The PRA has set out its approach to policy under the FSMA 2023 regulatory framework, which gave the regulatory wider rule making responsibilities and enhanced accountability requirements.
The Approach document has now been updated to reflect:
- the PRA’s approach to secondary objectives, particularly the secondary competitiveness and growth objective (SCGO) – although the relevant chapter of the Approach document was not subject to consultation given it is a factual representation of the PRA’s legal framework as established by Parliament:
- the PRA intends to take a proactive approach to the SCGO and notes that this will have a material impact on how it develops policy; and
- the implementation of international standards, particularly a commitment to achieving a ‘largely compliant’ rating under assessments of the UK regulatory framework carried out by relevant international bodies.
The updated Approach document was published alongside the PRA’s policy statement, and took effect on 20 February 2025.