The PRA has published Consultation Paper 21/15: Depositor and policyholder protection – technical amendments (CP21/15).

In CP21/15 the PRA sets out proposed changes to the Depositor Protection Part in the PRA Rulebook and to the FEES transitional provisions and schedules in the PRA Handbook. The PRA proposes:

  • amendments to the recovery rules in the Depositor Protection Part to reflect depositor preference under article 108 of the Bank Recovery and Resolution Directive. These rules allow the Financial Services Compensation Scheme (FSCS) to pay over to the depositor recoveries it receives insofar as these exceed the amount that the depositor has been paid by the FSCS;
  • a new rule which sets out which person(s) the FSCS may treat as being absolutely entitled to an eligible deposit in circumstances where the account holder is not the person who is absolutely entitled to it;
  • an amendment to allow a firm to exclude from its class A tariff base calculation the value of any funds, for example in beneficiary accounts, which it has confirmed are not covered deposits;
  • minor administrative amendments to the Single Customer View file and exclusions file requirements to clarify information to be included; and
  • an amendment to provide that, from 3 July 2015 until 1 June 2016, the FSCS shall ensure that a depositor that is a small local authority shall have access to their covered deposits within fifteen business days of receipt of a request from the depositor which contains sufficient information to enable the FSCS to make a payment.

The deadline for comments on CP21/15 is 19 June 2015.

View Depositor and policyholder protection – technical amendments – CP21/15, 2 June 2015