Communications and Publications  

• Announcements
• Dear CEO Letters
• Consultations and Reports
• Legal Notices

Announcements

March 2024 - Independent Review of the F&P Approval Process

The F&P approval process has continually evolved and been enhanced over time. However, it is now more than a decade in operation. The Central Bank has therefore decided to commission an independent review of the F&P approval process to ensure that it remains effective into the future. This review will be led by Andrea Enria and will be published in Q3 2024.

Fitness and Probity Review - Terms of Reference

February 2024 - Information Note on PCF-16 Amendment

Further to S.I. 663 of 2023, the Central Bank of Ireland introduced an amendment to PCF 16 ‘Branch Manager of branches established outside the State’ such that it is only applicable where the business arising from the branch amounts to 5% or more of, as applicable, the assets or revenues or gross written premium of the regulated financial service provider. The Central Bank of Ireland is providing additional information regarding the change to PCF-16 in the form of frequently asked questions.

PCF-16 Information Note 

January 2024 - New PCF and HCPCF roles

As previously communicated, the Central Bank of Ireland has introduced the following new PCF and HCPCF roles from 29^th December 2023.

• PCF-54 Head of Material Business Lines for Insurance Undertakings
• PCF-55 Head of Material Business Lines for Investment Firms

• HCPCF1 – the office of the chair of the board of the holding company
• HCPCF2 – the officer of director of the holding company

The In-Situ Returns process for all of the above roles opens on the Portal from the 22^nd January 2024 for a six week period.  Closing date is 3rd March 2024.

View Guidance on In- Situ Process

January 2024 - The Annual PCF Confirmation

The Annual PCF Confirmation is accessible via the F&P section of the Central Bank Portal and is now available for completion. Firm’s should review the PCF roles listed in the Annual PCF Confirmation and correct any information prior to submission such as; entering start dates or submitting resignations. Submission is final and cannot be amended once completed. 

PCF Annual Confirmation Guidance

January 2024 - Certification Regulations

Further to the Central Bank (Individual Accountability Framework) Act 2023 (the IAF Act), the Certification Regulations are now in effect.

Section 21 of the 2010 Act, as amended by the IAF Act, and the Certification Regulations require that where a firm/holding company is satisfied on reasonable grounds that a person performing a CF role,

1. complies with any standard of fitness and probity issued by the Central Bank under section 50 of the 2010 Act; and
2. agrees in writing to comply with such standard of fitness and probity and to notify the firm/holding company without delay if for any reason he or she no longer complies with such standard of fitness and probity,

the firm/holding company is required to certify that the individual complies with such standards of fitness and probity.

The Certification Regulations outline Regulated Financial Service Providers (RFSPs) and Holding Companies obligations regarding their ongoing obligation to comply with the Fitness and Probity regime, including:

• The circumstances triggering a requirement to certify that a person is compliant with standards of fitness and probity, and the period of validity of such certification
• Procedures, systems and controls to be adopted and checks to be performed by RFSPs and holding companies
• Record keeping obligations

Reporting of information by RFSPs or holding companies to the Bank in relation to their obligations.

December 2023 - New PCF roles relating to Holding Companies

Further to the Central Bank (Individual Accountability Framework) Act 2023 (the IAF Act)  the Central Bank of Ireland will introduce two new PCF roles relating to Holding Companies based in Ireland from 29th December 2023.

The new roles will be:

• HCPCF1 – the office of the chair of the board of the holding company
• HCPCF2 – the office of director of the holding company

If you are not already a Portal user, you should register now. View Guidance on how to do this.

View "Guidance on How to Submit IQ".

See IAF Feedback Statement, Guidance and Regulations.

December 2023 - New and Amended PCF Roles

Further to Consultation Paper 153 on the Individual Accountability Framework and the related Feedback Statement on the IAF, the Central Bank of Ireland will introduce two new PCF roles from 29th December 2023.

The new roles will be:

• PCF-54 Head of Material Business Lines for Insurance Undertakings
• PCF-55 Head of Material Business Lines for Investment Firms.

The Central Bank of Ireland will also introduce an amendment to PCF 16 ‘Branch Manager of branches established outside the State’ such that it is only applicable where the business arising from the branch amounts to 5% or more of, as applicable, the assets or revenues or gross written premium of the regulated financial service provider. An Information Note addressing this change will be published in January 2024.

Further to Consultation Paper 133 on ‘Enhancements to the Central Bank Client Asset Requirements, as contained in the Central Bank Investment Firms Regulations’, the Central Bank of Ireland will introduce the Head of Client Asset Oversight for credit institutions.

If you are not already a Portal user, you should register now. View Guidance on how to do this.

Link to "Guidance on How to Submit IQ"

See IAF Feedback Statement, Guidance and Regulations.

August 2023 - Fitness and Probity Interview Guide

On 9^th August 2023, the Central Bank of Ireland published a Fitness and Probity Interview Guide.

One of the roles of the Central Bank is to assess the suitability (fitness and probity) of individuals put forward for certain senior positions in the firms we regulate. As part of the assessment, the Central Bank may hold one or more interviews. This Guide explains the interview process, what to expect on the day of an interview and what happens after the interview. 

March 2023 - Changes to the Fitness & Probity application process

As previously communicated, the Central Bank of Ireland Portal will be enhanced to facilitate the submission of applications to become a holder of a Pre-Approval Controlled function.  Individual Questionnaires will no longer be submitted via the Online Reporting System (ONR), but will instead be submitted via the Central Bank Portal.  These changes are planned to go live on Monday 24 April 2023 and will provide applicants with an enhanced process for submitting applications. We will issue a further communication on 24 April to confirm that the system is operational.

The following documents are available to help regulated financial services providers prepare for the new system:

If you are not already a Portal user, you should register now. View Guidance on how to do this.

May 2022 - In-Situ Returns process opens on ONR from Wednesday 18 May

Further to the Amending Regulations and related Feedback Statement published on 5th April 2022:

The In-Situ Returns process opens on ONR from Wednesday 18 May for a six week period.  All firms are to use the below file to submit their returns.  Closing date is 30 June 2022.

PCF In-Situ Return File to be used when submitting PCF In-Situ Return 2022 Regulations

Guidance on PCF In-Situ Return 2022

April 2022 - Amendments to the List of Pre-Approval Controlled Functions

Further to the Notice of Intention issued in September 2021, the Central Bank of Ireland has made a number of amendments to existing Pre-Approval Controlled Function roles (PCFs), which include the following changes:

• Splitting the existing PCF-2 Non-executive director into PCF-2A Non-executive director and PCF2-B Independent non-executive director (under the ‘General’ category);
• Amending the titles of the roles which relate to the chairing of a board or committee i.e. PCF-3 – PCF-7 (under the ‘General’ category);
• Expanding PCF-16 Branch Manager of branches in other EEA countries to include branch managers in non-EEA countries (under the ‘General’ category);
• Removing PCF-31 Head of Investment (under the ‘Investment Firms’ category); and
• Removing the existing PCF-15 Head of Compliance with responsibility for Anti-Money Laundering and Counter Terrorist Financing Legislation and introducing PCF-52 Head of Anti-Money Laundering and Counter Terrorist Financing Compliance (under the ‘General’ category).

Read the related Feedback Statement and the Amending Regulations published on 5th April 2022.

September 2021 - Notice of Intention - Amendment to the List of Pre-Approval Controlled Functions

The Central Bank of Ireland published a Notice of Intention, on 22 September 2021, proposing to amend the Pre-Approval Controlled Function (PCF) list. The proposed changes include the expansion of PCF-16, the segregation of PCF-2 and PCF-15, as well as the removal of PCF-31 and amendments to the titles of PCF-3 – PCF-7.

October 2020 - Additions to the List of Pre-Approval Controlled Functions

Further to the Notice of Intention issued in February 2020, the Central Bank of Ireland is:

• Introduced:   
  • Chief Information Officer (under the ‘General’ category)
  • Head of Material Business Line (under the ‘Banking’ category)
  • Head of Market Risk (under the ‘Banking’ category)
• Split PCF-39 Designated Person into six PCF roles aligned to the specific managerial functions.

Read the related Frequently Asked Questions and the Amending Regulations 2020 published on 9 October 2020.

February 2020 - Notice of Intention - Amendments to the List of Pre-Approval Controlled Functions (PCFs)

The Central Bank of Ireland published a Notice of Intention, on 25 February 2020, announcing a number of intended changes to the Pre-Approval Controlled Functions (PCFs) list. These proposed changes include the introduction of three new Pre-Approval Controlled Functions (PCFs) and the splitting of PCF-39 Designated Person into six PCF roles aligned to the specific managerial functions.

• The following three PCF roles are proposed for introduction:   
  • Chief Information Officer (under the ‘General’ category)
  • Head of Material Business Line (under the ‘Banking’ category)
  • Head of Market Risk (under the ‘Banking’ category)
• PCF-39 Designated Person has been split into six PCF roles aligned to the specific managerial functions.

Dear CEO Letters

November 2020 - Key Findings and Observations from Thematic Inspections of Compliance with Obligations under the Fitness and Probity Regime 

The Central Bank of Ireland issued a Dear CEO Letter, on 17 November 2020, which set out the key findings and observations from the onsite inspections we carried out across a sample of firms in order to assess the level of compliance with the Fitness and Probity (F&P) requirements. The inspections did not examine the fitness and probity of particular individuals but rather evaluated the processes in place to manage compliance with the requirements of the F&P Regime.

April 2019 - Obligations under the Fitness and Probity Regime

The Central Bank of Ireland issued a Dear CEO Letter, on 8 April 2019, to Regulated Financial Service Providers (RFSPs) regarding their obligations under the Fitness and Probity Regime. The letter outlines RFSPs significant compliance obligations under the Fitness and Probity Regime, as well as highlighting some of the main areas of compliance which have been found to be lacking.

Letter to all RFSPs regarding ongoing obligations under the F&P Regime

Consultations and Reports

• September 2017: - Consultation on Potential Amendments to the Fitness and Probity regime for Credit Unions.
• February 2017: Report on Findings of Thematic Fitness and Probity Inspections in Credit Unions.
• February 2017: Letter to Credit Unions regarding the Thematic Fitness and Probity Inspections in Credit Unions.

Legal Notices

• Inquiry Hearings
• Prohibition Notices
• Enforcement Actions
• IFSAT Tribunal Decisions