PRA FINES BANK OF LONDON AND OPLYSE HOLDINGS £2M FOR MISCONDUCT

The Prudential Regulation Authority (PRA) has fined The Bank of London Group Limited and its parent company, Oplyse Holdings Limited, £2 million for misleading the regulator about their capital positions. The two firms also failed to act with integrity, failed to be open and cooperative with the PRA, and failed to maintain adequate financial resources. The breaches took place between 7 October 2021 and 22 May 2024. The PRA, The Bank of London Group Limited, and Oplyse Holdings Limited have agreed to settle the matter.

The PRA's investigation found that both firms repeatedly misled the regulator about their actual capital positions and failed to comply with regulatory capital requirements over an extended period. The original financial penalty calculated for the breaches stood at £12 million. The PRA reduced the penalty to £2 million after The Bank of London Group Limited and Oplyse Holdings Limited demonstrated that the full sum would cause serious financial hardship. Oplyse Holdings Limited was formerly known as The Bank of London Group Holdings Limited.

This marks the first occasion on which the PRA has fined a firm specifically for failing to conduct its business with integrity. It also represents the first time the PRA has taken enforcement action against a parent financial holding company. Both firsts set a precedent for how the PRA may pursue future regulatory breaches involving holding company structures. The settled penalty of £2 million now stands as the confirmed outcome of the enforcement process.