A new market readiness survey by The ValueExchange shows that 83% of UK firms are actively preparing for the transition to a T+1 (one-day) trade settlement cycle, an increase from 66% in the third quarter of 2025. It also places the UK ahead of the US timeline, where only 67% of firms were engaged at a comparable stage before their 2024 transition. The data shows that 90% of firms expect to have their T+1 projects scoped and funded by the end of 2026, ahead of the joint UK and EU deadline on 11 October 2027.
Preparations are heavily focused on automation, which the UK Accelerated Settlement Taskforce has highlighted as crucial for success. Currently, 51% of firms have automated their settlement instruction processing, and 63% aim to finish their automation projects during 2027. Testing is also well-aligned, with 78% of financial market infrastructures prepared to begin industry testing in the first quarter of 2027.
Despite overall progress, the research highlights significant readiness gaps on the buy-side, where 57% of firms have yet to begin development work due to funding and foreign exchange concerns. Respondents also expressed doubts about third-party support; less than half believe their current service providers can support their preparations, and only 19% feel their prime brokers are equipped to do so today. On the sell-side, confidence remains higher, though firms face ongoing hurdles with pre-trade set-up and settlement exceptions.
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