On 7 June 2019, the PRA published Consultation Paper 12/19: Strengthening individual accountability: resolution assessments and reporting amendments (CP12/19).
In CP12/19 the PRA proposes amending:
- Rule 4.1.(10) in the Allocation of Responsibilities Part of the Rulebook so that the senior manager who is assigned the prescribed responsibility for recovery plans and resolution packs would, for in scope firms, have an additional equivalent responsibility for resolution assessments. This amendment would be applicable only to firms with £50 billion or more in retail deposits on an individual or consolidated basis;
- Supervisory Statement 28/15: Strengthening individual accountability in banking (SS28/15) so that the reference to the prescribed responsibility for recovery plans and resolution packs is aligned with the amended wording in the Rulebook; and
- the form ‘Senior Managers Regime: Statement of Responsibilities’ (SoR form) to reflect the above amendments.
The proposed amendments to the SoR form are relevant to all PRA-regulated firms including credit unions and small non-Directive insurers. However, for firms that are not subject to any future PRA rules in regard to resolution assessments, there will be no change to the PRA’s requirements and expectations of them.
The deadline for comments on CP12/19 is 7 August 2019. The PRA intends to publish the final policy, rules, expectations and SoR form in Q4 2019.