PRA reminds firms on protected deposit reporting requirements

The PRA has reminded firms that the “class A tariff base” for reporting under the Depositor Protection rules includes both covered deposits and the total balance of any deposits in any account which holds funds to which the account holder is not absolutely entitled, or safeguarded funds. It clarifies that if a firm is in doubt as to whether a deposit may be protected, it should include it in these figures.

The guidance also reminds international banks of how the rules apply to them and notes that potential FSCS liability is a key factor the PRA considers when assessing whether an international bank can conduct retail activities through a UK branch.