PRA to hold veto power on with-profits bonuses

From next year, both the Financial Conduct Authority (FCA) and the PRA will be involved in the regulation of with-profits firms. Speaking at the PRA Insurance Conference yesterday, Julian Adams, director of insurance at the Financial Services Authority (FSA), explained some of the PRA's powers. He said: "Where the solvency of the fund may be compromised to an extent that we believe challenges our prudential objectives, then the PRA will intervene in a decisive manner and has the ability to veto a proposed course of action on annual or terminal bonuses. "This might also apply to cas...