On 30 July 2014, the FCA and PRA published a joint consultation paper on the new regulatory framework for individuals, along with one on new remuneration rules. New regulatory framework for individuals By pointing the finger pre-emptively at a select group of individuals (the “Senior Managers”), the regulators hope that the senior managers will behave […]

On 18 July 2014, the EBA published a Consultation Paper on the Guidelines to assess other systemically important institutions (O-SIIs).  O-SIIs represent the EU implementation of the BCBS’ domestic systemically important banks (D-SIBs). Contrary to G-SIBs, the D-SIBs classification allows for considerable discretion by national authorities. Accordingly, a basket of optional indicators is available in […]

As the electrified ringfence-erecting Banking Reform Bill is poised to enter the statute books, the FT reports HSBC is thinking of hiving off its UK operations in response. The global bank has proposed carving out its UK operation, and floating this retail-focussed, reconfigured bank on the London exchange. The article points out that such an […]

This week’s International Financing Review reports that BNY Mellon is closing its swaps clearing service, a mere three years after its inception. “We are exiting the derivatives clearing business in the US due to market and regulatory factors that will limit our ability to grow the business in the future,” said a spokesperson for the […]

The BoE and FCA have published their responses to the final PCBS report. They are united in welcoming the report and in emphasising how many of its recommendations they have already implemented.  A brief summary of the report and responses follows; People: BoE pledge the support of the PRA in assigning key risks to Senior […]

On 3 April 2013, the Parliamentary Commission on Banking Standards (PCBS) published a letter sent to Andrew Bailey, Chief Executive Officer of the Prudential Regulation Authority (PRA), regarding proprietary trading by banks. In the third report of the PCBS, a summary of which can be found here, it was concluded that, whilst it was not […]

On 15 March 2013, the Parliamentary Commission on Banking Standards (PCBS) published its Third Report on proprietary trading within banks. The PCBS considers that there is no commonly-accepted definition of proprietary trading and recognises that most activity undertaken by banks results in some form of proprietary position.   However, it is primarily concerned with trading in […]

On 11 March 2013, the Parliamentary Commission on Banking Standards (PCBS) published its second report on banking reform in the UK. The second report addresses the UK government’s response to the first report of the PCBS and specifically the suggestions made therein in relation to banking reform.  It makes a number of recommendations and observations, […]

The FSA has published an update to its Recovery and Resolution Planning (RRP) guidance dated 20 February 2013. It expects to publish formal RRP rules “soon” after the FSA hands responsibility over to the Prudential Regulation Authority on 1 April 2013.  An updated RRP information pack for firms can be expected soon thereafter with subsequent […]