UK Prudential Regulation Authority Final Supervisory Statement on Waiving Disclosure Requirements

Following its consultation earlier this year, the Prudential Regulation Authority has published a final Supervisory Statement on compliance with the European Banking Authority's Guidelines on disclosure.

The EBA published final Guidelines on compliance with the regulatory disclosure requirements in the Capital Requirements Regulation on December 14, 2016. The EBA's Guidelines aim to ensure harmonized implementation of the Basel III Pillar 3 requirements that were released in January 2015. The Guidelines introduce specific guidance and formats for Pillar 3 disclosures, including tables and templates. The Guidelines apply to Globally and Other Systemically Important Institutions. However, national regulators are able to require other firms to apply the Guidelines when complying with their Pillar 3 disclosure obligations under CRR.

The EBA Guidelines include the template CCR5-B, which requires firms to disclose the composition of collateral received and posted by collateral type as well as additional information for derivative and structured finance type. National regulators are permitted to waive this disclosure requirement, where a publicly disclosed threshold and criteria are met, because it has the potential to show the existence of central bank liquidity assistance provided in the form of collateral swaps.

The PRA received no responses to the consultation and the final Supervisory Statement reflects no changes to its policy. The Supervisory Statement sets out the waiver condition and the PRA's expectations relating to firms' monitoring of the waiver condition and discretion regarding disclosure.

View the Supervisory Statement (SS6/17).

View the EBA's Guidelines on regulatory disclosure requirements.

View the final draft RTS.

View details of the PRA's consultation proposals.