Featured Product

    UK Authorities Facilitate Sale of SVB UK to HSBC, Issue Other Updates

    March 14, 2023

    UK Authorities, including the Bank of England (BoE), the Prudential Regulation Authority (PRA), HM Treasury, and the Financial Conduct Authority (FCA) issued multiple regulatory updates for banks. The key development among these involves the sale of Silicon Valley Bank UK Limited to HSBC. The UK Government also issued a statutory instrument to amend existing law with the aim of enabling powers under Part 1 of the Banking Act 2009 to be used effectively in connection with the sale of Silicon Valley Bank UK Limited to a private sector purchaser (HSBC UK Bank plc). The statutory instrument will come into force on March 13, 2023.

    Additionally, BoE published a letter to the chief financial officers of eight major UK banks to support and enhance firms’ resolvability preparations for the second Resolvability Assessment Framework (RAF) assessment. In yet another key development, PRA proposed (CP6/23) to remove the Common Equity Tier 1 (CET1) deduction requirement in the PRA Rulebook, regarding non-performing exposures (NPE) that are treated as insufficiently covered by firms’ accounting provisions. It also proposed to remove the associated reporting requirements for the NPE deduction. PRA considers that removing the NPE deduction requirement would enhance the definition of capital in a way that aligns with international standards. Removing the associated reporting requirements would reduce all firms’ costs of monitoring, compliance, and data gathering in relation to the NPE deduction requirement. The consultation is relevant to banks, building societies, PRA-designated investment firms and PRA-designated financial or mixed financial holding companies. The consultation closes on June 14, 2023 and the resulting changes are expected to come into force in the fourth quarter of 2023.  Finally, FCA finalized the guidance (FG23/2) for firms supporting their existing mortgage borrowers impacted by the rising cost of living and updated next steps with regard to potential remedies proposed in the interim report on credit information market study.

     

    Related Links

    Keywords: Europe, UK, Banking, Reporting, Silicon Valley Bank, Resolvability Assessment Framework, NPE, Basel, Regulatory Capital, Lending, Credit Risk, Resolution Framework, PRA Rulebook, BoE, PRA, FCA, HM Treasury

    Featured Experts
    Related Articles
    News

    EBA Finalizes Templates for One-Off Climate Risk Scenario Analysis

    The European Banking Authority (EBA) has published the final templates, and the associated guidance, for collecting climate-related data for the one-off Fit-for-55 climate risk scenario analysis.

    November 28, 2023 WebPage Regulatory News
    News

    EBA Mulls Inclusion of Environmental & Social Risks to Pillar 1 Rules

    The European Banking Authority (EBA) recently published a report that recommends enhancements to the Pillar 1 framework, under the prudential rules, to capture environmental and social risks.

    October 31, 2023 WebPage Regulatory News
    News

    BCBS Consults on Disclosure of Crypto-Asset Exposures of Banks

    As a follow on from its prudential standard on the treatment of crypto-asset exposures, the Basel Committee on Banking Supervision (BCBS) proposed disclosure requirements for crypto-asset exposures of banks.

    October 19, 2023 WebPage Regulatory News
    News

    BCBS and EBA Publish Results of Basel III Monitoring Exercise

    The Basel Committee on Banking Supervision (BCBS) and the European Banking Authority (EBA) have published results of the Basel III monitoring exercise.

    October 18, 2023 WebPage Regulatory News
    News

    PRA Updates Timeline for Final Basel III Rules, Issues Other Updates

    The Prudential Regulation Authority (PRA) recently issued a few regulatory updates for banks, with the updated Basel implementation timelines being the key among them.

    October 18, 2023 WebPage Regulatory News
    News

    US Treasury Sets Out Principles for Net-Zero Financing

    The U.S. Department of the Treasury has recently set out the principles for net-zero financing and investment.

    October 17, 2023 WebPage Regulatory News
    News

    EC Launches Survey on G7 Principles on Generative AI

    The European Commission (EC) launched a stakeholder survey on the draft International Guiding Principles for organizations developing advanced artificial intelligence (AI) systems.

    October 14, 2023 WebPage Regulatory News
    News

    ISSB Sustainability Standards Expected to Become Global Baseline

    The finalization of the two sustainability disclosure standards—IFRS S1 and IFRS S2—is expected to be a significant step forward in the harmonization of sustainability disclosures worldwide.

    September 18, 2023 WebPage Regulatory News
    News

    IOSCO, BIS, and FSB to Intensify Focus on Decentralized Finance

    Decentralized finance (DeFi) is expected to increase in prominence, finding traction in use cases such as lending, trading, and investing, without the intermediation of traditional financial institutions.

    September 18, 2023 WebPage Regulatory News
    News

    BCBS Assesses NSFR and Large Exposures Rules in US

    The Basel Committee on Banking Supervision (BCBS) published reports that assessed the overall implementation of the net stable funding ratio (NSFR) and the large exposures rules in the U.S.

    September 14, 2023 WebPage Regulatory News
    RESULTS 1 - 10 OF 8938