Following the global financial crisis, the Prudential Regulation Authority (PRA) was formed in April 2013 as the UK's prudential regulator of deposit-takers, insurers and major investment firms.

The PRA has two primary objectives: a general objective to promote the safety and soundness of the firms it regulates, focusing on the adverse effects that they can have on the stability of the UK financial system; and an objective specific to insurance firms, to contribute to securing an appropriate degree of protection for policyholders. The PRA also has two secondary objectives – to act, in so far as reasonably possible, in a way which (i) facilitates effective competition in the markets for services provided by PRA-authorised firms, and, (ii) under the Financial Services and Markets Act 2023 (the 2023 Act), facilitates, subject to alignment with relevant international standards, the international competitiveness of the UK economy, and its growth in the medium to long-term.