This speech is focussed on the PRA. Page 9 5. The UK hosts around 150 branches and around 100 subsidiaries of international banks. These include branches and subsidiaries of all the banks identified by the Financial Stability Board (FSB) as Globally Systemically Important Banks (G-SIBs). The UK hosts around 200 branches and subsidiaries of international insurers. 6. For banks, see PRA Supervisory Statement 5/21 – 'International banks: The PRA's approach to branch and subsidiary supervision', July 2021. For insurers, the PRA’s current approach is set out in PRA Supervisory Statement 2/18 – ‘International insurers: the PRA’s approach to branch authorisation and supervision’, March 2018. During 2023, the PRA plans to complete its assessment of any outstanding branches of international insurers currently within the Temporary Permissions Regime as well as to set out its proposed supervisory approach to branches. See ‘Letter from Charlotte Gerken and Shoib Khan “Insurance Supervision: 2023 priorities”’, January 2023. The PRA also plans to remove capital requirements for branches of international insurers operating in the UK as part of the upcoming Solvency UK package. See 'Fundamental Spreads − speech by Sam Woods', 20 February 2023. 7. The PRA currently has 79 supervisory cooperation and information sharing Memorandums of Understanding (MoUs) in place with authorities across 51 jurisdictions. Since the UK left the EU, the PRA has signed 34 MoUs with EU institutions and Member States. The PRA is in the process of seeking to agree eight further MoUs with non-EU countries. 8. New agreements include those with New Zealand and Australia.
But, in my view, that is best facilitated by retaining the clarity of the present remit, rather than muddying the waters by introducing another objective for monetary policy. The onus would then lie with the Monetary Policy Committee to explain that it was permitting a temporary deviation from the inflation target so as to reduce the likelihood of future financial disruption and improve its chances of meeting the inflation target further ahead. The past two and a half years have certainly been tumultuous for both the economy and for policy makers. After such an event, we should certainly examine how the overall policymaking framework should be re-made in order to reduce the chance of a repetition. But we  5  “The Role of Macroprudential Policy”, Bank of England, November 2009 provides an outline of some of the Bank’s thinking in this area. BIS Review 31/2010  7  should be careful not to throw the baby out with the bathwater. The inflation targeting framework served the real economy well for a decade and a half before the financial crisis. In addressing the shortcomings in the overall policy framework revealed by the crisis, we should be careful not to discard those parts that functioned satisfactorily. Thank you. 8  BIS Review 31/2010  BIS Review 31/2010  9  10  BIS Review 31/2010  BIS Review 31/2010  11  12  BIS Review 31/2010  BIS Review 31/2010  13