How we are regulated
Provident Financial Group as a whole is the subject of consolidated supervision by the Prudential Regulation Authority (PRA), a public regulatory body in the UK; this is because the group is the parent company of Vanquis Bank. The PRA sets requirements for the consolidated group in respect of capital adequacy, liquidity and large exposures.
In the UK, all our subsidiary businesses are regulated by the Financial Conduct Authority (FCA) which monitors all consumer credit lenders to ensure they comply with the Consumer Credit Act 1974 (as amended). Complaints are dealt with by the Financial Ombudsman Service, for more information visit: www.financial-ombudsman.org.uk/consumer/complaints.htm.
In the Republic of Ireland our Provident home credit business is regulated by the Central Bank of Ireland.
Vanquis Bank is authorised and regulated by the PRA and the FCA to operate its credit card business. Vanquis Bank must also comply with the Consumer Credit Act 1974 (as amended), and the rules of the FCA. Vanquis Bank was already an authorised firm but submitted its application for a variation of permissions in December 2014 and which were approved by the FCA in 2016. Vanquis Bank is a member of UK Finance, the new financial trade association that brings together the Asset Based Finance Association, British Bankers’ Association, Council of Mortgage Lenders, Financial Fraud Action UK, Payments UK and the UK Cards Association. Through its membership of UK Finance, Vanquis Bank will continue to be involved in the ongoing dialogue with the FCA.
The Consumer Credit Division currently holds interim permissions from the FCA to carry out a home credit business issuing high-cost, short-term credit, while awaiting full authorisation. As a member of the Consumer Credit Association UK, the home credit industry’s trade association, CCD is subject to its Code of Practice and Business Conduct Pledge. These are voluntary codes which reinforce statutory and regulatory requirements. In ROI, Provident home credit is licensed on an annual basis as a moneylender and is a member of the Consumer Credit Association. As Satsuma is part of CCD, it is also holds interim permissions to operate whilst awaiting full authorisation.
Moneybarn is authorised and regulated by the FCA. As a leading member of the Finance and Leasing Association (FLA), the official trade body of the motor finance industry, Moneybarn is subject to the FLA’s Lending Code. The FLA promotes best practice in the motor finance industry through its Lending Code which sets out best practice in consumer lending.
The group’s operating businesses continue to have a constructive dialogue with the FCA, responding to questions and information requests relevant to obtaining the necessary authorisations and change of permissions.