Bank of England: Supervising international banks: Revision of the branch return

08 April 2019

In this consultation paper (CP), the Prudential Regulation Authority (PRA) sets out its proposals for changes to the format and content of the Branch Return Form (the Return), and additional guidance to assist firms in completing it.

This CP is relevant to all existing and prospective PRA-supervised branches of deposit-takers and designated investment firms which are not UK headquartered firms (‘international banks’).

The Return informs the PRA’s understanding of branches’ systemic importance and economic functions and facilitates the PRA’s approach to the supervision of branches, as set out in Supervisory Statement (SS) 1/18 ‘International banks: the Prudential Regulation Authority’s approach to branch authorisation and supervision’. The changes would improve the quality of the information provided by firms and enhance the Return’s ability to meet these objectives in SS1/18.

The proposals would amend the Return in Rule 4.1 of the Incoming Firms and Third Country Firms Part of the PRA Rulebook and create reporting instructions for the form in SS34/15 ‘Guidelines for completing regulatory reports’.

The PRA proposes to:

• provide guidance for completion of the Return in SS34/15 alongside the other reporting guidance for deposit takers and investment firms;
• align balance sheet concepts used in the Return with concepts and guidance used in the PRA’s wider reporting framework, eg by requiring assets to be broken down into the standard categories of ‘Loans and advances’, ‘Derivatives’ etc;
• amend the reporting content, slightly reducing the number of data points reported by most firms;
• clarify that firms must report within 30 business days; and
• replace the current Excel reporting format for the Return with the XBRL reporting format.

This consultation closes on Sunday 7 July 2019.

Full news

Consultation paper

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