BoE's PRA proposes automatically increasing 128 regulatory thresholds for banks, insurers and credit unions in line with nominal GDP

The thresholds determine which rules apply, how they apply and reporting requirements The PRA says the change would improve proportionality, reduce compliance costs, provide greater certainty and lower barriers to growth. PRA says the largest affected threshold is GBP 320bln of total assets for detailed capital reporting, while the smallest is GBP 7,500 for amounts owed to a credit union by an individual. The first automatic update would occur on 1st July 2031, then every five years, particularly benefiting smaller firms near regulatory thresholds.