FSA is consulting on a new liquidity reporting regime as part of its overall aim to strengthen liquidity controls. FSA recognises it needs to monitor liquidity at a market-wide and sectoral level, alongside firm-specific assessments. It plans to do this by getting from forms quantitative liquidity data that is granular, frequent, standardised and based on firms’ contractual commitments and exposures. FSA will use the data to conduct internal stress testing and analyses and peer comparisons. It also wants to use the data to get a consistent language for liquidity across sectors and maybe countries. FSA will expect firms to understand their risk exposures and manage them appropriately, and the complexity of the reporting requirements reflects this. It will apply the new rules to “ILAS” firms (banks, building societies, full scope BIPRU firms and bank branches). Waivers and modifications will be available and there will be a proportionate regime for simpler firms. FSA wants to go live with the new regime at the beginning of February 2010. The CP includes relevant feedback from CP08/22, and draft new rules for SUP 16 and the Glossary, with forms to back up the new requirements. FSA wants comments by 15 July.