PRA Allows Flexibility in Regulatory Reporting in Response to COVID-19
PRA has published guidance, for regulated firms, on submitting annual and other types of regulatory reporting, in response to the ongoing COVID-19 conditions. These PRA-regulated firms include UK banks, building societies, designated investment firms, and credit unions. In the guidance, PRA recognizes that the pandemic may be posing challenges for some firms in terms of their ability to meet the regulatory reporting deadlines. PRA is prepared to consider being flexible in its expectations of firms’ submissions for such reporting where the remittance deadlines fall on or before March 31, 2021 and where the reporting is not time-critical for supervisors.
Additionally, consistent with the measures announced by FCA and Financial Reporting Council (FRC), PRA will accept a delay in the submission by UK banks and designated investment firms of their annual reports and accounts by up to two calendar months, where the remittance deadlines in the PRA Rulebook fall on or before July 31, 2021. For building societies, while PRA is prepared to accept a similar delay, firms considering this may need to consider other statutory requirements that apply to them. As highlighted by FCA and FRC, the recent government guidance on COVID-19 restrictions and an increase in COVID-19 cases may impact the time needed by firms and their auditors to complete the work necessary to finalize annual report and accounts. Particularly, the requirement for annual report to be audited may make timely submission challenging for some firms. Firms are advised to keep their supervisory contact at PRA informed about any significant developments in their financial circumstances; nevertheless, firms that are able to submit before the end of the delayed submission window are encouraged to do so.
Related Links
Keywords: Europe, UK, Banking, Securities, Accounting, COVID-19, Reporting, FCA, PRA
Featured Experts
María Cañamero
Skilled market researcher; growth strategist; successful go-to-market campaign developer
Pierre-Etienne Chabanel
Brings expertise in technology and software solutions around banking regulation, whether deployed on-premises or in the cloud.
Nicolas Degruson
Works with financial institutions, regulatory experts, business analysts, product managers, and software engineers to drive regulatory solutions across the globe.
Related Articles
BIS Examines Use of Big Data and Machine Learning at Central Banks
BIS published a paper that provides an overview on the use of big data and machine learning in the central bank community.
APRA Finalizes Reporting Standard for Operational Risk Requirements
APRA finalized the reporting standard ARS 115.0 on capital adequacy with respect to the standardized measurement approach to operational risk for authorized deposit-taking institutions in Australia.
ECB Publishes Guide for Determining Penalties for Regulatory Breaches
ECB published a guide that outlines the principles and methods for calculating the penalties for regulatory breaches of prudential requirements by banks.
MAS Sets Out Good Practices to Manage Operational Risks Amid COVID
MAS and The Association of Banks in Singapore (ABS) jointly issued a paper that sets out good practices for the management of operational and other risks stemming from new work arrangements adopted by financial institutions amid the COVID-19 pandemic.
ACPR Announces New Data Collection Application for Banks and Insurers
ACPR announced that a new data collection application, called DLPP (Datalake for Prudential), for collecting banking and insurance prudential data will go into production on April 12, 2021.
BCB Maintains CCyB at 0%, Initiates First Cycle of Regulatory Sandbox
BCB announced that the Financial Stability Committee decided to maintain the countercyclical capital buffer (CCyB) for Brazil at 0%, at least until the end of 2021.
EIOPA Launches Study on Non-Life Underwriting Risk in Internal Models
EIOPA has launched a European-wide comparative study on non-life underwriting risk in internal models, also kicking-off of the data collection phase.
SRB Publishes Overview of Resolution Tools Available in Banking Union
SRB published an overview of the resolution tools available in the Banking Union and their impact on a bank’s ability to maintain continuity of access to financial market infrastructure services in resolution.
EBA Consults on Pillar 3 Disclosure Standards for ESG Risks Under CRR
EBA is consulting on the implementing technical standards for Pillar 3 disclosures on environmental, social, and governance (ESG) risks, as set out in requirements under Article 449a of the Capital Requirements Regulation (CRR).
ESAs Issue Advice on KPIs on Sustainability for Nonfinancial Reporting
ESAs Issue Advice on KPIs on Sustainability for Nonfinancial Reporting
