PRA Published Consultation Paper on Recovery Planning
PRA published a consultation paper CP9/17, proposing a new supervisory statement on recovery planning, which sets out additional expectations of firms. This proposed statement will supersede the earlier supervisory statement SS18/13. CP9/17 also includes a proposed update to SS8/16 titled "Ring-Fenced Bodies," which clarifies PRA expectations on the approach to recovery planning for groups containing a ring-fenced body.
Although the content of SS18/13 remains relevant, the new proposed supervisory statement provides additional details on the PRA expectations to help improve the quality of firms’ plans. The consultation explains areas where the PRA is introducing significant updates to SS18/13 and explains the rationale for doing so. Chapter 2 of this consultation sets out proposals related to key recovery plan components and considerations, Chapter 3 sets out proposals on recovery planning for UK subsidiaries of non-EU banks, and Chapter 4 sets out a proposed amendment to SS8/16. Appendices contain the draft supervisory statement for recovery planning (appendix 1) and the proposed amendments to SS8/16 (Appendix 2). PRA intends to publish a final policy statement in the second half of 2017, subject to consultation responses. The final policy statement will specify when firms will be expected to comply with the supervisory statement. This consultation paper is relevant to UK banks, building societies, PRA-designated investment firms, and qualifying parent undertakings, to which the Recovery Planning Part of the PRA Rulebook Applies.
Related Link: Notification
Comment Due Date: September 21, 2017
Keywords: Europe, PRA, Banking, UK, SS18/13, CP9/17, Recovery Planning
Previous Article
EBA Publishes Final Report on Recommendations on Cloud OutsourcingRelated Articles
BIS and Central Banks Experiment with GenAI to Assess Climate Risks
A recent report from the Bank for International Settlements (BIS) Innovation Hub details Project Gaia, a collaboration between the BIS Innovation Hub Eurosystem Center and certain central banks in Europe
Nearly 25% G-SIBs Commit to Adopting TNFD Nature-Related Disclosures
Nature-related risks are increasing in severity and frequency, affecting businesses, capital providers, financial systems, and economies.
Singapore to Mandate Climate Disclosures from FY2025
Singapore recently took a significant step toward turning climate ambition into action, with the introduction of mandatory climate-related disclosures for listed and large non-listed companies
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
EBA Proposes Standards Related to Standardized Credit Risk Approach
The European Banking Authority (EBA) has been taking significant steps toward implementing the Basel III framework and strengthening the regulatory framework for credit institutions in the EU
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
ECB to Expand Climate Change Work in 2024-2025
Banking regulators worldwide are increasingly focusing on addressing, monitoring, and supervising the institutions' exposure to climate and environmental risks.
