Featured Product

    PRA Publishes Waiver by Consent of Continuity of Access Rules

    September 13, 2019

    PRA published a new waiver by consent to waive the Continuity of Access requirements contained in the Depositor Protection Part of the PRA Rulebook (DPP). The current waiver by consent (and individual waivers) for the Continuity of Access rules expires on December 01, 2019. Deposit-takers should consider whether they meet one of the three updated cases to be eligible for the new waiver and whether they wish to request the waiver by consent. PRA has set out the changes to the rules in the waiver direction.

    Since 2016, BoE has publicly committed to reviewing the calibration of minimum requirement for own funds and eligible liabilities (MREL) before the end of 2020. In doing so, BoE will have regard to any intervening changes in the UK regulatory framework due to the revision of the Bank Recovery and Resolution Directive and the Capital Requirements Regulation as well as firms’ experience in issuing liabilities to meet their interim MRELs. This review may lead PRA to consider adjustments to the scope, functionality, and necessity of the rules on Continuity of Access. Pending the outcome of the review, PRA is providing a new waiver by consent for the Continuity of Access rules with an expiry of December 01, 2022. The waiver exempts a firm from the Continuity of Access rules (DPP 13.4-13.8 inclusive) and from the related Continuity of Access reporting requirements (DPP 15.2-15.4 inclusive and 15.7). This waiver by consent is available in relation to a firm if it meets the criteria in a case set out below: 

    • Case 1—On March 31, 2019, the total assets a firm is required to report on FINREP (F01.01) exceed GBP 15 billion.
    • Case 2—On March 31, 2019, the aggregate amount of covered deposits a firm is required to report on COREP (C68.00.a) does not exceed GBP 2 billion; and the number of depositors a firm is required to report on PRA108 (65A) does not exceed GBP 150,000.
    • Case 3—The firm is an overseas firm that is not an incoming firm and has a Part 4A permission that includes accepting deposits.

    As part of the suite of reforms introduced during the transposition of the Deposit Guarantee Schemes Directive (DGSD) in 2015, PRA introduced rules in DPP requiring firms to put in place systems to ensure eligible depositors have continued access to Financial Services Compensation Scheme (FSCS)-covered deposits in resolution or insolvency by facilitating a transfer of such deposits (Continuity of Access). 

     

    Related Links

    Keywords: Europe, UK, Banking, Waiver by Consent, Continuity of Access, COREP, FINREP, PRA Rulebook, MREL, DGSD, Reporting, Deposit Guarantee Schemes, PRA

    Featured Experts
    Related Articles
    News

    PRA to Elaborate on Approach to Transposition of CRD5 by Mid-December

    PRA published a statement that explains when to expect further information on the PRA approach to transposing the Capital Requirements Directive (CRD5), including its approach to revisions to the definition of capital for Pillar 2A.

    November 30, 2020 WebPage Regulatory News
    News

    SRB Sets Out Work Program for 2021-2023

    SRB published the work program for 2021-2023, setting out a roadmap to further operationalize the Single Resolution Fund and to achieve robust resolvability of banks under its remit over the next three years.

    November 30, 2020 WebPage Regulatory News
    News

    EIOPA Consults on KPIs on Sustainability for Non-Financial Reporting

    EIOPA is consulting on the relevant ratios to be mandatorily disclosed by insurers and reinsurers falling within the scope of the Non-Financial Reporting Directive as well as on the methodologies to build these ratios.

    November 30, 2020 WebPage Regulatory News
    News

    US Agencies Issue Statement on LIBOR Transition

    US Agencies (FDIC, FED, and OCC) issued a joint statement encouraging banks to cease entering into new contracts that use USD LIBOR as a reference rate as soon as practicable and in any event by December 31, 2021, to facilitate an orderly LIBOR transition.

    November 30, 2020 WebPage Regulatory News
    News

    GHOS Endorses Coordinated Approach to Mitigate COVID Risks for Banks

    The Group of Central Bank Governors and Heads of Supervision (GHOS), the oversight body of BCBS, endorsed a coordinated approach to mitigate COVID-19 risks to the global banking system.

    November 30, 2020 WebPage Regulatory News
    News

    HM Treasury Extends Consultation Dates for FRF and Solvency II Reviews

    HM Treasury extended the consultation period on Phase II of the Future Regulatory Framework (FRF) Review, from January 19, 2021 to February 19, 2021.

    November 30, 2020 WebPage Regulatory News
    News

    ECB Publishes Guide on Management of Climate and Environmental Risks

    ECB finalized guidance on the way it expects banks to prudently manage and transparently disclose climate and other environmental risks under the current prudential rules.

    November 27, 2020 WebPage Regulatory News
    News

    BCBS Amends Capital Treatment of Non-Performing Loan Securitizations

    BCBS published a technical amendment to the capital treatment of securitizations of non-performing loans by banks.

    November 26, 2020 WebPage Regulatory News
    News

    PRA Policy on Stressed VaR and RNIV Calculations Under Market Risk

    PRA published the policy statement PS23/20 on the calculation of stressed value at risk (sVAR) and risks not in value at risk (RNIV) under the market risk framework.

    November 26, 2020 WebPage Regulatory News
    News

    BoE to Move Statistical Data Collection to BEEDs Portal

    BoE announced that the Data and Statistics Division is planning to move collection of statistical data to the BoE Electronic Data Submission (BEEDS) portal.

    November 25, 2020 WebPage Regulatory News
    RESULTS 1 - 10 OF 6179