Central Bank of Ireland Enhances Fitness and Probity Regime Following Independent Review

The Central Bank of Ireland has released a report detailing progress on implementing recommendations from a 2024 independent review of its Fitness and Probity (F&P) assessment process. This follows a review by Andrea Enria, former Chair of the European Central Bank Supervisory Board. The Central Bank has also launched a consultation on proposed revisions to its F&P regime. These revisions aim to enhance clarity, fairness, and transparency. Key actions include consolidating F&P guidance into a single document and establishing a new F&P unit. This unit will oversee assessment work and ensure timely decisions. A 'Gatekeeping Decisions Committee' will handle potential refusals. To further improve fairness and transparency, the Central Bank has published an assessment process document. This document codifies the principle that regulatory assessments must be conducted with integrity and equity. A consultation paper (CP160) seeks feedback on consolidating and enhancing existing guidance on F&P standards. The Revised Guidance aims to improve industry understanding of the F&P assessment process. The Central Bank proposes to review PCF roles in 2027. In the meantime, sector-specific categorizations will be removed to create a single list of PCFs for all regulated firms (excluding Credit Unions). Submissions to the consultation can be made until July 10, 2025.