Application Process

Applying to the Prudential Regulation Authority (“PRA”) or Financial Conduct Authority (“FCA”) for authorisation or to modify existing regulated activities can be a wide-ranging, involved and technical process. When under the gaze of the UK regulators you want to be able to demonstrate that you have a clear business strategy, understand its inherent risks and have the right financial and non-financial resources in place to execute it successfully and sustainably. It’s important not to under-estimate the amount of time, effort and expertise required to complete the application process successfully. Working with KPMG you can rely upon our sound advice, our tools and accelerators, and above all our extensive experience helping firms navigate this important journey successfully.

Given the regulators’ obligations for market stability and their responsibility to ensure the safety and soundness of regulated firms, they will need to gain comfort that any new bank or regulated business will not represent a reputational risk to the regulators themselves or pose a risk to the wider UK financial services market. Although the regulators have a secondary objective for competition, they will not support an authorisation at the cost of the soundness of the firm and therefore it is paramount within your application that you portray the soundness of your firm and your ability to govern and manage the risks represented by the activities you are applying for.

We can help you bake-in to your proposition what is needed to help satisfy the regulators' expectations.

Nicholas Mead

Partner, Financial Services

KPMG in the UK

mail
call

What truly sets us apart is the genuine commitment we have to helping your organisation realise its ambitions. It is that passion, dedication and commitment, as much as our in-depth expertise, that we bring to every authorisation project.

Nicholas Mead

Partner, Authorisations

KPMG in the UK

Beyond the application: Building a business

First impressions with the regulators do count. Presenting a confident and assured performance and delivering considered and coherent communication and documentation help to provide the regulator with the right impressions and get the relationship off to a good start. The FCA website outlines that the regulators will need to be assured you are ‘Ready Willing and Organised.’ In practice this involves having a clear strategy, a viable business model, strong operational model systems and risk management in place which presents the holistic nature of your application. KPMG has an integrated eco systems, and has the capability to support you in a wide range of areas from developing your strategy, through designing your technology and operating model, to setting up the legal entity and thinking about the accounting and tax implications, In summary, we help you build the business as well as get the licence.

Helping technology sector business leaders make the most of innovation.

Learn more

KPMG’s people consulting services help you transform your workforce, learning and HR functions for a better tomorrow.

Learn more

Our specialists help you find the right accounting solution for your reporting aims, business context and regulatory demands.

Learn more

Helping you navigate tax policy with specialist knowledge and technology.

Learn more

KPMG legal professionals work with subject matter experts to deliver tailored and insightful legal advice to each of our clients.

Learn more

Helping you and your teams change, grow, adapt, shape and respond to disruptive forces.

Learn more

How can we help you achieve your goal?

Choose what best applies to you to discover broadly what you need to do, how we can help you reach a successful outcome with the regulators.

We can support the authorisation of:

New banks and fintechs

The regulators will want to be comfortable that you have a clear, differentiated strategy and the operating model and funding to deliver it. Making sure there is a clear, compelling vision of what you want to achieve and how you will implement it is critical in the Business Plan.

Overseas banks

Overseas banks have two options when considering how to enter the UK market either via a Branch or a Subsidiary. There are eligibility criteria to establish a Branch, plus pros and cons to both options. Understanding which option works best for your proposed business model is key to a successful application.

Digital Assets firms

A firm wishing to a run a Digital Asset business in the UK will likely require authorisation from the FCA but currently only a relatively small number of applicant firms have received a successful authorisation decision. Key areas of focus are systems and controls, operational resilience and consumer duty considerations.

Investment and securities firms

These types of firm will submit an application to the FCA alone. Although these applications are less complex than for dual regulated businesses, you will still need to prepare a detailed application pack which articulates a coherent business model backed up with sound prudential calculations through the ICARA.

Consumer credit firms

Navigating the consumer credit application process can be complex—but with our expert support, it does not have to be. We specialise in helping firms prepare and submit robust applications, ensuring every detail meets regulatory standards. Based on the type of activity you wish to conduct, we can advise you on the type of permissions you will need to apply for and help you prepare the relevant materials for a robust application.

Insurance firms

We specialise in helping insurance businesses gain authorisation with confidence, clarity, and compliance at every step. You must identify the specific insurance activities your firm will undertake—such as underwriting, managing claims, or acting as an intermediary. Working in collaboration with you, we will streamline your journey to authorisation and help you build a strong foundation for the long-term.

Our services

account_balance

Authorisation

Whether you are opening a branch, a subsidiary or a standalone bank, the regulators expect applicants to present an application with a clear and profitable strategy, and business model underpinned by a comprehensive risk management framework and appropriate governance arrangements. Our significant experience can help you deliver this and guide you through the journey.

autorenew

Variations of permission (VoP)

Once authorised the scope of your regulatory activities may change. We can support you with a VoP application. The regulatory scrutiny will depend on the scale of change to your business and your ability to demonstrate readiness.

We have supported a number of existing regulated businesses to vary their permissions to include deposit taking.

support

Mobilisation support

Following authorisation with restrictions, those firms who have moved into mobilisation and are building out the operational functions require advice and guidance on implementation, governance and the process for exiting the mobilisation period and launching the firm. This is a common approach for new applicants.

lock

Deauthorisation

The regulators will need to be sure that exit from any regulated activity is undertaken in an orderly manner and that checks and balances are put in place to ensure that legacy business has ceased and the firm do not inadvertently undertake such activity once the permission has been withdrawn.

people

Change in Control

A Change in Control can be a pivotal moment for any regulated firm and ensuring compliance with PRA and FCA requirements is critical. Our experienced team provides end-to-end support to help you manage this process smoothly and efficiently. Whether you're acquiring a firm, restructuring ownership, or planning an exit, we provide the expertise and reassurance you need to navigate the Change in Control process with confidence.

Why KPMG?

Flexible approach

We can tailor our services and level of support to your specific needs, requirements and timeline.
Strength of regulatory understanding

We have strong knowledge of UK regulation and have insight into real time regulatory challenges and expectations.
Accelerators and expertise

We are harnessing the power of AI to enhance operational efficiencies, reduce turnaround times, and ensure compliance with regulatory standards

We can also provide templates for the key application documents.
Proven authorisations track record

Since 2009, KPMG has supported 39 banks and numerous other firms to obtain their regulatory licences. You can be assured you are in experienced and trusted hands.