Prudential Regulation Authority (PRA)

The Prudential Regulation Authority (PRA) is the United Kingdom's prudential regulator for banks, building societies, credit unions, insurers, and major investment firms. Established in 2013 following reforms introduced by the Financial Services Act 2012, it operates as part of the Bank of England. The PRA's primary objective is to promote the safety and soundness of the firms it supervises, while also contributing to policyholder protection in the insurance sector. In recent years, it has become a prominent voice on climate-related financial risks and stress testing.