1: Overview (paras. 1.1-1.31)

1.1 This Prudential Regulation Authority (PRA) near-final policy statement (PS) provides feedback to responses to the following chapters of consultation paper (CP) 16/22 - Implementation of the Basel 3.1 standards:

• Chapter 1 - Overview

• Chapter 2 - Scope and levels of application

• Chapter 6 - Market risk

• Chapter 7 - Credit valuation adjustment (CVA) and counterparty credit risk

• Chapter 8 - Operational risk

• Chapter 10 - Interactions with the PRA's Pillar 2 framework

• Chapter 13 - Currency redenomination

1.2 This near-final PS also contains the PRA's near-final policy material relevant to the above chapters, as follows:

• near-final PRA Rulebook: CRR Firms: (CRR) Instrument [2024] (Appendix 2);

• near-final statement of policy - Interpretation of EU Guidelines and Recommendations: Bank of England and PRA approach after the UK's withdrawal from the EU (Appendix 3);

• near-final amendments to supervisory statement (SS) 13/13 - Market risk [The existing SS wou

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