PRA has published a policy statement setting out amendments it will be making to its approach to identifying other systemically important institutions (O-SIIs). The statement also contains PRA’s feedback to the responses to its Consultation Paper (CP) 13/22 ‘Amendments to the PRA’s approach to identifying O-SIIs’.
The amendments include:
- the removal of the European Banking Authority’s (EBA) scoring methodology from the O-SII identification process, and deletion of the EBA Guidelines, such that the scores used to inform O-SII identification are based solely on the PRA’s scoring methodology; and
- updates to specific indicators and weights in the PRA’s scoring methodology for O-SII identification.
PRA has also updated references related to the UK’s membership of the EU to reflect the UK’s withdrawal from the EU.
The changes set out in the statement came into effect on 29 November 2022. PRA published the 2022 list of firms designated as O-SIIs at the same time.