1.25 The rules relating to the definition of an SDDT, and the ability for eligible firms and consolidation entities to become SDDTs and SDDT consolidation entities, along with Glossary changes, application rules and definitions will take effect from 1 January 2024. The rules on disclosure will take effect from 1 January 2024. The other rules in this PS will take effect from 1 July 2024.

1.26 The PRA intends to consult on simplifications to Pillar 2 and buffer requirements for SDDTs and SDDT consolidation entities in Q2 2024. When the PRA consults on further potential simplifications for SDDTs and SDDT consolidation entities, it intends to do so on the basis of proposing that simplifications would apply to SDDTs and SDDT consolidation entities without SDDTs or SDDT consolidation entities needing to consent to a further modification. For example, the PRA has taken this approach to propose exempting SDDTs and SDDT consolidation entities from the proposed requirement to manage step-in risk in CP23/23 - Identification and management of step-in risk, shadow banking entities and groups of connected clients.

1.27 Unless otherwise stated, any remaining references to EU or EU-derived legislation refer to the version of that legislation which forms part of retained EU law [For further information please see: Transitioning to post-exit rules and standards.].