JDC TECHNICAL EVALUATION REPORT

Subject: The Regulatory Pivot – Funded Reinsurance Capital Shift

Reference: UID 6066

Market Authority: Prudential Regulation Authority (PRA)

Case Ref: PRA-CP8-26

Date: 04.05.2026

Status: Consultation

Case Summary (Tier 4): The PRA recalibrates the capital treatment for Funded Reinsurance (BPA transfers), signalling a structural shift in asset risk management.

Case Detail (Tier 5): * The Anchor Deal: Consultation Paper CP8/26.

• Reserve Volume: Sector-wide impact on Annuity transfers.
• Operational Finality: Regulatory alignment of asset-intensive reinsurance with direct investment standards.
• Efficiency Metric: Potential increase in solvency requirements for offshore transfers.

Additional Comment:

N/A