On 2 August 2023, the Bank of England (BoE) and the Financial Conduct Authority (FCA) published their response to the recommendations from the Data Standards Review commissioned by the joint transformation programme.
The BoE and the FCA are leading a joint transformation programme with industry to transform data collection from the UK financial sector. The programme’s vision is that regulators get the data they need to fulfil their mission, at the lowest possible cost to industry. One of the programme’s key reforms, central to achieving this vision, is the increased development and adoption of common standards throughout the financial sector.
Phase one of the programme included the commissioning of a third-party review on the topic of data standards in financial services, with the aim of identifying the necessary conditions for achieving greater development and adoption of standards. The review consisted of a public consultation exercise, interviews with relevant stakeholders and further research and analysis, and the conclusions were set out in a report along with proposed next steps. The Data Standards Committee (DSC) reviewed the report and produced a set of recommendations for the BoE and the FCA.
The joint response to those recommendations represents the views of the BoE and the FCA. They have agreed to accept most of the recommendations set out by the DSC and plan to work collaboratively with the programme to identify ways to take these forward. The key findings and proposals from the review, the DSC’s recommendations and the BoE and FCA’s responses are summarised in the response.
The BoE and FCA note that they will need to consider how this work will be funded and resourced before making any commitments on timelines. They intend to provide an update on the scope and timelines in the next phase of their joint transformation programme in Q1 2024.