The Bank of England is concerned about the standards of stress-test model risk governance at some banks
The Bank of England’s recent guidance on model risk management standards for stress-test models was prompted by concern about weak governance at some UK lenders, a senior executive at the Prudential Regulatory Authority has said.
Speaking on May 24 at a conference in London, Diederick Potgieter, a risk specialist at the PRA, said the growing sophistication of banks’ stress-testing frameworks since the BoE began its programme in 2014 had not been met with an improvement in the quality of their m
