UK PRA Publishes Near-Final Basel 3.1 Rules, Consults on Capital Framework on September 27

The UK Prudential Regulation Authority (PRA) has published near-final Basel 3.1 rules and is consulting on streamlining the Pillar 2A capital framework and capital communications process. Additionally, the PRA has released a second near-final policy statement on the implementation of Basel 3.1 standards and is consulting on the restatement of UK Capital Requirements Regulation Rulebook requirements. These developments were announced on September 27. In related news, UK financial regulators are set to bolster banks’ use of significant risk transfers by making it easier to conduct 'unfunded' deals, where banks use insurance to cover potential loan losses. The updates were reported by Cadwalader.