AFB Virtual Seminar: Basel 3.1 – Implementation of Phase 2 – Final Rules on Credit Risk

On 12 September, the PRA will publish its policy statement on Basel 3.1 Phase 2 near-final rules, which are applicable to all banks and building societies, due to come into force on 1 July 2025. The Policy Statement covers the near-final policy material relevant to credit risk framework, as well as feedback to responses on Pillar 2 relating to the Pillar 2A credit risk methodology, use of IRB benchmarks, and the interaction with the output floor.

AFB will partner with  EY for a virtual seminar that will cover the contents of the policy statement with a focus on the implementation of the changes to Credit Risk rules under standardised and internal ratings-based approaches.

Why attend?

The Phase 2 near-final rules highlight changes in several exposures within the Standardised Credit Risk framework including the removal of SME factor, introduction of new sub-exposure classes within retail and real-estate portfolios and changes to Internal Rating Based approach, among others. These changes will materially impact the banking portfolio, risk weighted assets and capital requirements and firms will need to consider the impact to systems, data sourcing, regulatory interpretations, calculations, and reporting. 

EY’s Prudential Regulatory team has extensive experience supporting financial institutions’ implement, review, and assure regulatory rules and reporting. Attendees will leave with an understanding of the rules in the policy statement, key changes from previous consultation papers as well as the implications of the policy statement on their capital requirements and reporting framework.

Who should attend?

This seminar is aimed at Finance, Compliance and Risk teams as well as those responsible for regulatory reporting. 

Speakers

Linesha Mandry

Linesha leads EY’s Prudential Regulatory Assurance and has over eighteen years’ experience in industry and with EY in capital and liquidity management and prudential regulation. Linesha also has significant experience supporting financial institutions uplift and remediate regulatory reporting errors, risk management frameworks, operating models, and controls.

James Bateman

James is partner in EY’s Prudential Regulatory Assurance practice and has over twenty years’ experience of auditing and advising banking and capital markets clients in both London and New York. In recent years, James has acted as skilled person on several regulatory reporting s166 reasonable assurance reviews and has significant experience providing assurance over prudential regulation requirements.

Shiela Marie Antonio

Shiela is a Senior Manager in EY’s Prudential Regulatory Assurance practice and has over twelve years’ experience prudential regulatory assurance and advisory practice covering EU and UK requirements. Shiela has extensive experience leading and delivering regulatory assurance, including s166 Skilled Persons reviews, readiness reviews, and remediation programmes. Shiela also works on regulatory change and risk transformation projects aimed at enhancing regulatory reporting framework.

Dabeer Hassan

Dabeer is a Senior Manager in EY’s Prudential Regulatory Assurance practice and has over thirteen years’ experience in prudential reporting and prudential assurance mainly focusing on capital and liquidity management. Dabeer has led regulatory assurance engagements over prudential reporting, advisory projects covering capital strategy review and RWA optimisation review. Dabeer has also worked on long-term client secondments for s166 risk remediation, s166 readiness review and operational risk remediation.

Logistics

Cost:        Included in AFB membership (no fee)

Format:   Online via Teams 

Date:       Tuesday, 15 October 2024

Time:       09:00 – 10:15

If you would like to submit a question or have any specific areas that you would like the session to address, please send them to AFB at secretariat@foreignbanks.org.uk You will receive details on how to join this session a week before the event.