Updated 6 July 2020: The Q&A was updated following the publication of Policy Statement 15/20 ‘Pillar 2A: Reconciling capital requirements and macroprudential buffers’. Updated text is shown in italics.
On Monday 20 April, the PRA published a document to answer some commonly asked questions on the usability of liquidity and capital buffers and their operation as set out in PRA rules and guidelines.
This document is relevant to all firms to which the Capital Requirements Directive IV applies.
The document will be updated as the Covid-19 situation evolves. New Q&As and updates to existing ones will appear in italics.