That’s a year and a half later than current expectations for GBP LIBOR. In You wait for ages... we noted USD’s omission from the previous ICE announcement on GBP, but we weren’t expecting quite such a delay.
BUT all is not quite as it seems. Both the Fed and FCA made accompanying statements to the ICE one, and this is what you really need to focus on. Basically the Fed (+ FDIC & OCC) said they do not expect any new trading in USD LIBOR after 31 December 2021. The Fed was emphatic that they believe “entering into new contracts that use USD LIBOR as a reference rate after December 31, 2021, would create safety and soundness risks and [we] will examine bank practices accordingly”.
The FCA welcomed the US measures “limiting new use of US$ LIBOR after end-2021”. And the ARRC applauded the “major milestone in transition from USD LIBOR”. So the authorities are very much emphasising the point about no trading LIBOR after December 2021, not the final $ cessation date in June 2023.