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On July 27, 2026, the Dutch Authority for the Financial Markets (AFM) called on market participants to accelerate preparations for the transition to T+1 settlement cycles. The European Commission has finalised the detailed technical rules for this transition, which will take effect across the European Union on October 11, 2027. T+1 settlement shortens the settlement cycle for listed securities transactions from two working days to one working day after the trade date. This change increases transaction efficiency and reduces risks in the settlement chain. The transition affects a substantial portion of the financial sector, including trading platforms, investment firms, banks, clearing houses, and securities depositories. The EU is aligning with international developments, as T+1 has already been implemented in markets such as the United States. The AFM identified December 7, 2026, as the first critical deadline, when new detailed requirements for faster transaction processing will take effect. Market participants must exchange data more rapidly and use standardised communication protocols. Financial institutions that delay T+1 preparations risk operational disruptions, elevated implementation costs, and service delivery problems for customers. The AFM recommends that market participants conduct impact analyses to identify gaps, establish implementation and testing plans, further automate and standardise settlement processes, assess vendor and market infrastructure partnerships, and improve the quality of reference data and settlement instructions. The AFM advised organisations without comprehensive implementation plans to begin immediately. The authority referenced guidance from the EU T+1 Industry Committee and the European Securities and Markets Authority (ESMA) to support implementation efforts.