On 27 October the Treasury Committee published a report on the Solvency II Directive and its impact on the UK insurance industry. The report is critical of the extent of disagreement between the PRA and the industry. It makes a number of recommendations, the majority of which are aimed at the PRA.
Some of these recommendations were pre-empted by the PRA’s announcement on 25 October of a series of improvements it is intending to make to implementation of Solvency II and its publication of a consultation paper on the matching adjustment.
This briefing note discusses the PRA's consultation paper and future plans and the Treasury Committee's recommendations.
