This review sets out the progress we have made in implementing the changes from our March 2013 review of the requirements for firms entering into or expanding in the banking sector and the feedback we have received so far.
Why are we publishing this review?
In March 2013 the Financial Services Authority and the Bank of England published their review of requirements for firms entering or expanding into the banking sector. This review set out changes in two key areas: reforms to the authorisation process for bank applicants; and a major shift in the approach to the prudential regulation of banking start-ups.
These changes were designed to reduce the barriers to entry and expansion in the banking sector and enable increased competitive challenge to existing banks.
Over the last twelve months, the Prudential Regulation Authority and the Financial Conduct Authority have worked together to implement these changes. This review outlines the progress both regulators have made in implementing the changes and some of the changes we’ve seen.
We are also taking the opportunity to offer some clarifications and extra information where we have been told this would be helpful.
Who should read this review?
This report will be of primary interest to UK-incorporated firms that are considering applying to become retail banks and those that support firms who are applying for a banking license.
Off-the-shelf banking solutions
We have also published a separate document which sets out a number of considerations for firms who are thinking of using third-party technology or off-the-shelf banking solutions.
Want to find out more?
For more information: