On 7 October 2024, the draft Prudential Regulation of Credit Institutions (Meaning of CRR Rules and Recognised Exchange) (Amendment) Regulations 2024 (the draft Regulations) were published on legislation.gov.uk, along with a draft explanatory memorandum.
The draft Regulations make two changes:
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Regulations 2 and 3 make amendments to primary legislation in connection with the revocation by the Financial Services and Markets Act 2023 (FSMA 2023) of the UK Capital Requirements Regulation (CRR), which currently forms part of assimilated law on financial services. Regulation 2 amends the definition of “CRR rules” in the Financial Services and Markets Act 2000 (FSMA 2000) to include rules made by the Prudential Regulation Authority (PRA) as part of Basel 3.1 implementation to replace CRR provisions revoked under FSMA 2023. Regulation 3 makes a related amendment to section 5 of the Financial Services Act 2021 to ensure that certain requirements apply to those rules.
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Regulation 4 am