On 25 July 2025, the Prudential Regulation Authority updated its webpage on waivers and modifications of rules.
New text has been added under the heading ‘What does this mean for firms or CRR consolidation entities?’which reads:
“In July 2025, the PRA announced its intention to continue working on the basis of its proposed implementation date for the SDDT [Small Domestic Deposit Taker] capital regime of 1 January 2027, the same date on which it plans to implement the majority of Basel 3.1. The PRA also indicated that, under the working assumption that Basel 3.1 and the Strong and Simple capital regime are going to be implemented on the same date, the ICR [Interim Capital Regime] would no longer be required. In the event that Basel 3.1 and the Strong and Simple capital regime are implemented on the same date, and the ICR is no longer required as a result, SDDT-eligible firms and consolidation entities would no longer be expected to consent to the ICR modification and the PRA will end the ICR modifications that have already been issued on the register.“