Ireland—AB v Central Bank of Ireland

Table of contents

• The background
• Decision set aside
• Fitness and probity process
• Analysis

Article summary

Ireland—Finance & Financial Services analysis: The Central Bank of Ireland’s (CBI) new Individual Accountability Framework (IAF), which came into force in December 2023, is an important milestone in Irish financial regulation. The SEAR regime, a key pillar of the new framework, applies from July 2024. It brings a targeted focus on compliance by individual personnel of in-scope firms, with defined responsibilities for designated individuals and new conduct standards intended to drive change and improve governance across the sector. The CBI held a detailed consultation process in respect of the new regime and took on board suggestions following that process, with changes reflected in guidance issued by the regulator in late 2023. Much of the commentary during the consultation period focused on how the new scheme would be administered. There was particular concern about the shift from corporate to individual responsibility, and potential for inequality of arms as between individuals seeking fitness and probity clearance, and a powerful regulator that is responsible...