News 11/12/25

Shortened settlement period requires swift action

The European financial markets are facing a major change: the settlement period of transactions in listed securities will be shortened from two days (T+2) to one working day after the trading date (T+1). Although the migration date of October 11, 2027 still seems a long way off, the necessary preparation is extensive and complex. The Dutch Authority for the Financial Markets (AFM) is therefore calling on all parties involved to act now. In this context, we would like to point to a newly launched website and a European survey on T+1.

In short

T+1: a big step that requires action now
Launch of the Industry Committee website
Deadline 2 January: Industry Readiness Survey

T+1: a big step that requires action now

The AFM supports T+1 because it provides more standardisation and automation, which makes transactions more efficient due to shorter processing. Europe is thus in line with a global trend that has already been implemented or is in preparation in many countries. The transition will affect trading platforms, investment firms, banks, clearing houses and securities depositories, among others. The migration date (11 October 2027) seems far away, but it requires many adjustments: technological upgrades, process harmonisation and cooperation with custodians, CSDs, CCPs and other infrastructure parties.

Launch of the Industry Committee website

The EU T+1 Industry Committee consists of market participants that are active in the European financial markets. Earlier this year, this Industry Committee drew up a high-level roadmap with recommendations for migrating to T+1. A website was recently launched with up-to-date information on the transition to T+1, documentation, guidelines, and practical tools for implementation. The high-level roadmap is also available on this website.

Deadline 2 january: Industry Readiness Survey

In cooperation with the European regulator ESMA and national regulators, the EU T+1 Industry Committee has opened an initial survey to all market participants affected by T+1. We encourage market participants to complete this EU T+1 Industry Readiness Survey, which gathers insights into the current state of preparations, bottlenecks, risks and required actions. The survey is open until 2 January 2026.