Featured Product

    PRA Issues Direction on Capital Buffers, Finalizes PS1/21 on SM&CR

    January 22, 2021

    PRA published a direction for modification by consent of 5.1 to 5.3 and 5.5 of the Capital Buffers Part of the PRA Rulebook. The modifications apply where a Pillar 2A requirement, a global systemically important institution (G-SII) buffer, or other systemically important institution (O-SII) buffer has been imposed on a firm on an individual or a consolidated basis. The modifications should be read and used in conjunction with the voluntary requirement on capital buffers and Pillar 2A model requirements, which became effective on December 31, 2020. In addition, PRA published the policy statement PS1/21 on strengthening accountability via the Senior Managers & Certification Regime (SM&CR) forms updates. PS1/21 contains the amended Notifications Part of the PRA Rulebook (Appendix 1), the updated Notification Form (Appendix 2), and the SM&CR Form L (Appendix 3). The final rules and the updated versions of the forms became applicable from January 22, 2021.

    PS1/21 also provides feedback to responses to the proposed amendments (CP7/20) to the Notifications Part of the PRA Rulebook, Notifications Form, and SM&CR Form L. In CP7/20, PRA proposed to update SM&CR Form L to reinstate question 3.05, which requests firms making a notification to provide details of any disciplinary action taken. PRA also proposed to amend the Notification Form to reflect the new FCA address, following a move to new premises and the new FCA logo. In addition, PRA proposed to make minor consequential amendments to the Notification Form. These were deleting an incorrect reference to PRA as a limited company, updating references to the PRA Rulebook, and updating the General Data Protection Regulation notification. PRA received no responses to the consultation and, therefore, published the final policy as proposed.

     

    Related Links

    Effective Date: January 22, 2021

    Keywords: Europe, UK, Banking, Insurance, PRA Rulebook, SM&CR, Regulatory Capital, Capital Buffer, Pillar 2, Basel, PS1/21

    Featured Experts
    Related Articles
    News

    ESAs Issue Multiple Regulatory Updates for Financial Sector Entities

    The three European Supervisory Authorities (ESAs) issued a letter to inform about delay in the Sustainable Finance Disclosure Regulation (SFDR) mandate, along with a Call for Evidence on greenwashing practices.

    November 15, 2022 WebPage Regulatory News
    News

    ISSB Makes Announcements at COP27; IASB to Propose IFRS 9 Amendments

    The International Sustainability Standards Board (ISSB) of the IFRS Foundations made several announcements at COP27 and with respect to its work on the sustainability standards.

    November 10, 2022 WebPage Regulatory News
    News

    IOSCO Prioritizes Green Disclosures, Greenwashing, and Carbon Markets

    The International Organization for Securities Commissions (IOSCO), at COP27, outlined the regulatory priorities for sustainability disclosures, mitigation of greenwashing, and promotion of integrity in carbon markets.

    November 09, 2022 WebPage Regulatory News
    News

    EBA Finalizes Methodology for Stress Tests, Issues Other Updates

    The European Banking Authority (EBA) issued a statement in the context of COP27, clarified the operationalization of intermediate EU parent undertakings (IPUs) of third-country groups

    November 09, 2022 WebPage Regulatory News
    News

    OSFI Sets Out Work Priorities and Reporting Updates for Banks

    The Office of the Superintendent of Financial Institutions (OSFI) published an annual report on its activities, a report on forward-looking work.

    November 07, 2022 WebPage Regulatory News
    News

    APRA Finalizes Changes to Capital Framework, Issues Other Updates

    The Australian Prudential Regulation Authority (APRA) finalized amendments to the capital framework, announced a review of the prudential framework for groups.

    November 03, 2022 WebPage Regulatory News
    News

    BIS Hub and Central Banks Conduct CBDC and DeFI Pilots

    The Bank for International Settlements (BIS) Innovation Hubs and several central banks are working together on various central bank digital currency (CBDC) pilots.

    November 03, 2022 WebPage Regulatory News
    News

    ECB Sets Deadline for Banks to Meet Its Climate Risk Expectations

    The European Central Bank (ECB) published the results of its thematic review, which shows that banks are still far from adequately managing climate and environmental risks.

    November 02, 2022 WebPage Regulatory News
    News

    ESAs, ECB, & EC Issue Multiple Regulatory Updates for Financial Sector

    Among its recent publications, the European Banking Authority (EBA) published the final standards and guidelines on interest rate risk arising from non-trading book activities (IRRBB)

    October 31, 2022 WebPage Regulatory News
    News

    EC Adopts Final Rules Under CRR, BRRD, and Crowdfunding Regulation

    The European Commission (EC) recently adopted regulations with respect to the calculation of own funds requirements for market risk, the prudential treatment of global systemically important institutions (G-SIIs)

    October 26, 2022 WebPage Regulatory News
    RESULTS 1 - 10 OF 8582