Operational resilience lessons from TSB – the new ‘due diligence’ duty

The huge fine levied on TSB in the UK underlines the trend towards requiring proactivity in compliance.

In late December last year, the UK FCA and Prudential Regulatory Authority (PRA) delivered an early ‘insight’ present to busy compliance and technology teams with a stunning enforcement action in terms of size, scope and precedent. TSB Bank was fined £48.6m ($60.1m) for operational risk management and governance failures.

The

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