The Prudential Regulation Authority (PRA) has published policy statement ‘PS14/24 – Leverage ratio treatment of omnibus account reserves and minor amendments to the leverage ratio framework’. PS14/24 provides feedback to responses the PRA received to consultation paper (CP) 28/23, as well as setting out its final policy.

The Prudential Regulation Authority (PRA) has published a letter sent to Credit Unions with total assets up to £50m, setting out the key findings from its annual assessment of the sector and the actions it expects firms to take. The PRA has recently reviewed the risk profile of Credit Unions, examined the medium to long-term supervisory strategy, and approved the supervisory plan for the following 12 months. The two key risks for the sector identified by the PRA concern operational resilience and disorderly failure.

The Prudential Regulation Authority (PRA) had published the results of the 2025 Life Insurance Stress Test (LIST 2025), the first conducted under the Solvency UK regime implemented in 2024. The PRA will publish individual firm results for the core scenario on 24 November 2025.

The Prudential Regulation Authority (PRA) has sent a Dear Chief Risk Officer letter setting out the findings of its thematic review of private equity (PE)-related financing activities and banks’ risk management practices in this area. The PRA has also published a speech by its executive director for authorisations, regulatory technology, and international supervision, Rebecca Jackson, discussing the review’s findings, and highlighting a number of gaps in firms’ risk management frameworks, including many banks not consistently aggregating data in a manner that is appropriate to their exposures to the PE sector.

The Prudential Regulation Authority (PRA) has published policy sttement PS6/25 providing feedback on responses to consultation paper CP11/24 and detailing the final rules and policies regarding the supervision of branches and subsidiaries of international banks operating in the UK. The policy statement includes updates to the PRA Rulebook, supervisory statement SS5/21, and the Branch Return Form, among other materials. The document addresses the PRA's approach to branch risk appetite, booking models, and liquidity reporting, with changes made in response to industry feedback. Key updates include adjustments to deposit thresholds to account for inflation, simplifications to reporting requirements, and clarifications on the scope of application for booking models. The implementation timeline for the new policies has been set, with immediate effect for SS5/21 updates and a phased approach for branch reporting changes, culminating in full implementation by 1 March 2026.

The Prudential Regulation Authority (PRA) has reissued the 2024 Other Systemically Important Institutions (O-SII) buffer rates for ring-fenced banks (RFBs) and large building societies to reflect the Financial Policy Committee’s (FPC) updated O-SII buffer framework. The revised rates are based on the average of quarter-end UK leverage exposure measure (LEM) data over 2023 and will apply from 1 January 2026.

The Prudential Regulation Authority (PRA) has published its consultation paper (CP) 15/24, initiating modifications and improvements to the UK Insurance Special Purpose Vehicle (UK ISPV) regulatory framework. The propositions intend to bolster the security and stability of the insurance industry by providing cedants with access to a more versatile range of reinsurance capital whilst promoting and enhancing competitiveness and growth by streamlining and expediting the authorisation process for UK ISPVs.

The Prudential Regulation Authority (PRA) has set the Other Systemically Important Institutions (O-SII) buffer rates for ring-fenced banks (RFBs) and large building societies based on the average of quarter-end UK leverage exposure measure (LEM) data over 2023, assessed on a sub-consolidated basis for RFBs, and on a consolidated basis for building societies. The newly established O-SII buffer rates will be effective from 1 January 2026.

This Practice Note discusses the Prudential Regulation Authority (PRA)’s rules on remuneration paid by banks, building societies and systemically important investment firms to their staff, including those introduced by the UK’s legislators and regulators after the UK withdrew from the EU in 2020, together with the changes made by joint PRA and Financial Conduct Authority (FCA) policy statement PRA PS21/25 and FCA PS25/15: reform of the remuneration regime. PRA PS21/25 and FCA PS25/15: reform of the remuneration regime Joint consultation and subsequent policy statement On 26 November 2024, the PRA and the FCA published Joint Consultation Paper 6/24–24/23 Remuneration reform, setting out proposed changes to the remuneration regime as follows: • changes to the Remuneration Part of the PRA Rulebook (Appendix 1) • updates to PRA’s SS2/17—Remuneration (Appendix 2) • changes to SYSC 19D in the FCA Handbook (Appendix 3) • consequential changes to the FCA’s non-Handbook guidance FG23/6: General guidance on the application of ex-post risk adjustment to variable remuneration (Appendix 4), and • withdrawal of the FCA’s

The Prudential Regulation Authority (PRA) has published a Dear CRO letter to chief risk officers to share the findings of its review of the internal audit function of a selection of UK deposit taker non-systemic banks and building societies, which aimed to examine their credit risk management frameworks (CRMFs). The PRA found an estimated two-thirds of the findings relate to notable breaches of rules around lending. It calls on firms to consider the findings in reviewing and assessing their own CRMF controls.

The Prudential Regulation Authority (PRA) has published a letter from Deputy Governor and CEO of the PRA, Sam Woods, to the Prime Minister, Chancellor, and Secretary of State, highlighting its ongoing efforts and future plans to facilitate the competitiveness and growth of the UK economy. The House of Lords Financial Services Regulation Committee has published uncorrected oral evidence of its hearing on 8 January 2025 with Sam Woods and with David Bailey, PRA Executive Director, addressing the UK regulators’ secondary competitiveness and growth objective.

The Prudential Regulation Authority (PRA) has published a review of its rules on ring-fencing, which was conducted throughout 2023. The overall conclusion of the review is that the majority of rules should be retained as currently constituted. Areas identified for potential improvement, including those which could help the PRA satisfy its new secondary objective on competitiveness and growth, are set out in the report. The PRA intends to consult on any changes after further detailed analysis and a fuller exploration of the costs and benefits of the options identified.