PRA sets out changes for credit unions

The PRA is consulting on proposed amendments to the regulatory regime for credit unions, including:

• changes to the Credit Union Part of the PRA Rulebook – these include extending the range of products available for credit unions to invest in and confirming that the current limits on unsecured lending will also apply to hire purchase and conditional sale agreements; and
• a new Supervisory Statement to supersede SS2/16 – this will set higher requirements and expectations of credit unions that pose greater risk to the PRA’s safety and soundness objective and clarify the PRA’s existing expectations in key areas.

The consultation closes on 21 December.