The Bank of England's Prudential Regulation Authority (PRA) published its 2026 supervisory priorities in sector letters to banks, building societies, insurers and other PRA-regulated firms, with a package of measures to streamline supervision. The headline change is a move of some supervisory activity, including Periodic Summary Meetings (PSMs), from an annual to a two-year cycle. PSMs are the PRA’s internal, formal reviews to assess potential risks posed by a firm to the PRA’s objectives and to set the supervisory strategy, typically followed by a letter to the firm’s board and management setting out key risks, areas of focus and any requested mitigating actions. From 1 March, larger firms will begin transitioning to the biennial cycle, while the PRA maintains regular discussion of important matters alongside ad hoc supervisory meetings. Additional streamlining measures include faster processing timelines for senior manager applications, new firm authorisations and internal ratings-based model change pre-approval applications, as well as modernising reporting requirements through the Future Banking Data project. The PRA also flagged work to develop a new UK captive regime for insurers, with a consultation planned for summer 2026 and a view to launching the regime in 2027. Supervisors will engage individually with firms on what the change means for the timing of each firm’s next PSM.
Bank of England 2026-01-15
Bank of England's Prudential Regulation Authority sets 2026 supervisory priorities and shifts Periodic Summary Meetings to a two-year cycle
The Bank of England's Prudential Regulation Authority (PRA) announced its 2026 supervisory priorities, including shifting some supervisory activities, such as Periodic Summary Meetings (PSMs), from an annual to a biennial cycle starting 1 March for larger firms. Additional measures include faster processing for senior manager applications and modernising reporting requirements, with plans for a new UK captive regime for insurers by 2027.