UK Finance's Response to PRA's CP5/26 - Modernising the liquidity policy framework

We agree that ensuring the framework evolves in line with developments in the financial system is crucial to maintaining an effective, proportionate and forward-looking prudential regime. Also, we highlight the importance of the UK taking an approach that is aligned with developments in other major jurisdictions and remains internationally competitive. 

We welcome the opportunity to respond to the PRA’s consultation paper CP5/26 – Modernising the Liquidity Policy Framework. This response reflects views from a broad range of UK Finance member firms of different sizes, complexity, business models and customer bases.