Featured Product

    PRA Published PS21/17 and SS46/15 Related to UK Leverage Ratio

    October 03, 2017

    The PRA published the policy statement PS21/17 titled “UK leverage ratio: treatment of claims on central banks.” The PS21/17 provides feedback to responses to the consultation paper CP11/17 titled “Consultations by the FPC and PRA on changes to the UK leverage ratio framework relating to the treatment of claims on central banks.” The PRA also published an updated version of the supervisory statement SS46/15, which contains updated instructions for completing data items FAS083 and FSA084 in the context of the UK leverage ratio.

    In response to the FPC’s recommendation, and in line with CP11/17, the PRA is amending the PRA Rulebook and SS46/15 to:

    • Align them with its July 2016 modification by consent to exclude central bank claims matched by deposits in the same currency and of identical or longer maturity from the definition of the total leverage exposure measure in the UK leverage ratio framework
    • Increase the minimum leverage ratio requirement from 3.00% to 3.25% of total exposures
    • Align the UK leverage ratio reporting and disclosure requirements to the proposed definition of the total exposure measure and the 3.25% minimum leverage ratio requirement

    The reporting changes come into effect immediately and will apply to firms’ reporting and disclosure requirements for end-December 2017 onward. The PS21/17 is relevant to PRA-regulated banks and building societies with retail deposits equal to or greater than EUR 50 billion on an individual or a consolidated basis. The SS46/15 is addressed to the Capital Requirements Regulation (CRR) firms regulated by the PRA that are required to submit supervisory reports under the Reporting Leverage Ratio Part of the PRA Rulebook. Its purpose is to set out the PRA’s expectations for how firms should complete the data items. The SS46/15 should be read alongwith PS27/15 and SS45/15.

     

    Related Links

    Keywords: Europe, UK, Banking, PS21/17, SS46/15, Leverage Ratio, Reporting, CP11/17, PRA

    Featured Experts
    Related Articles
    News

    BCBS Consults on Revised Disclosures for Market Risk Framework

    BCBS launched a consultation on the revised disclosure requirements for the market risk framework for banks.

    November 14, 2019 WebPage Regulatory News
    News

    FSB Examines Implementation of Resolution Regimes in Financial Sector

    FSB published a report that examines progress in implementing policy measures to enhance the resolvability of systemically important financial institutions and sets out plans for further work.

    November 14, 2019 WebPage Regulatory News
    News

    PRA Publishes Final Policy on Maintenance of TMTP Under Solvency II

    PRA published the policy statement (PS25/19) that contains the final supervisory statement (SS6/16) on maintenance of the transitional measure on technical provisions (TMTPs) under Solvency II.

    November 14, 2019 WebPage Regulatory News
    News

    BCBS Consults on Disclosure Templates of Sovereign Exposures of Banks

    BCBS published a consultation on the voluntary disclosure templates related to sovereign exposures of banks.

    November 14, 2019 WebPage Regulatory News
    News

    IAIS Adopts ComFrame, ICS, and Holistic Framework for Systemic Risk

    IAIS adopted a comprehensive set of reforms—Common Framework (ComFrame), Insurance Capital Standard (ICS) Version 2.0, and Holistic Framework for Systemic Risk—that will enable effective cross-border supervision of insurance groups and contribute to global financial stability.

    November 14, 2019 WebPage Regulatory News
    News

    PRA Publishes Templates for Statistical Disclosures Under Solvency II

    PRA published templates for statistical disclosures, as required under Article 31(2) of the Solvency II Directive.

    November 14, 2019 WebPage Regulatory News
    News

    FASB Proposes Improvements to Derivatives and Hedging Standard

    FASB proposed an Accounting Standards Update, on codification improvements to hedge accounting under Topic 815, to clarify certain sections of the 2017 hedge accounting standard (Update 2017-12).

    November 13, 2019 WebPage Regulatory News
    News

    FASB Approves Guidance to Assist in Transition to New Reference Rates

    FASB approved an Accounting Standards Update (Topic 848) to provide temporary, optional guidance to ease the potential burden in accounting for, or recognizing the effects of, the reference rate reform on financial reporting.

    November 13, 2019 WebPage Regulatory News
    News

    BIS and MAS Launch Innovation Hub in Singapore

    BIS and MAS launched the BIS Innovation Hub Center in Singapore.

    November 13, 2019 WebPage Regulatory News
    News

    MAS and Industry to Create Framework for Adoption of Responsible AIDA

    MAS announced that it is working with financial industry partners to create a framework for financial institutions to promote the responsible adoption of Artificial Intelligence and Data Analytics (AIDA).

    November 13, 2019 WebPage Regulatory News
    RESULTS 1 - 10 OF 4142