Basel 3.1 delay: what it means for UK financial institutions

The Prudential Regulation Authority (PRA), in collaboration with HM Treasury, has announced a one-year postponement to the implementation of Basel 3.1 in the UK, now scheduled to take effect on 1 January 2027. Despite this revised start date, the deadline for full implementation remains unchanged at 1 January 2030, effectively reducing the transitional period.

This decision reflects the need to address ongoing uncertainty in the global regulatory environment, particularly developments in the United States, while maintaining the UK’s competitiveness and ensuring alignment with international regulatory standards.

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