[2025] UKUT 00185 (TCC)

Factor (h) is whether the person complied with the requirements of another regulatory authority. The Bank kept Mr Sutherland informed of the RWA issue, and both Mr Donaldson and Mr Arden met him and others from the PRA on 12 September 2018; they explained what had happened and what the Bank was doing; on 9 October 2018, Mr Sutherland agreed with Mr Arden that the COREP reporting would remain unchanged while the Bank continued its work. Although this co-operation occurred before the breach, it is nevertheless relevant. On 21 January 2019, Mr Arden and Mr Donaldson met with the PRA and asked whether the Bank could phase-in the adjustment but this was refused the following day. The January announcement took place on 23 January. The Bank, via Mr Arden and Mr Donaldson, clearly co-operated with the PRA throughout.

However, the Authority says that the Applicants:

“...did not bring this to the attention of the Authority, and so the Authority does not consider the fact that the PRA was notified of the RWA error to be a mitigating factor.”

That is, however, to ignore the wording of factor (h), which refers to complying with “the requirements of another regulatory authority”. We again agree with Mr Jaffey that this factor is applicable.