FSA warns of Solvency II delay risks

Firms that have not already begun planning for the introduction of Solvency II are running out of time, warned the Financial Services Authority (FSA). In a feedback statement to its September 2008 discussion paper on the UK’s preparation for Solvency II, the FSA said that “the risks of not developing detailed plans for Solvency II implementation are great”, following adoption of the directive text by the European Parliament in May that confirmed a live date of 31 October 2012. “Firms should have completed or be in the process of completing a detailed gap analysis to identify any shortfalls in expected compliance with the emerging Solvency II requirements, as they bear on their operations,” the FSA said.