The PRA Business Plan sets out the PRA’s strategy, workplan, and budget for 2022/23. The PRA’s strategy will be delivered through the following strategic goals:
- Retain and build on the strength of the banking and insurance sectors delivered by the financial crisis reform;
- Be at the forefront of identifying new and emerging risks, and developing international policy;
- Support competitive and dynamic markets in the sectors regulated by PRA; and
- Run an inclusive, efficient and modern regulator within the central bank.
The plan also outlines the make-up of PRA’s regulated community, which is 1,432 firms altogether, of which 780 are deposit takers (320 banks, 409 credit unions and 43 building societies) and designated investment firms (8) and 652 insurers (411 general, 132 life, 45 composite), friendly societies, the London market (57 Managing Agents) and ISPVs (7). 236 are in the TPR and 9 are in the Supervised Run Off regime.
PRA’s work on financial resilience will focus on Basel 3.1 and the leverage ratio review for banks, as well as work on stress testing and internal models. For insurers, the Solvency II review is key. Further focus will be on operational risk and resilience, including critical third party policy and cyber stress testing, governance and risk management.