The Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA) on Wednesday launched the New Bank Start-up Unit. The unit is a joint initiative from the U.K.’s financial regulators giving information and support to newly authorized banks and those thinking of becoming a new bank in the United Kingdom.
The standalone unit, which will be staffed by personnel from both regulators, will help firms navigate the process of becoming a bank, and will provide focused supervisory resources and support during the early years of operation.
“The New Bank Start-Up Unit will help those who want to start a new bank in the U.K. navigate the regulatory process. Increasing competition in the banking sector is important for consumers and the new unit will offer firms an accessible way to find the information they need to get themselves authorized,” says Tracey McDermott, acting CEO of the FCA.
“These new banks are a key part of bringing innovation to the sector, particularly where there is a gap in the market — whether it is the service they provide, the customers they target, the products they sell or the technology they use,” adds Andrew Bailey, deputy governor, prudential regulation at the Bank of England and CEO of the PRA.