The draft guidelines outline expectations for institutions to adopt forward-looking strategies and incorporate scenario analysis into their management framework to assess resilience against the negative impacts of ESG factors. By Axel Schiemann, Paul A. Davies, and Nicola Higgs On 16 January 2025, the European Banking Authority (EBA) launched a public consultation on its draft guidelines on ESG scenario ..read more

The guidelines set out requirements for institutions regarding the identification, measurement, management, and monitoring of ESG risks. By Axel Schiemann, Paul A. Davies, and Nicola Higgs On 9 January 2025, the European Banking Authority (EBA) published its final guidelines on the management of environmental, social, and governance (ESG) risks. The guidelines have been developed in ..read more

The FCA proposes moving away from the PRIIPs KID to a more flexible, technologically neutral regime, which allows firms to innovate and prioritise good customer outcomes. By Rob Moulton, Nicola Higgs, Becky Critchley, Sidhartha Lal, and Charlotte Collins On 19 December 2024, the FCA published a consultation on its proposed rules for the new Consumer ..read more

In this publication and podcast series, we explore some of the core focus areas for UK-regulated financial services firms in the year ahead. In 2024, we saw disruption to the regulatory reform agenda as the unexpected timing of the general election impacted work and publication schedules. Now that the reform agenda is back on track ..read more

“Fair access” banking laws, at the epicenter of the debates between ESG and “anti-woke” regulation and federal/state preemption, may see a resurgence under the incoming administration. By Betty M. Huber, Arthur S. Long, Pia Naib, Austin J. Pierce, and Deric Behar In recent years, the landscape of “fair access” banking laws, now also known as ..read more

The consultation covers new methodologies for the financial sector’s GHG emissions reporting, including regarding avoided emissions, or “scope 4” emissions. By Paul A. Davies, Nicola Higgs, Michael D. Green, Jaime Martin, James Bee, and Charlotte Collins On 3 December 2024, the Partnership for Carbon Accounting Financials (PCAF) launched a consultation to gather financial industry feedback ..read more

By Arthur Long and Pia Naib In 2024, the US federal bank regulators were extremely active, with initiatives ranging from antitrust and capital to proposals regarding controlling shareholders and incentive-based compensation. Climate issues and resolution planning were also areas of focus. With the election of Donald J. Trump to a second term as president of ..read more

As AI use proliferates, the advisory reminds CFTC-regulated entities of their existing obligations and the CFTC’s intention to monitor for ongoing risks. By Douglas K. Yatter, Yvette D. Valdez, Margaret Graham, Hanyu (Iris) Xie, Adam Bruce Fovent, Mia Stefanou, and Deric Behar On December 5, 2024, the staff of the Commodity Futures Trading Commission’s (CFTC) Divisions ..read more

The proposals aim to drive more consistency in operational incident reporting and greater visibility in the use of material third-party services. By Rob Moulton and Charlotte Collins On 13 December 2024, the FCA and the PRA published linked Consultation Papers on operational incident and third-party reporting (FCA CP24/28 and PRA CP17/24). The consultations aim to ..read more

The latest guidance from the FCA focuses on Consumer Duty board reports and how firms handle complaints and root cause analysis. By Becky Critchley and Charlotte Collins On 11 December 2024, the FCA published two pieces of feedback on the Consumer Duty, setting out good practices and areas for improvement in relation to Consumer Duty ..read more