PRA Sets Out Adjustments to Its Market Risk Internal Model Approach Under Basel 3.1
The Bank of England said on June 19 that the Prudential Regulation Authority published a consultation on the internal model approach (IMA) to market risk.
At a glance
- The PRA published a consultation on the internal model approach to market risk on June 19, 2026
- The release describes the IMA consultation as the final piece of Basel 3.1 implementation in the UK
VERDICT — CONFIRMED
The Bank of England said on June 19 that the Prudential Regulation Authority published a consultation on the internal model approach to market risk, per the Bank's news release.
Per the release, the IMA consultation represents the final piece of Basel 3.1's implementation in the UK. The PRA, the Bank of England's prudential arm, has been implementing the Basel 3.1 package in stages, and the internal model approach governs how banks may use their own models to calculate market risk capital requirements rather than standardised formulas.
What is confirmed is the June 19 publication and the release's framing of the consultation as the closing element of UK Basel 3.1 implementation. The substance of the proposed adjustments, the consultation deadline and any implementation dates were not carried in the feed and remain unverified here; as a consultation, the proposals invite responses before the PRA finalises rules.
Key facts on file
- The PRA published a consultation on the internal model approach to market risk on June 19, 2026
- The release describes the IMA consultation as the final piece of Basel 3.1 implementation in the UK
