Prudential regulation | Bank of England

The Bank of England prudentially regulates and supervises financial services firms through the Prudential Regulation Authority (PRA). Ouruseofcookies Weusenecessarycookiestomakeoursitework(forexample,tomanageyoursession).We’dalsoliketousesomenon-essentialcookies(includingthird-partycookies)tohelpusimprovethesite.Byclicking‘Acceptrecommendedsettings’onthisbanner,youacceptouruseofoptionalcookies. Necessarycookies Analyticscookies   Yes Yes Acceptrecommendedcookies Yes No Proceedwithnecessarycookiesonly Necessarycookies Necessarycookiesenablecorefunctionalityonourwebsitesuchassecurity,networkmanagement,andaccessibility.Youmaydisablethesebychangingyourbrowsersettings,butthismayaffecthowthewebsitefunctions. Analyticscookies Weuseanalyticscookiessowecankeeptrackofthenumberofvisitorstovariouspartsofthesiteandunderstandhowourwebsiteisused.FormoreinformationonhowthesecookiesworkpleaseseeourCookiepolicy. Skiptomaincontent Home Prudentialregulation Prudentialregulation TheBankofEnglandprudentiallyregulatesandsupervisesfinancialservicesfirmsthroughthePrudentialRegulationAuthority(PRA). Relatedlinks Relatedlinks PrudentialRegulationCommittee PRAPractitionerPanelandInsuranceSub-committee Inthissection Whoarewe? WhatisthePRA? WhichfirmsdoesthePRAregulate? OurBusinessPlan,goalsandobjectives Ourcompetitionobjective Ourstatutoryandenforcementpowers Keyregulatorycommunications Whatdowedo? Howdoweauthorisefirms? Howdowesupervisefirms? FinancialServicesCompensationScheme Resolution Ring-fencingregime Strengtheningaccountability System-widestresstesting Transformingdatacollection Policyandtools Policy Authorisations CapitalRequirementsDirective SolvencyII Climatechange PostEUwithdrawal NewBankStart-upUnit NewInsurerStart-upUnit Bankingregulatoryreporting(includingforms) Insuranceregulatoryreporting(includingforms) Signupforlatestupdates WearethePrudentialRegulationAuthority AspartoftheBankofEngland,weareresponsiblefortheprudentialregulationandsupervisionofaround1,500banks,buildingsocieties,creditunions,insurersandmajorinvestmentfirms.Findoutwhichfirmsweregulate.  Wecreatepolicyforthefirmsweregulatetofollow,enactedthroughthePRARulebook.Ourrulesrequirefinancialfirmstomaintainsufficientcapitalandhaveadequateriskcontrolsinplace.  Wealsosupervisefirms,toensurethatwehaveacomprehensiveoverviewoftheiractivitiessothatwecanstepiniftheyarenotbeingruninasafeandsoundwayor,inthecaseofinsurers,iftheyarenotprotectingpolicyholdersadequately.  Ourthreeobjectives: Externallinks PRARulebook FinancialServicesRegister RegulatoryInitiativesGrid Promotethesafetyandsoundnessofthefirmsweregulate Contributetosecuringanappropriatedegreeofprotectionforinsurancepolicyholders Facilitateeffectivecompetitionbetweenfirms Findoutmoreaboutwhatwedo Latestnewsandpublications Openconsultationsanddiscussionpapers 31March2022-DP1/22–Theprudentialliquidityframework:Supportingliquidassetusability Closes30June2022 15March2022–CP3/22‘OccasionalConsultationPaper–March2022’  Closes10May2022 7February2022–CP2/22‘Definitionofcapital:updatestoPRARulesandsupervisoryexpectations’ Closes2May2022  15December2021–FS1/21‘ResponsestoDP1/21‘Astrongandsimpleprudentialframeworkfornon-systemicbanksandbuildingsocieties’ Showallconsultations Latestpolicy 25March2022-PS3/22‘FinancialServiceCompensationScheme–ManagementExpensesLevyLimit2022/23’.  11March2022- PS2/22-OperationalResilienceandOperationalContinuityinResolution:MinorAmendments. Showallpolicy Latestnews 24March2022: LetterfromSamWoods‘Existingorplannedexposuretocryptoassets’ 20January2022:WepublishedaletterontheInsuranceStressTest2022, requestingtechnicalinputbyThursday17March2022. 12January2022:WepublishedaletterfromAnnaSweeneyandCharlotteGerkenonthePRA’s2022prioritiesforinsurancesupervision;NathanaelBenjaminandRebeccaJacksononthePRA’s2022prioritiesforinternationalbanks;andaletterfromDavidBaileyandMelanieBeamanonthePRA’s2022prioritiesforUKdeposittakers. MorePRApublications Subjecttoanytransitionalrelief,PRAsupervisorystatementsandPRAstatementsofpolicyapplicablebefore11pmThursday31December2020shouldbereadinconjunctionwithSupervisoryStatement(SS)1/19.ThissetsouthowweexpectfirmstointerpretEU-basedreferencesinnon-bindingPRAregulatoryandsupervisorymaterialsaftertheUK’swithdrawalfromtheEUandtheendofthetransitionperiod. InformationonotherPRApublicationscanbefoundusingthelinkbelow. Prudentialregulationpublications Foramorein-depthlookatourkeyregulatorynewsandpublicationsformonth,readourlatestRegulatoryDigest. PRARegulatoryDigest Ourlatestreports Ourannualreportsetsoutourworkonourstrategicgoalsandstatutoryobligationsandourbusinessplansetsoutourstrategy,workplanandbudget.  PrudentialRegulationAuthorityBusinessPlan2021/22 PrudentialRegulationAuthorityAnnualReport2020/21 Prudentialregulationnewsandpublications PrudentialRegulation//PRARegulatoryDigest 01April2022 PRARegulatoryDigest-March2022 PRARegulatoryDigest-March2022 PrudentialRegulation//Discussionpaper 31March2022 DP1/22–Theprudentialliquidityframework:... DP1/22–Theprudentialliquidityframework:Supportingliquidassetusability PrudentialRegulation//Policystatement 25March2022 PS3/22|CP1/22-FinancialServicesCompensation... PS3/22|CP1/22-FinancialServicesCompensationScheme–ManagementExpensesLevyLimit2022/23 PrudentialRegulation//Letter 24March2022 LetterfromSamWoods‘Existingorplanned... LetterfromSamWoods‘Existingorplannedexposuretocryptoassets’ ViewmorePrudentialregulationnewsandpublications Backtotop Thispagewaslastupdated30March2022 Giveyourfeedback Wasthispageuseful? Yes,itwasuseful Yes No,itwasn'tuseful No PageUrlIsMobileBrowserIPAddressOperatingSystem Thanks! Wouldyouliketogivemoredetail? PressSpacebarorEntertoselect Whatdidyouthinkofthispage? Addyourdetails...PageUrlIsMobileBrowserOperatingSystem Pleaseprovethatyou'renotarobot: