EBA launches public consultation on draft standards on the eligibility criteria for granting simplified obligations for recovery and resolution planning. The EBA announced its launch of a public consultation on its draft Regulatory Technical Standards further specifying the eligibility criteria to determine whether institutions should be subject to simplified obligations when drafting their recovery and resolution plans. The consultation runs until August 8, 2017. (5/8/2017)
EBA publishes final draft Technical Standards under the Payment Accounts Directive to enhance transparency and comparison of payment account fees. The EBA announced its publication of its final draft Technical Standards setting out the standardized terminology for services linked to a payment account, and the standardized formats and common symbol of the fee information document (FID) and the Statement of Fees (SoF). These Technical Standards contribute to enhancing comparability of fees, through standardized terminology and disclosure documents across the European Union. (5/5/2017)
EBA consults on Guidelines on security measures for operational and security risks under the PSD2. The EBA announced its launch of a consultation on its draft Guidelines on security measures for operational and security risks under the revised Payment Services Directive. The consultation runs until August 7, 2017. (5/5/2017)
EBA issues amended technical standards on benchmarking of internal approaches. The EBA announced that it has published an amended version of its Implementing Technical Standards on benchmarking of internal approaches. (5/4/2017)
Joint FSMA-ESMA statement regarding Euribor. ESMA and the Financial Services and Markets Authority (FSMA) of Belgium announced that they have issued a joint statement regarding the Euribor benchmark. (5/4/2017)
European Commission proposes simpler and more efficient derivatives rules. The EC proposed some targeted reforms to improve the functioning of the derivatives market in the EU. The reforms provide simpler and more proportionate rules for over-the-counter derivatives to reduce costs and regulatory burdens for market participants without compromising financial stability. (5/4/2017)
European Commission takes next step in Article 50 process by recommending draft negotiating directives. The EC announced that the College of Commissioners has sent a recommendation to the European Council to open Article 50 negotiations with the United Kingdom. The recommendation includes draft negotiating directives. See EC’s draft negotiating directives for Article 50 negotiations with the United Kingdom - Q&A. (5/3/2017)
Statement by EC and ECB staff following the seventh post-program surveillance visit to Spain. Staff from the European Commission, in conjunction with staff from the European Central Bank, carried out the seventh post-program surveillance visit to Spain on April 24-26, 2017. (4/28/2017)
FCA releases updated appropriate qualification exam standards. The UK Financial Conduct Authority published a policy statement that establishes final, updated appropriate exam standards for appropriate qualifications for staff working in financial services that are listed in FCA’s Training and Competence sourcebook. (5/9/2017)
BOE announces plans for new real-time gross settlement service. The Bank of England issued its blueprint for a renewed Real-Time Gross Settlement service, which is designed to respond to the changing structure of the financial system; simplify payment pathways; increase capacity and work with new payment technologies; ensure continued resilience in the face of evolving threats; and support the evolution of regulatory and monetary policy tools. (5/9/2017) BOE press release.
MREL data for large UK banks. The BOE released indicative data on the minimum requirements for eligible liabilities and own funds that larger UK banks and building societies will be required to hold when interim requirements become effective on January 1, 2020. Final MREL requirements will take effect in 2022. (5/5/2017) BOE press release.
BOE, PSR respond to plan to consolidate operators of payment systems. The BOE and the Payment Systems Regulator issued a joint statement in response to Payment System Operator Delivery Group’s report recommending a delivery plan for the consolidation of the operators of three payment systems. The BOE and the PSR concluded that the consolidation plan would help to facilitate the transition to a New Payments Architecture that could spur innovation and competition in payments. (5/4/2017) BOE press release.
FCA issues final guidance on remuneration in CRD IV firms. The FCA published a policy statement that responds to the feedback it received to its consultation on Handbook changes and guidance on remuneration requirements under the Capital Requirements Directive IV. The FCA also published finalized guidance on requirements for remuneration policies that apply to CRD IV firms. (5/3/2017)
FCA finalizes approach to enforcing the duty of responsibility. The FCA released a policy statement that establishes how it will enforce the duty of responsibility under the Senior Managers Regime, which permits the FCA and the Prudential Regulation Authority to take action against Senior Managers if they fail to take steps to prevent violations of regulatory requirements by their firm in their areas of responsibility. (5/3/2017)
FCA extends whistleblowing regime to UK branches of foreign banks. The FCA published a policy statement that finalizes its approach to extending its rules requiring banks and insurers to introduce whistleblowing procedures internally to UK branches of overseas banks. (5/3/2017)
FCA applies conduct rules to NEDs in the banking and insurance sectors. The FCA issued a policy statement that contains final rules to extend its conduct rules in the Code of Conduct sourcebook to standard non-executive directors in banks, building societies, credit unions and dual-regulated investment firms and insurance firms. The new rules will become effective on July 3, 2017. (5/3/3017)
FCA summarizes changes to disclosure rules to reflect PRIIPs Regulation. The FCA published a policy statement that details the changes to disclosure requirements following the introduction of the Packaged Retail and Insurance-based Investment Products Regulation key information document, and establishes final rules and guidance. The final rules will apply from January 1, 2018. (5/2/2017) FCA press release.
PRA clarifies expectations on maintenance of TMTP under Solvency II. The PRA released a policy statement that establishes the PRA’s expectations for maintaining the calculation of the transitional measure on technical provisions under Solvency II both at outset and over the transitional period. The PRA updated its supervisory statement on the maintenance of the TMTP to reflect the PRA’s expectations set out in the policy statement. (4/28/2017) PRA press release.
PRA makes Solvency II supervisory disclosures. The PRA published supervisory disclosures as required by the Solvency II Directive, which include aggregate statistical data on key aspects of the application of the prudential framework; a table covering the manner of exercise of the options provided for in the Solvency II Directive; links to the texts of insurance regulations applicable in the UK; and links to the PRA’s supervisory approach. (4/28/2017)
PRA finalizes reporting requirements for operational continuity firms. The PRA released a policy statement containing final rules on reporting requirements for UK banks, building societies and UK designated investment firms that provide functions that are critical to the economy and that need to be continued in resolution. The PRA also updated its supervisory statement on guidelines for completing regulatory reports to reflect the final rules. (4/28/2017) PRA press release.
PRA publishes second set of final rules on the implementation of MiFID II. The PRA issued a policy statement containing final rules to transpose parts of the MiFID II, including management body requirements and key organizational requirements, as well as authorization and notification requirements for the operation of an organized trading facility, emission allowances, and structured deposits. The PRA also updated its supervisory statements on credit risk mitigation, third country equivalence, and internal governance to reflect the final rules. (4/28/2017) PRA press release.
PRA issues final rules on whistleblowing in non-EEA UK branches. The PRA issued a policy statement that finalizes rules requiring UK branches of non-European economic area banks and both EEA and non-EEA insurers to inform employees about the PRA and FCA whistleblowing services, as well as requiring any non-EEA deposit-taker with both a UK branch and UK subsidiary which is subject to the existing whistleblowing rules to notify the UK branch staff about the subsidiary’s whistleblowing channel. (4/26/2017) PRA press release.
BOE announces new UK Money Markets Code. The BOE published a new, voluntary Money Markets Code, which outlines standards and best practices for participants in the deposit, repo and securities lending markets. The new Code supersedes and substantively updates existing guidance for participants in these markets. (4/26/2017) BOE press release.