closing date of the registry.