The PRA has published a document setting out the additional leverage ratio buffer model requirements for global systemically important institutions (G-SIIs).
In PRA Supervisory Statement 45/15: The UK leverage ratio framework, it was stated that G-SIIs, to which the UK leverage ratio framework applies, will be invited to apply for a voluntary requirement (VREQ) under section 55M of the Financial Services and Market Act 2000. The VREQ would include a G-SII additional leverage ratio buffer (ALRB) and the associated reporting and disclosure requirements. The PRA notes that if a G-SII does not hold, or is not likely to hold, an amount and quality of common equity tier 1 (CET1) capital that is equal to or greater than the G-SII ALRB, the firms to which the VREQ applies will be required to notify the PRA immediately and prepare and submit a capital plan.
View The UK leverage ratio framework – SS45/15 webpage, 17 December 2015