These rules and supervisory statement are relevant to holding companies, mixed financial holding companies, mixed activity financial holding companies, banks, building societies, and PRA-designated investment firms.
This PRA policy statement contains final rules on recovery (SS18/13) and resolution planning (SS19/13) and is accompanied by two supervisory statements. Together these documents set out the PRA’s recovery and resolution planning framework.
A core aspect of the Prudential Regulation Authority’s (PRA) approach is that it will ensure preparedness for either recovery or resolution of a failing firm.
The rules and supervisory statement take effect from 19 January 2015, except for the rules to require a contractual clause recognising bail-in powers in liabilities governed by the law of a third country. These rules will be phased in over two years starting with the first phase, which applies to debt instruments, commencing on 19 February 2015. The second phase, which applies to all other relevant liabilities will commence on 1 January 2016, as set out in the final rules.
The Recovery planning supervisory statement sets out the PRA’s expectations for firms’ recovery plans.
This supervisory statement was updated on 16 January 2015 to include the PRA's expectations on scenario testing and the wind-down analysis.
Full information
Recovery planning
Resolution planning
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