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

    FINMA Approves Merger of Credit Suisse and UBS

    The Swiss Financial Market Supervisory Authority (FINMA) has approved the takeover of Credit Suisse by UBS.

    March 21, 2023 WebPage Regulatory News

    BOE Sets Out Its Thinking on Regulatory Capital and Climate Risks

    The Bank of England (BOE) published a working paper that aims to understand the climate-related disclosures of UK financial institutions.

    March 13, 2023 WebPage Regulatory News

    OSFI Finalizes on Climate Risk Guideline, Issues Other Updates

    The Office of the Superintendent of Financial Institutions (OSFI) is seeking comments, until May 31, 2023, on the draft guideline on culture and behavior risk, with final guideline expected by the end of 2023.

    March 12, 2023 WebPage Regulatory News

    APRA Assesses Macro-Prudential Policy Settings, Issues Other Updates

    The Australian Prudential Regulation Authority (APRA) published an information paper that assesses its macro-prudential policy settings aimed at promoting stability at a systemic level.

    March 07, 2023 WebPage Regulatory News

    BIS Paper Examines Impact of Greenhouse Gas Emissions on Lending

    BIS issued a paper that investigates the effect of the greenhouse gas, or GHG, emissions of firms on bank loans using bank–firm matched data of Japanese listed firms from 2006 to 2018.

    March 03, 2023 WebPage Regulatory News

    HMT Mulls Alignment of Ring-Fencing and Resolution Regimes for Banks

    The HM Treasury (HMT) is seeking evidence, until May 07, 2023, on practicalities of aligning the ring-fencing and the banking resolution regimes for banks.

    March 02, 2023 WebPage Regulatory News

    MFSA Sets Out Supervisory Priorities, Issues Reporting Updates

    The Malta Financial Services Authority (MFSA) outlined its supervisory priorities for 2023

    March 02, 2023 WebPage Regulatory News

    German Regulators Issue Multiple Reporting Updates for Banks

    Deutsche Bundesbank published the nationally deactivated validation rules for the German Commercial Code (HGB) users on the taxonomy 3.2, which became valid from December 31, 2022

    March 02, 2023 WebPage Regulatory News

    BCBS Report Examines Impact of Basel III Framework for Banks

    The Basel Committee on Banking Supervision (BCBS) published results of the Basel III monitoring exercise based on the June 30, 2022 data.

    February 28, 2023 WebPage Regulatory News

    PRA Consults on Prudential Rules for "Simpler-Regime" Firms

    Among the recent regulatory updates from UK authorities, a key development is the first-phase consultation, from the Prudential Regulation Authority (PRA), on simplifications to the prudential framework that would apply to the simpler-regime firms.

    February 28, 2023 WebPage Regulatory News
    RESULTS 1 - 10 OF 8806