Issue 1156 / 21 April 2022

UK Government

Court and tribunal decisions - made available on the National Archives website - 19 April 2022

The Ministry of Justice and HM Courts & Tribunals Service have announced that new court and tribunal decisions from the UK Supreme Court, Court of Appeal, High Court and Upper Tribunals are now available on the National Archives’ website. The online service will be free and records will be easily searchable, including on mobile phones.

Over the coming months and years, the National Archives will work with the Ministry of Justice and the judiciary to expand coverage of published material, including judgments from the lower courts and tribunals.

Press release

Bank of England

Outsourcing and third party risk management - Bank of England publishes three consultation papers - 14 April 2022

The Bank of England (the Bank) has published three consultation papers on outsourcing and third party risk management in financial market infrastructures (FMIs). The consultations aim to:

  • facilitate greater resilience and the adoption of the cloud and other new technologies, as set out in the Bank’s response to the ‘Future of Finance’ report;
  • set out the Bank’s requirements and expectations in relation to outsourcing and third party risk management in FMIs; and
  • complement the Bank’s March 2021 supervisory statements on FMI operational resilience.

More specifically, the Bank’s three consultation papers cover: (i) central counterparties (CCPs); (ii) central securities depositories (CSDs); and (iii) recognised payment system operators (RPSOs) and specified service providers (SSPs).

On CCPs and CSDs, the Bank is consulting on draft supervisory statements that introduce a set of non-binding supervisory expectations, which will provide FMIs with guidance on how the Bank intends to assess compliance with the regulatory framework on outsourcing and third party risk management.

For RPSOs and SSPs, the Bank is proposing to develop an outsourcing and third party risk management part to add to the Code of Practice (Code) published under section 189 of the Banking Act 2009. The Bank is also consulting on a draft supervisory statement that introduces a set of supervisory expectations to complement the Code. These expectations are non-binding but will provide relevant RPSOs and SSPs with guidance on how the Bank intends to assess compliance with the outsourcing and third party risk management part of the Code.

The deadline for responses is 14 July 2022. The Bank intends to publish its final policy in H2 2022.

Consultation Paper: Outsourcing and third party risk management: Central Counterparties

Consultation Paper: Outsourcing and third party risk management: Central Securities Depositories

Consultation Paper: Outsourcing and third party risk management: Recognised Payment System Operators and Specified Service Providers


Prudential Regulation Authority

PRA Business Plan 2022/23 - 20 April 2022

The PRA has published its business plan for 2022/23, which sets out its strategy, work plan and budget for the coming year. The PRA has replaced its eight strategic goals with four strategic priorities:

  • retain and build on the strength of the banking and insurance sectors delivered by the financial crisis reforms: the PRA is preparing to take on new rule-making responsibilities following the expected introduction of the Future Regulatory Framework (FRF). This will help keep the framework fit-for-purpose and will allow for more effective tailoring of rules to UK markets and firms;
  • be at the forefront of identifying new and emerging risks, and developing international policy: the PRA discusses the war in Ukraine, climate change, the transition from the London Interbank Offered Rate (LIBOR), digitalisation, AI and machine learning, and notes that its horizon-scanning programme is at the heart of the delivery of this programme. The PRA intends to seek out and tackle regulatory arbitrage, dangerous practices and features of the regulatory regime that are not yet delivering the desired results;
  • support competitive and dynamic markets in the sectors that the PRA regulates: the PRA will appropriately balance its primary and secondary objectives and, in particular, proportionality issues for small banks, such as variations in the use of risk-weights and internal models in light of changes following the EU withdrawal. The PRA will also aim to reduce barriers to growth and exit, and will develop its domestic and international policies on competition to advance safety, soundness, competition and competitiveness; and
  • run an inclusive, efficient and modern regulator within the Bank of England: the PRA intends to continue building a place where ‘staff feel safe and empowered’, where decisions are taken at the right level and where inclusivity is championed. It notes that any changes will take into account developments in regulatory technology, address inefficiencies and leverage the benefits of being a regulator within the Bank of England.

The PRA highlights that its strategic priorities recognise that the resilience of the banking and insurance sectors are materially improved after over a decade of financial crisis reforms. Its focus has now shifted to maintaining this improved level of resilience while tailoring rules more effectively to UK markets and firms.

The PRA has also included details of its budget for 2022/23. This is set at £320.9 million, which includes implementation and transaction fees of £8.4 million, and is an increase of £24.3 million (8.2%) on the 2021/22 budget.

The PRA will publish its Annual Report for 2021/22 in June 2022, which will include the progress made on the activities set out in its business plan for 2021/22.

PRA Business Plan 2022/23


Regulated fees and levies 2022/23 - PRA publishes Consultation Paper (CP4/22) - 20 April 2022

The PRA has published a Consultation Paper (CP4/22) on its regulated fees and levies for 2022/23. The proposals relate to:

  • the annual funding requirement (AFR), which consists of the budgeted costs of ongoing regulatory activities (ORA). The proposed ORA for 2022/23 has increased by £9.8 million to £297.5 million;
  • fees for firms in the temporary permissions regime;
  • changes to the internal model application fees and the model maintenance fee;
  • changes to the special project fees for restructuring fees; and
  • how the PRA intends to distribute a surplus from the 2021/22 AFR, and the distribution of retained penalties for 2021/22.

The proposed amendments to the Fees Part of the PRA Rulebook are set out in Appendix 1 to the Consultation Paper.

The deadline for responses is 20 May 2022. The PRA intends to publish a policy statement with final rules on 4 July 2022. The rules are expected to enter into force on 6 July 2022.

PRA Consultation Paper: Regulated fees and levies: Rates proposals 2022/23 (CP4/22)


Financial Conduct Authority

Diversity on listed company boards and committees - FCA publishes Policy Statement (PS22/3) on amendments to LRs and DTRs - 20 April 2022

The FCA has published a Policy Statement (PS22/3) on proposals to include provisions in the Listing Rules (LRs) and the Disclosure Guidance and Transparency Rules (DTRs) that address the diversity of boards and executive committees. Appendix 1 to the Policy Statement sets out the draft handbook instrument that will make the proposed changes. The Policy Statement follows the FCA’s Consultation Paper (CP21/24) on the proposals, published in July 2021.

The FCA indicates that it is proceeding with the rules on a broadly similar basis to that proposed in the consultation. It provides more flexibility for companies on:

  • how they collect and report data relating to the representation of women; and
  • the data reporting requirements for companies with board members or executive management situated overseas. Feedback to the consultation noted that local privacy and data protection laws may prevent companies from asking for the relevant data that they are required to report.

In light of this, the FCA explains that it has also added requirements for additional transparency from issuers on their approach to collecting the data used for the purposes of the FCA’s reporting requirements. The FCA believes this will ensure that investors can meaningfully compare the data provided by issuers. It has also made small changes to the text of its proposed target in relation to individuals from minority ethnic backgrounds, against which companies will also need to report.

The FCA intends to review this policy in three years to assess its impact. It will then consider whether to revise the targets within the rules and whether to consider targets on other aspects of diversity.

The FCA’s final rules will apply to accounting periods starting on or after 1 April 2022. The new disclosures will start to appear in annual financial reports published from around Q2 2023 onwards. However, the FCA encourages companies whose financial years began from 1 January 2022 to consider reporting on the targets, and making numerical disclosures, in relation to their current accounting period on a voluntary basis.

FCA Policy Statement: Diversity and inclusion on company boards and executive management (PS22/3)

Listing Rules and Disclosure Guidance and Transparency Rules (Diversity and Inclusion) Instrument 2022 (FCA 2022/6)


Press release