The Resolvability Assessment Framework (RAF) is the Bank of England’s approach to assessing whether certain firms operating in the UK are prepared for resolution. Major UK firms, with a preferred resolution strategy of or , need to disclose a summary of their preparations for resolution, with the Bank making its own public statement on these firms’ preparations on a periodic basis. This provides transparency to investors and the public on these firms’ resolvability, and makes firms responsible for their own preparations for resolution.
The latest RAF policy was updated by the Bank of England and PRA in 2021. The original policy was published in July 2019. An overview of the RAF is also included in the Bank of England’s approach to resolution.
The RAF has three key elements:
- The three resolvability outcomes firms must, as a minimum, achieve to support a resolution if they fail. The Bank and PRA have published a number of policies explaining the capabilities firms should implement to be considered resolvable.
- A reporting and disclosure framework requiring major UK firms – those with equal to, or more than, £100 billion in retail deposits - to carry out an assessment of their preparations for resolution, to submit a report of that assessment, and to publish a summary of that report. The PRA will communicate the expected reporting and disclosure dates for future assessments in advance.
- The publication of a statement by the Bank concerning the resolvability of each firm which makes an assessment. The latest resolvability assessment was published in 2024.
The scope of the RAF
The RAF applies to UK firms that the Bank has notified are subject to a preferred resolution strategy of bail‑in or transfer, as well as certain material subsidiaries of overseas firms operating in the UK.
Major UK firms (banks and building societies with retail deposits equal to or greater than £100 billion) are subject to the reporting and disclosure requirements of the RAF. These firms publish the key aspects of their assessment (we call these firm ‘disclosures’) and the Bank of England makes a public statement on their resolvability.
UK banks and building societies with retail deposits below £100 billion with bail-in or transfer as preferred resolution strategies, including hosted material subsidiaries for which the Bank sets internal MREL, must achieve the three resolvability outcomes but are not in scope of the reporting and disclosure requirements.
What does it mean to be ‘resolvable’?
To be considered resolvable, firms in scope of the RAF must, as a minimum, be able to achieve the three resolvability outcomes:
a) Have adequate financial resources in the context of resolution
b) Be able to continue to do business through resolution and restructuring
c) Be able to coordinate and communicate effectively within the firm and with the authorities and markets so that resolution and subsequent restructuring are orderly.
The Bank and PRA have published policies setting out the capabilities, resources and arrangements firms are expected to have in place to remove the eight generic ‘barriers’ to achieving these outcomes. These were developed to be consistent with the barriers identified by the Financial Stability Board. Firms should also consider whether there are any additional barriers to satisfying the outcomes and how these barriers should be removed.
For further information on the RAF, visit our related policy documents, firm communications and guidance webpage.
This page was last updated 04 June 2026