The UK Prudential Regulation Authority (“PRA”) is consulting on fundamental reforms to its handbook of rules and guidance.
The PRA’s current handbook of rules and guidance is inherited largely from provisions contained in the Financial Services Authority’s (“FSA”) handbook, before its dissolution in April last year. The consultation is the first in a series of consultations designed to replace the handbook with a “PRA Rulebook”.
The PRA’s intention is that, going forward, the Rulebook will only contain rules. In a deviation from the previous FSA approach, the Rulebook will not incorporate any guidance on the application of individual rules. The PRA will instead provide guidance material in the form of “Supervisory Statements” that will be accessible separately on the PRA website.
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