On 14 December 2021, the Bank of England (BoE) published its 2021 Annual Report which sets out how it has exercised its responsibilities in respect of supervising financial market infrastructure firms (FMIs) and outlines the BoE’s domestic and international policy work to strengthen the regulatory and supervisory frameworks for FMIs.

Chapter 4 of the Annual Report covers the BoE’s future priorities when supervising FMIs and these include:

  • The BoE will continue to promote FMIs’ financial and operational resilience.
  • HM Treasury’s proposal increasing the BoE’s supervisory toolkit by establishing a Senior Manager’s and Certification Regime for FMIs.
  • The BoE will conclude its first supervisory stress test of UK central counterparties (CCPs) and further develop its CCP supervisory stress testing framework.
  • The BoE will continue to keep the scope of the clearing obligation under review, including by monitoring developments in benchmark transition in the USD interest rate derivatives markets.