{
  "url": "https://openlegislation.uk/capital-buffers-and-macro-prudential-measures-regulations-2025/regulation-18",
  "json_url": "https://openlegislation.uk/capital-buffers-and-macro-prudential-measures-regulations-2025/regulation-18.json",
  "legislation": "uksi/2025/653",
  "legislation_title": "The Capital Buffers and Macro-prudential Measures Regulations 2025",
  "legislation_url": "https://openlegislation.uk/capital-buffers-and-macro-prudential-measures-regulations-2025",
  "path": "regulation/18",
  "kind": "regulation",
  "number": "18",
  "heading": "Determination by PRA of buffer rates for individual relevant O-SII",
  "text": "(1) The PRA may, in relation to each relevant O-SII, determine—\n(a) whether or not to set a buffer rate for the relevant O-SII, and\n(b) where it sets a buffer rate, the level of the rate,\nby applying the steps set out in paragraph (2).\n(2) The steps set out in this paragraph are—\nStep 1: determining the level of consolidation\nThe PRA must choose one of the following bases on which to apply the criteria specified in the FPC framework to the relevant O-SII—\n(a) an individual basis,\n(b) a sub-consolidated basis, or\n(c) a consolidated basis.\nStep 2: deriving a framework buffer rate from the FPC framework\nThe PRA must derive a buffer rate from the FPC framework for the relevant O-SII (“a framework buffer rate”) by—\n(a) applying the methodology of the FPC framework to obtain a score for the relevant O-SII, and\n(b) ascertaining to what buffer rate the score corresponds under the FPC framework.\nStep 3: setting a buffer rate for a relevant O-SII based on supervisory judgment\nThe PRA may, if it makes a supervisory judgment that it is appropriate to do so—\n(a) set a buffer rate for a relevant O-SII, even if it has derived a framework buffer rate for the institution of 0% under Step 2,\n(b) set a buffer rate for a relevant O-SII which is different to the framework buffer rate derived for the institution under Step 2, or\n(c) set no buffer rate for a relevant O-SII, even if it has derived a framework buffer rate for the institution of other than 0% under Step 2.\nStep 4: setting a buffer rate for relevant O-SIIs based on framework buffer rate\nUnless the PRA exercises the discretion in Step 3—\n(a) where the PRA derives a framework buffer rate under Step 2 of 0% for the relevant O-SII, the PRA may not set a buffer rate for the institution, and\n(b) where the PRA derives a framework buffer rate under Step 2 other than 0% for the relevant O-SII, the PRA must set the rate so derived as the buffer rate for the institution.\n(3) Where the PRA sets a buffer rate under paragraph (a) or (b) of Step 3 of this regulation, the rate must be 1%, 1.5%, 2%, 2.5% or 3%.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/2025/653/regulation/18",
    "retrieved_at": "2026-10-28T21:15:17.287852+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}