The PRA published the supervisory statement SS 2/24 in March 2024 where it set out the new rules and expectations for non-systemic banks and building societies. The proposed Solvent Exit exercise expects the firms in scope to make preparations for ‘Solvent Exit’ as part of their BAU activities. The crux of the regulation is: orderly wind down after returning or transferring deposits and cancellation of the Part 4A PRA permission.

Financial Services firms face global economic pressures, including fluctuating interest rates, geopolitical tensions, and stringent regulatory requirements. Rapid technological advancements like Blockchain and Generative Artificial Intelligence (Gen Al) add to the complexity of the landscape. To thrive, firms must set ambitious strategic goals, building on a foundation of operational excellence to innovate and remain competitive. It has never been more difficult for those in charge of operations to know where to place their bets. With this whitepaper we aim to simplify all of that.

Valentia Partners evaluates the challenges associated with implementing the Trading Activity Wind Down (TWD) requirements outlined in the PRA’s Supervisory Statement SS1/22 of May 2022, with a focus on meeting the regulation deadline of March 2025. We also explore enhancements for any potential post-implementation Book of Work (BoW); and suggest areas where regulatory forbearance from the PRA could be sought.

Valentia Partners on LinkedIn: As a firm much of our work is with large establishing Financial institutions, but we have also worked with, and been involved building, Fintechs and Neobanks.

Valentia Partners on LinkedIn: As Covid 19, Brexit and low interest rates continue to cast a shadow over economic prospects, one of the common themes across many of Valentia’s financial services clients in the last quarter of this year is how to cut costs in 2021 without cutting service.

Valentia Partners on LinkedIn: Nearly 10 years ago, during the height of the last financial crisis, Valentia staff were working on capital adequacy with a subsidiary of a very large European bank.