The PRA has published Consultation Paper 17/16: Regulatory reporting of financial statements, forecast capital data and International Financial Reporting Standards (IFRS) 9 requirements (CP17/16).
CP17/16 covers the following:
- chapter 3 summarises the outcome of the balance sheet, profit or loss (P&L) and capital reviews and the resulting proposals for future reporting in these areas. Specifically, from 1 January 12018, it will: (i) replace existing returns FSA001 (Balance Sheet) and FSA002 (Income Statement) with relevant Financial Reporting (FINREP) templates issued by the European Banking Authority (EBA); (ii) continue the collection of the Memorandum items section of the current FSA001 return via a new return (PRA108); and (iii) replace the existing return FSA014 (Forecast data from firms) with four new returns collecting forecast balance sheet (PRA104-PRA106) and P&L data (PRA107). In addition, from 1 July 2017, it will formalise the collection of the existing Capital+ (Forecast capital resources and requirements) return through the introduction of three new returns (PRA101-PRA103);
- chapter 4 sets out a preliminary discussion of the potential impact on reporting requirements of the introduction of IFRS 9, the new accounting rules for financial instruments. This chapter does not include specific proposals but seeks feedback on the PRA’s preliminary views which will feed into a consultation on any changes to regulatory reporting arising from IFRS 9, which is planned for later in 2016 (subject to endorsement of the standard by the European Union and finalisation of the EBA’s proposed changes to Financial Reporting to incorporate IFRS 9);
- chapter 5 provides the cost-benefit and impact analyses as required under the PRA’s statutory obligations; and
- chapter 6 summarises the questions to which the PRA would welcome specific feedback
The consultation closes 29 July 2016.