In Mervyn King's last Mansion House speech as Governor of BoE, he discussed the results of a survey by the Prudential Regulation Authority (PRA) following the Financial Policy Committee (FPC) recommendation that banks' capital be assessed using more prudent estimates of expected losses and risk weights. This has resulted in the eight largest banks showing a capital shortfall of around £25 billion relative to the recommendations. All will now plan for filling the shortfall. (Source: Mansion House Speech Reveals Bank Shortfalls and PRA Completes Capital Shortfall Exercise