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PRA Financial Regulation in the UK
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cifa.ac
1 post
Jan 07, 2025
4:05 AM
The Prudential Regulation Authority PRA financial regulation UK is part of the Bank of England and is responsible for ensuring the stability and soundness of financial institutions in the UK, particularly banks, building societies, credit unions, insurers, and major investment firms. Its primary objective is to protect and enhance the resilience of the financial system, ensuring that firms can absorb financial shocks and continue to operate in the event of economic stress.

PRA regulations focus on capital requirements, risk management, liquidity, and governance standards. The authority sets minimum capital and reserves that firms must maintain to ensure they can meet their obligations and mitigate potential risks. The PRA also monitors firms' conduct to prevent financial instability and ensures that institutions have effective risk management strategies in place.

Through its regulations, the PRA plays a crucial role in safeguarding the financial system, maintaining consumer confidence, and ensuring long-term economic stability in the UK.
compassrevolution
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Jan 07, 2025
7:13 PM
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