The European Securities and Markets Authority (ESMA) has published a Final Report assessing the shortening of the settlement cycle in the European Union. The report highlights that moving to a T+1 settlement cycle would increase efficiency and resilience in post-trade processes, contributing to market integration and the Savings and Investment Union objectives. ESMA recommends a simultaneous migration to T+1 across all relevant instruments, with a proposed transition date of 11 October 2027. This date was chosen to avoid the challenges linked to the go-live of such a big project in November and December, and the first Monday of October. ESMA also suggests following a coordinated approach with other European jurisdictions. The report notes that the benefits of T+1, including risk reduction, margin savings, and reduced costs, will outweigh the costs. However, the change will require amendments to the Central Securities Depositories Regulation and the settlement discipline framework. All actors in the financial system will need to work on harmonisation, standardisation, and modernisation to improve settlement efficiency, requiring some investment. A specific governance structure will be needed to manage the complexity of the project. Following the report's publication, ESMA will continue its regulatory work on settlement efficiency and address T+1 governance with the European Commission and the European Central Bank.