Publication of IAF Guidelines and SEAR Regulations

Last week, the Central Bank published the SEAR Regulations, and its final Guidance on the IAF.

Although key aspects of the Regulations were well flagged by the Bank in advance, with draft regulations published in November 2023, publication of the final Regulations, in the form of a statutory instrument, will certainly focus minds in the industry ahead of the coming into effect of SEAR on 1 July 2024, with non-Executive Directors falling within scope on 1 July 2025 (see our previous updated here).

Regulations

There have been some changes from the draft version of the Regulations, for example in relation to low impact investment firms, but overall the Regulations are as expected.

In relation to low impact investment firms, the final Regulations are more prescriptive. Certain prescribed responsibilities must now be allocated to specified PCF holders such as non-executive directors, the Chair of the Board, or the Chair of certain committees.

Guidance

The Guidance on the IAF will be a vital resource for firms, and senior executives holding CF and PCF roles. Once again the key aspects of the Guidance were previously published by the Bank in draft form, providing firms and individuals with an opportunity to prepare for the new regime.

The Bank will shortly issue an FAQ document in relation to the IAF, and also a "How to" guide for submitting documentation to the Bank pursuant to the IAF. These will be awaited with interest.

Please do not hesitate to contact James Roche or Barry Fagan with any queries.