Six Changes To The SMCR For Banks

There might be a temptation for banks to think that the senior managers and certification regimes (SMCR) are old news, and they can just get on with the business of compliance. There are two main reasons, however, why banks may have to revisit their understanding of the SMCR. The first is a raft of changes already announced by the Prudential Regulation Authority (PRA), and due to come into effect in November. The second is the roll-out of the SMCR to all authorised firms by the Financial Conduct Authority (FCA), as proposed in its consultation paper CP17/25 (the CP). Whilst the proposed extension has been well publicised, the draft rules accompanying the CP make changes to the rules and guidance for banks, not all of which are mentioned in the CP itself.