PRA Regulatory Digest - UK Financial Services Regulatory News

Bank of England Prudential Regulation

Published March 2nd, 2026

Detected March 6th, 2026

Summary

The PRA published its February 2026 Regulatory Digest, highlighting key financial services regulatory news and publications. This includes consultations on securitisation reforms, rule changes for overseas prudential requirements, and updates to Solvency II rules, alongside a discussion paper on future banking data.

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What changed

The Prudential Regulation Authority (PRA) has released its February 2026 Regulatory Digest, summarizing significant regulatory updates for the UK financial services industry. Key items include Consultation Paper (CP) 2/26 proposing reforms to securitisation requirements, CP3/26 detailing PRA rule changes to accommodate HM Treasury’s Overseas Prudential Requirements Regime, and CP4/26 addressing UK Solvency II Own Funds. A discussion paper (DP1/26) on future banking data usage for supervisory and policy purposes was also published.

Firms operating in the UK financial services sector should review these publications. CP2/26 and CP3/26 are open for consultation, requiring firms to submit feedback by their respective deadlines. The updates to Solvency II and branch reporting (BRT001) may necessitate immediate review of current policies and reporting procedures. The discussion paper on future banking data signals potential future changes in data collection and supervisory practices, warranting attention from relevant compliance and data management teams.

What to do next

Review CP2/26 and CP3/26 for proposed changes to securitisation and overseas prudential requirements.
Assess impact of CP4/26 on Solvency II own funds calculations and expectations.
Monitor future developments related to DP1/26 on future banking data collection and usage.

Source document (simplified)

PRA Regulatory Digest – February 2026

The PRA Regulatory Digest is for people working in the UK financial services industry and highlights key regulatory news and publications delivered for the month.

Published on

02 March 2026

Top news and publications

DP1/26 – Future Banking Data
CP2/26 – Reforms to securitisation requirements
CP3/26 – PRA rule changes to accommodate HM Treasury’s Overseas Prudential Requirements Regime
CP4/26 – UK Solvency II Own Funds: Updates and fixes to rules and expectations
PS5/26 – Credit Union Service Organisations

Cross cutting publications

CP2/26 – Reforms to securitisation requirements

17 February 2026

This consultation paper (CP) sets out the PRA’s proposed rules and expectations for PRA-authorised firms participating in securitisations. The proposals mainly relate to the securitisation general (or conduct) requirements, although certain proposals relate to securitisation capital requirements for Capital Requirements Regulation (CRR) firms.

Banking publications and updates

Update on Branch Returns (BRT001)

1 March 2026

From 1 March 2026, the PRA has updated the version number of the BRT001 data item as published in PS6/25 - International Firms: Updates to SS5/21 and Branch reporting. The new version is now available to download from the Banks website Banks, building societies and investment firms.

This data item will continue to be collected via the Bank of England Electronic Data Submission (BEEDS) portal.

For more information, please see Reporting guidance for the Branch Return and Branch Return: Q&As

DP1/26 – Future banking data

4 February 2026

The DP sets out how the PRA uses data for supervisory, operational, and policy purposes including supporting risk assessment, to confirm compliance with its rules, for peer group analysis, for financial stability monitoring, and for policy analysis, research, and evaluation. The PRA uses a wide range of regulatory data covering capital and liquidity, credit quality, market and counterparty risk and many other aspects of firm risk and performance. Regulatory data are supplemented by management information provided by firms – which is central to building the PRA’s understanding of how firms are taking decisions – and ad-hoc data collections that focus on new and emerging issues.

CP3/26 – PRA rule changes to accommodate HM Treasury’s Overseas Prudential Requirements Regime

19 February 2026

This consultation paper (CP) sets out the Prudential Regulation Authority’s (PRA) proposed amendments to its rules to reflect the implementation of HM Treasury’s intended Overseas Prudential Requirements Regime (OPRR). The OPRR has been designed to restate, with modifications, a number of existing CRR equivalence provisions in legislation. HM Treasury consulted on the creation of the OPRR in July 2025 and published its response to this consultation, alongside the draft Overseas Prudential Requirements Regime (Credit Institutions and Investment Firms) Regulations 2026 (‘the draft OPRR SI’) on 19 February 2026.

PS5/26 – Credit Union Service Organisations

20 February 2026

This Prudential Regulation Authority (PRA) policy statement (PS) provides feedback to responses the PRA received to consultation paper (CP) 13/25 – Credit Union Service Organisations. It also contains the PRA’s final policy, as follows:

amendments to the Credit Unions Part of the PRA Rulebook (Appendix 1); and
updates to SS2/23 – Supervising credit unions (Appendix 2).

Insurance publication and updates

CP4/26 – UK Solvency II Own Funds: Updates and fixes to rules and expectations

25 February 2026

This CP proposes the restatement into PRA supervisory statements of the remaining relevant EIOPA guidelines on classification of own funds and ancillary own funds, with some targeted changes, which should also improve the clarity of the UK own funds framework.

PRA statement on the life insurance stress test in 2028

27 February 2026

The PRA published a statement providing an early indication to industry of the Prudential Regulation Authority’s (PRA) intent to launch the next Life Insurance Stress Test (LIST) exercise in January 2028.

More information

Bank Underground – a blog for Bank of England staff to share views that challenge – or support – prevailing policy orthodoxies. The views expressed here are those of the authors, and are not necessarily those of the Bank of England or its policy committees.

Bank Insights – our internal analysis on important and topical issues.

Explainers – from interest rates and inflation through to bank failures and financial crises, Explainers uses everyday examples and engaging visuals to bring economics to life.

European and International developments – readers are referred to the following websites: