HM Treasury, FCA, and PRA issued a joint statement on the implementation of prudential reforms in the Financial Services Bill. As the Financial Services Bill continues its progress through Parliament, the UK authorities considered it appropriate to update the industry on planned timelines for introducing the Investment Firms Prudential Regime (IFPR) and the implementation of Basel III reforms in UK (UK equivalent to the outstanding elements of the revised Capital Requirements Regulation, or CRR2, in EU). The target an implementation date for these two regimes is January 01, 2022.
This decision on the timelines follows feedback from industry in relation to these specific proposals and in response to the most recent Regulatory Initiatives Grid (September 2020), where industry raised concerns about the general volume of regulatory reform in 2021. HM Treasury will ensure that the relevant secondary legislation is in place in good time and the regulators will endeavor to provide industry with as much sight of the final rules as possible ahead of this date, to support effective implementation. Nevertheless, the April statement of HM Treasury and BoE, which welcomes the BCBS announcement to delay the implementation of the Basel 3.1 standards by one year, still applies.
Keywords: Europe, UK, Banking, Securities, Financial Services Bill, CRR2, IFPR, Basel 3.1, Basel, Investment Firms Regime, FCA, PRA, HM Treasury
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