Company: HBCYF
Filing Date: 2025-06-02
Form Type: 424B5
Source: 0001193125-25-132352
Chunk: 44

Company: HSBC HOLDINGS PLC
Filing Date: 2025-06-02
Form: 424B5
Chunk 44
---
 and PRA supervisory reporting requirements. The implementation date of Basel 3.1 in the UK, i.e.,
the date on which the PRA’s rules and policies accompanying PS9/24 will come into effect has been and continues to be subject to change. Originally slated for 2025, the date was postponed to 2026 and, on January 17, 2025, to
January 1, 2027 (allowing for greater clarity to emerge about plans for the implementation of Basel 3.1 in the United States). Thereafter, it is proposed that the full extent of the output floor – a key component of the package –
would be phased in over 3 years.

Alongside the publication of PS9/24, on September 12, 2024 the PRA published a wider banking
capital package comprising four consultation papers, including CP9/24 and CP10/24 which set out the PRA’s proposals to streamline the Pillar 2A capital framework and the capital communications process as well as some of the

S-28

PRA’s policy materials on capital buffers. The PRA intends to publish a policy statement on retiring the refined methodology to Pillar 2A in the fourth quarter of 2025 and to issue a policy
statement concerning the capital buffers regulations in the second quarter of 2025 (alongside a statutory instrument from His Majesty’s Treasury). PS2/25, which included the final rule amendments related to the capital communications process,
was published in February 2025, with the amendments to the PRA’s rulebook taking effect from March 31, 2025. CP8/24 and CP13/24 are consultations covering the PRA’s proposals for the restatement and modification of a number of UK CRR
provisions, including those relating to the definition of own funds. Rules governing the definition of capital subject to consultation in CP8/24 are expected to be implemented in the first half of 2026, and the full replacement of the remaining
provisions of UK CRR (covered by CP13/24) is expected by the first half of 2027. The PRA is also consulting on its proposals to implement the remaining Basel III large exposures standards (CP14/24); it expects to finalize its policy in two stages,
firstly in the third quarter of 2025 and then in the first quarter of 2026 with regards to the proposed mandatory substitution approach and the proposed rules on intrag