- CP4/21 ‘Financial Services Compensation Scheme – Management Expenses Levy Limit 2021/22’
News and speeches
Responsible openness: The PRA’s approach to supervising banks – speech by David Bailey
11 January 2021
David Bailey sets out the PRA’s approach to supervising international banks. He says the regulator is open to international banks operating in the UK as they promote economic dynamism. But they will face the same robust regulation as the other financial services firms we regulate.
Cross cutting publications and updates
Statement in support of the IFRS Foundation’s consultation on sustainability reporting
25 January 2021
Following the joint statement published by the Bank and other members of the Government – Regulator TCFD Taskforce, on Tuesday 29 December 2020 the PRA published a comment letter responding to the consultation paper on sustainability reporting issued by the International Financial Reporting Standards (IFRS) Foundation. This comment letter follows the joint statement issued by the Government-Regulator TCFD taskforce, and reiterates the PRA’s support for the IFRS Foundation’s proposal to establish a new sustainability reporting standard setting body.
CP4/21 ‘Financial Services Compensation Scheme – Management Expenses Levy Limit 2021/22’
22 January 2021
In this Consultation Paper (CP), the Financial Conduct Authority (FCA) and the PRA set out proposals for the Management Expenses Levy Limit (MELL) for the Financial Services Compensation Scheme (FSCS) for 2021/22.
This CP is relevant to all FCA and PRA-authorised firms. It is not of direct relevance to retail financial services consumers or consumers groups, and they do not need to act on it.
This consultation closes on Friday 19 February 2021.
PS1/21 ‘Strengthening accountability: SM&CR forms update’
22 January 2021
This PS provides feedback to responses to CP7/20 ‘Strengthening Accountability: SM&CR Forms Update’. It also contains the PRA’s final policy, which includes an:
- amended Notifications Part of the PRA Rulebook (Appendix 1);
- updated Notification Form (Appendix 2); and
- updated Senior Managers & Certification Regime (SM&CR) Form L (Appendix 3).
This PS is relevant to all PRA-authorised firms.
Banking publications and updates
CP3/21 ‘Depositor Protection: Identity Verification’
20 January 2021
This CP sets out the PRA’s proposed rules regarding the timing of identity verification required for eligibility of depositor protection (DP) under the FSCS. It also proposes amendments to the PRA’s expectations in respect of Insolvency Practitioners (IPs) being best placed to carry out identity verification checks in the event that a firm has failed to do so by the compensation date.
The proposals in this CP would result in changes to the Depositor Protection Part of the PRA Rulebook, and to Supervisory Statement (SS) 18/15, ‘Depositor and dormant account protection’.
This CP is relevant to the FSCS, all PRA-authorised deposit-takers, and IPs. This CP contains no material of direct relevance to retail financial services consumers or consumer groups upon which they might need to act.
This consultation closes on Monday 15 February 2021.
UK Deposit Takers Supervision Annual Conference for CEOs of the Non-Systemic UK Banks and Building Societies
15 January 2021
On Monday 14 December 2020 Melanie Beaman, Director of UK Deposit Takers Supervision, hosted a webinar for the CEOs of the Non-Systemic UK Banks and Building Societies.
CP2/21 ‘International banks: The PRA’s approach to branch and subsidiary supervision’
11 January 2021
This CP sets out the PRA’s proposals regarding its approach to supervising the UK activities of PRA-authorised banks and designated investment firms that are headquartered outside of the UK or are part of a group based outside of the UK.
The proposals in this CP would result in a new SS ‘International banks: The PRA’s approach to branch and subsidiary supervision’, which will supersede SS1/18 ‘International banks: the Prudential Regulation Authority’s approach to branch authorisation and supervision’.
The CP is relevant to existing or prospective PRA-authorised banks and designated investment firms that are headquartered outside of the UK or are part of a group based outside of the UK.
This consultation closes on Sunday 11 April 2021.
Insurance publications and updates
CP1/21 ‘Solvency II: Deep, liquid and transparent assessments, and GBP transition to SONIA’
7 January 2021
This CP sets out the PRA’s proposed approach to deep, liquid and transparent (DLT) assessments and the transition of Solvency II technical information (TI) from the London Interbank Offered Rate (Libor) to the Sterling Overnight Index Average (SONIA) in 2021.
The proposals in this CP would result in changes to the PRA Statement of Policy (SoP) ‘The PRA’s approach to the publication of Solvency II technical information’.
This CP is relevant to all UK Solvency II firms, including in respect of the Solvency II groups provisions, and to the Society of Lloyd’s and its managing agents. Non-Directive firms are out of the scope of this CP.
The PRA proposes to implement the transition for GBP TI to SONIA from and including Saturday 31 July 2021.
Your input and views on open PRA consultations and other requests closing in February 2021
Closing date: 4 February
Also in the month
12 January 2021
11 January 2021
Bank Underground - a blog for Bank of England staff to share views that challenge – or support – prevailing policy orthodoxies. The views expressed here are those of the authors, and are not necessarily those of the Bank of England or its policy committees.
Bank Overground - the purpose of Bank Overground is to share our internal analysis. Each bite-sized post summarises a piece of analysis that supported a policy or operational decision.
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