How do we exercise our investigation and enforcement powers?
Our Approach to Enforcement explains what we expect of PRA-authorised firms and FMIs and how we use our powers.
The Bank has a number of investigatory and enforcement powers under the various statutory regimes for which it has regulatory responsibility, specifically:
- Prudential supervision by the PRA;
- Supervision of FMIs;
- Resolution; and
- The Scottish and Northern Ireland banknotes regime
The Approach to Enforcement provides an overview of the Bank’s enforcement powers under the Financial Services and Markets Act 2000 (‘FSMA’), the Banking Act (‘BA09’) and any other legislation under which the Bank has civil or criminal enforcement powers.
Before taking disciplinary action against a firm or an individual, we usually investigate whether (and if so, which) regulatory requirements have been breached. Our Approach to Enforcement includes statements of policy and procedure relating to:
- statutory notices and decision making
- financial penalties
- suspensions and restrictions
- settlement
- publicity of regulatory action
the conduct of interviews pursuant to section 169(7) FSMA.
For more information on the Bank’s Statement of Policy and procedure which applies to contested PRA enforcement cases please see the Enforcement Decision Making Committee page.
The ‘Bank’s Investigation Referral Criteria’ sets out the considerations we take into account when deciding whether or not it is appropriate for us to investigate a matter, and to determine which of our responses and/or investigation tools is appropriate.
The Bank’s ‘Regulatory Investigations Guide’ provides, at a high level, a ‘roadmap’ of our investigation and enforcement processes. It is intended as a reference for firms and individuals who are the subjects (or potential subjects) of a PRA or FMI investigation, and their advisors.
