CP15/21: Reform of the legacy Credit Unions Sourcebook

We are consulting jointly with the Prudential Regulation Authority (PRA) on reforming some of our rules for credit unions.

Why are we consulting on this?

When we took over from our predecessor organisation, the Financial Services Authority, on 1 April 2013 the FCA and the PRA inherited the legacy Credit Unions Sourcebook (CREDS) and each regulator adopted its own version by designating its provisions as ‘PRA only’, ‘FCA only’ or ‘shared’.

We are now proposing changes to this. The PRA’s proposals deal exclusively with matters affecting the financial safety and soundness of credit unions and our proposals concern the ways in which credit unions conduct business.

CP15/21: Reform of the legacy Credit Unions Sourcebook [PDF]

Who will this affect?

The proposed changes will affect all credit unions.

What are we proposing?

The PRA is proposing to delete CREDS in its entirety, replacing it with a new Credit Unions Rulebook Part, while we propose keeping those parts of CREDS that relate to our statutory responsibilities.

At this stage, we are not proposing to make significant changes to our version of CREDS. Our changes are mainly consequential on those being made by the PRA.

Next steps

We want to know what you think. Please send your answers to the questions in the paper, and any other comments you may have, to the PRA at [email protected] by 30 September 2015 (the PRA will forward responses to us as necessary).

We will consider all feedback ahead of the publication of a Policy Statement.

Further information

See the current FCA CREDS.