UK gears up to new era of prudential regulation

bank-of-england-head-on

The UK is due to end its failed experiment with a super-supervisor under the Financial Services Authority (FSA) and shift to a ‘twin peaks' form of regulation spearheaded by the Prudential Supervisory Authority (PRA) and the Financial Conduct Authority (FCA) next month. It is a move the Bank of England's deputy governor, Paul Tucker, described in October as the regulatory framework the UK needed since 'Big Bang' liberalisation took place in 1986 - just "25 years too late".

The aim of the PRA is