In the post COVID-19 world, firms across financial services with regulated UK legal entities are focused on how to address the proposed Operational Resilience FCA/PRA regulations, as set out within the consultation papers issued jointly by the Bank of England, Prudential Regulatory Authority (PRA) and Financial Conduct Authority (FCA) at the end of last year. 

They face several challenges due, in part at least, to the outcomes-based approach of the UK supervisory authorities which introduces a level of subjectivity into the compliance preparations. We will discuss some of the more significant challenges in this paper as well as outlining some ways to mitigate them. Further information on the Operational Resilience framework that the UK authorities are proposing can be found in Capco’s White Paper published on the topic earlier this year.