On 30 January 2024, the Bank of England (the Bank) and Prudential Regulation Authority (PRA) published Policy Statement PS1/24 which sets out a revised approach to enforcement for both PRA firms and financial market infrastructure firms. It followed Consultation Paper CP9/23 published in May 2023. There is now a new consolidated Bank enforcement approach which sign-posts the range of enforcement powers at the Bank’s disposal and draws together the previous enforcement statements of policy into a consolidated document.
There are a number of incoming changes, including: (i) a new option for early cooperation called the Early Account Scheme (the EAS or Scheme), with the availability of a new enhanced settlement discount of up to 50%; and (ii) changes to the approach to financial penalties for firms and individuals.
In our latest briefing, we summarise the Policy Statement’s key changes to enforcement, as well as their potential impacts.