This week has seen the FCA publish a feedback statement, detailing responses to its call for input on their approach to the current payment services regime. In other news, the PRA has published a policy statement on changes to the reporting requirements that apply to credit unions.

UK

Approach to current payment services regime: FCA feedback statement

The FCA has published a feedback statement which details responses to its call for input on the approach to the current payment services regime. In summary:

  • Respondents are happy with current Payment Services Approach Document and find the PERG a useful source of information
  • Respondents feel the Approach Document could be updated to reflect developments in the market since it was first published in 2009
  • Further guidance on specific matters would be welcomed by respondents
  • Combining the FCA's payment services and e-money Approach Documents would be useful, as would raising awareness of the e-learning module for PSPs

The FCA will now develop its approach to the revised payment services regime and publish final guidance to help PSPs, following a further consultation.  It aims to do this as far as possible in advance of the PSD2 implementation deadline in January 2018.

FCA, 15 November 2016

PRA policy statement on credit union regulatory reporting

The PRA has published a policy statement on changes to the reporting requirements that apply to credit unions (PS31/16).
PRA, 14 November 2016

FLA publishes September data

The Finance & Leasing Association has published Q3 consumer new car finance, consumer finance, and asset finance market data.
FLA, 11 November 2016

BSA Members elect new Deputy Chairman

Jonathan Westhoff, Chief Executive of the West Brom has been elected as the Deputy Chairman of the BSA.  He replaces Chris Pilling, Chief Executive of the Yorkshire Building Society, who is stepping down.
Building Societies Association, 18 November 2016

Government's response to HM Treasury consultation on FPC powers of direction in buy-to-let market

HM Treasury has published a document setting out the government's formal response to its December 2015 consultation on powers of direction for the Financial Policy Committee's (FPC) relating to the buy-to-let market.
HM Treasury, 17 November 2016

Draft FPC policy statement on powers over housing policy instruments

The Financial Policy Committee (FPC) issued a draft policy statement on its powers over housing policy instruments.

FPC, 18 November 2016

PSR consults on financial penalty scheme for use of retained amount from PSR regulatory penalty receipts

The Payment Systems Regulator (PSR) published a consultation paper setting out its draft Financial Penalty Scheme, which announced the PSR's proposed methods for allocating the money it retains from regulatory penalty receipts (CP15/5)

PSR, 17 November 2016

House of Lords EU Committee has published evidence from HM Treasury in response to financial services relating to Brexit

The House of Lords EU Financial Affairs Sub-Committee has published written evidence (dated 9 November 2016) received from HM Treasury in response to questions on the future of financial services in the UK following the Brexit vote.

HM Treasury, 17 November 2016

AFB evidence to House of Lords EU Committee on financial services relating to Brexit

The House of Lords EU Financial Affairs Sub-Committee (AFB) has published written evidence (dated 1 November 2016) received from the Association of Foreign Banks (AFB) on the future of financial services in the UK following the Brexit vote.

Association of Foreign Banks, 17 November 2016

BBA Brexit quick briefs

The British Bankers' Association (BBA) has launched a webpage on a number of Brexit "quick briefs": a series of short papers intended to inform readers about key commercial, regulatory and political considerations relating to Brexit and banking.
British Bankers' Association, 14 November 2016


EU

EBA letter to FISMA on RTS on conditions for capital requirements for mortgage exposures under the Capital Requirements Regulation

The EBA has published a letter from Andrea Enria, EBA Chairman, to Olivier Guersent, Director-General, DG of Financial Stability, Services and Capital Markets Union (FISMA), on the status of regulatory technical standards on conditions for capital requirements for mortgage exposures under the Capital Requirements Regulation (Regulation 575/2013).
EBA, 11 November 2016

EBA list of public sector entities for the calculation of capital requirements

The EBA has published a list of EU public sector entities that will assist EU institutions in determining their capital requirements for credit risk. This has been compiled on its own initiative to supplement the requirements laid down in Article 116 of the Capital Requirements Regulation.
EBA, 18 November 2016

Speech on banking reforms from EC

The European Commissioner for Financial Stability, Financial Services and Capital Markets Union has given a  speech on the EC's approach to regulating the banking sector in the EU. Reforms have been proposed in the following areas:

  • Leverage ratio and NSFR
  • Pillar 2
  • Bank financing of the economy
  • Proportionality
  • Trading Book

European Commission, 15 November 2016

Speech on European banking sector and priorities from ECB

The European Central Bank (ECB) has published a speech in which Sabine Lautenschlager, Executive Board member and Supervisory Board Vice-Chair, takes "a quick pulse check" of the banking sector in Europe. Key points covered include:

  • Resilience of banking confirmed by EU-wide banking stress test
  • Priority focus on viability of banks' business models
  • ECB review identifying that many euro area banks need to improve conduct of business and management of risk to achieve international best practices
  • Planned review of internal models which banks use to calculate their risk-weighted assets, involving over 100 assessments in 2017
  • Focus on credit risk and issue of non-performing loans

European Central Bank, 15 November 2016

ECB consults on draft guide to SSM fit and proper assessments

The European Central Bank (ECB) has published a consultation paper on a draft guide to fit and proper assessments for members of the management bodies of significant credit institutions under the single supervisory mechanism (SSM). It has also published Q&As on the consultation.
ECB, 14 November 2016