We responded to the Prudential Regulation Authority’s (PRA) recent consultation on changes to the credit union regulatory regime. 

Overall our response is supportive of the proposals as a way to increase the resilience of the credit union sector.  

The proposed changes include placing higher expectations on larger credit unions and those making use of new or more complex products. They will also extend the range of products credit unions can invest in, which we believe will support growth. 

We have provided feedback on the PRA’s expectations around capital requirements, which we believe should be more supportive of the role of external investment in driving the sustainable growth of credit unions.