Contents
Background to the insurance industry
Background to Solvency II and this Report
2 The remit, objectives, and skills of the PRA
The PRA’s remit from the Chancellor
Industry recognition of the PRA’s strengths
The objectives of the Prudential Regulation Authority
3 Solvency II and the way it has been implemented in the UK
Significant improvements can be made
Specific suggestions for improvement
4 Financial stability and market distortions
Procyclicality and Regulatory Forbearance
5 Effect on long term savings and investment
The Standard Formula and the Process for Approving Internal Models
Shortcomings of the Solvency II regime
The approach to data requirements
Shortcomings of the Solvency II regime
Shortcomings of the Solvency II regime
The Transitional Measure on Technical Provisions
Shortcomings of the Solvency II regime
Conclusions and recommendations
List of Reports from the Committee during the current Parliament
25 October 2017