30 Apr Bank Of England TFSME COVID-19 Measures May Offer Banks A Silver Lining Amid Form NL Reporting
In order to alleviate pressures on banks as a result of record low interest rates in the age of COVID-19, the Bank of England has announced that they will offer four-year funding of at least 10% of participants’ stock of real economy lending at interest rates that are either at or close to Bank Rate for the next year. However, the Bank of England TFSME (Term Funding Scheme With Additional Incentives For SMEs) mitigation measures are accompanied by more frequent reporting requirements for banks’ retail operations, particularly in the areas of deferred payments on mortgages, credit cards, unsecured loans, and adjusted terms for overdrafts.
It’s raining Bank of England TFSME Form NL…
Furthermore, new reporting requirements have been added for Coronavirus Business Interruption Loan Scheme (CBILS) and Coronavirus Large Business Interruption Loan Scheme (CLBILS), with additional incentives for Small-Medium Enterprises (SMEs), according to guidelines within the new Bank of England TFSME (Term Funding Scheme). Reporting, via the new Form NL, has already begun and large retail banks operating within the United Kingdom are required to comply immediately, and on a monthly basis going forward. Adding to the pressure, regulators will be monitoring how financial institutions are managing the additional funding received.
…But There Is A Silver Lining
Just as every rain cloud has a silver lining, every crisis presents an opportunity. In a time of COVID-19 disruptions and rapid regulatory change, it is even more important than ever for financial institutions to have complete visibility into their data, be prepared to manage rapid changes, and confidently comply with new and evolving requirements. The Bank of England TFSME mitigation measures present a golden opportunity for organizations to develop a strategic approach to a problem that is not going away any time soon.
A Golden Opportunity
With AxiomSL’s proven technology, organizations can take advantage of a golden opportunity:
to future-proof their approach to risk and regulatory compliance and deliver the quality of data governance and auditability that regulators demand in an evolving landscape and the age of COVID-19. AxiomSL’s ControllerView® data integrity platform and solutions powered by the FinView Data Dictionary enables financial institutions to:
- Accurately populate balance sheet reports with validated data
- Cross validate against balance sheet reports already in-scope
- Automate processes, including the newest Form NL
- Create efficiencies with end-to-end, technology-driven processes for scalable reporting
To Explore The Silver Lining In A Time Of COVID-19 Uncertainty, Contact Us.
We invite you to read the following topical pieces about risk and regulatory reporting in the age of COVID-19:
- COVID-19 Rewrites the Rules for Global Shareholding Disclosures
- Going Green With Your Data: Achieving Cross-Report Reconciliation for Regulatory Requirements
- So Many Trade and Transaction Regimes, So Little Time