Financial markets need to be honest, fair and effective so that consumers get a fair deal. We aim to make markets work well – for individuals, for business, large and small, and for the economy as a whole. We do this by regulating the conduct of nearly 60,000 businesses. We are the prudential supervisor for 49,000 firms and we set specific standards for 19,000 firms.
The Prudential Regulation Authority (PRA) is the prudential regulator of around 1,500 banks, building societies, credit unions, insurers and major investment firms. As a prudential regulator, it has a general objective to promote the safety and soundness of the firms it regulates.
We were established on 1 April 2013, taking over responsibility for conduct and relevant prudential regulation from the Financial Services Authority.
We are responsible for regulating a sector which plays a critical role in the lives of everyone in the UK and without which the modern economy could not function. From children’s ISAs to pensions, direct debits to credit cards, loans to investments – how well financial markets work has a fundamental impact on us all.
UK financial services employ over 2.2 million people and contribute £65.6 billion in tax to the UK economy. If UK markets work well, competitively and fairly they benefit customers, staff and shareholders, and maintain confidence in the UK as a major global financial hub. Our role is to help ensure this happens.