In time we hope this will help contain the rate credit union failures, which is currently disproportionately high amongst these smaller firms; and  ∙  simplify the regime by eliminating other capital requirements thresholds linked to non-asset metrics such as membership numbers and variety of business lines. The effect of these changes should be to reduce overall capital requirements for the credit union sector by roughly one quarter, and encourage the growth of successful credit unions by removing several cliff-edges present in our current regime. Conclusion We at the Bank have been clear that we have no appetite to weaken the level of resilience in the financial system. But this does not mean that we should stand still, particularly when we have opportunities to advance safety and soundness and competition at the same time. The changes we are proposing today are an example of what we can do when we bring a bit of fresh thinking, supported by our emerging army of regulatory robots, to the question of barriers to growth. 11  All speeches are available online at www.bankofengland.co.uk/news/speeches  11
•  After the change in our legislation in 2016, which established the finality of payment irrevocability on a legal level, we felt it was timely to resume previous conversations with CLS. Our legislation now should fully meet all the high standards and requirements for the Peso to operate in CLS. •  After demonstrating our interest to CLS, I met personally with the Vice-Governor of the Federal Reserve Board to express our interest. The Federal Reserve Board and the New York Fed are respectively in charge of the regulation and supervision of CLS, hence the importance of their opinion about the benefits and performance of the system. Besides, the Fed presides the oversight committee along with 23 central banks representing the 18 currencies that settle in CLS. Then, it was important for us to show our commitment with the process in order to be part of this committee once the Peso is incorporated. •  We subsequently moved on to the due diligence stage last July 2019, when together with CLS we held the first workshop at the CBC for the private sector. III. Benefits of the CLS for Chile  •  Since the beginning of the process, the CBC has publicly stated on several occasions the benefits of CLS and its intention to incorporate the Peso to the system. •  CLS mitigates the settlement risk, through a multicurrency Payment versus Payment (PvP) system with legal certainty, meaning the payments are final and irrevocable.