Supervision

Supervision

This overview is a guide to the Lexis+® UK Financial Services content within the Supervision subtopic, with links to the appropriate materials.

This section covers the supervision process under the prudential regulation of the PRA and conduct regulation carried out by the FCA.

'Twin peaks' regulatory structure

The financial crisis of 2007–08 led to a wholesale revision of the regulatory architecture in the UK. The replacement system, which took effect on 1 April 2013, has been labelled 'twin peaks' regulation. The twin peaks regulatory structure involves separating prudential regulation (carried out by the Prudential Regulatory Authority (PRA)) and conduct regulation (carried out by the Financial Conduct Authority (FCA)).

PRA

The PRA is a subsidiary of the Bank of England (the Bank) and regulates prudential matters for insurers, deposit takers and certain systemically important investment firms. It has a single objective—to promote the safety and soundness of regulated firms. It also contributes to the promotion of the stability of the UK financial system. It seeks to minimise any adverse effects of firm failure on the UK financial system and to ensure that firms carry on their

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