Lead Economic Analyst in Medium Term Strategy and Research, Prudential Framework Division - PPD

LEEDS BASED

Prudential Policy Directorate

The Prudential Policy Directorate (PPD) is responsible for designing, negotiating internationally and implementing effective prudential regulation in order to remove or reduce systemic risks, promote the safety and soundness of PRA-regulated firms and ensure appropriate protection for insurance policyholders. PPD supports both the Prudential Regulation Committee and Financial Policy Committee in fulfilling their objectives.  

The Prudential Framework Division (PFD) promotes financial stability and resilience in a changing world by working with others to deliver world class banking prudential policy and thought leadership.  

We do this by shaping, maintaining the integrity of, and explaining the capital frameworks, macroprudential toolkit, liquidity policy, FSCS protection and the regulatory perimeter including considering innovation.  

The division plays an active role in policy development, implementation, evaluation, and horizon scanning. It does this through close collaboration with staff across the Bank, externally with HM Treasury, the Financial Conduct Authority and the Financial Services Compensation Scheme. Analysis and research are undertaken across the Division to ensure that the Bank stays at the forefront of the intellectual debate on prudential policy.  

This role will focus on capital frameworks and macroprudential toolkit and will sit jointly in both the Medium-Term Strategy and Research Team (MTSR) and Macroprudential Toolkit (MPT) Teams in PFD.  

MTSR and MPT collaborate together and extensively across the Bank to deliver thought-leading economic analysis, strategic policy advice & research in support of policymaking for the Basel Committee (BCBS), PRC and FPC.

MPT leads the development and implementation of macroprudential policies, including housing tools and systemic capital buffers.

MTSR focuses on the economic design, calibration & impacts of bank capital requirements and how they interact with other policies.  

The work of both Teams is heavily project-based and high-profile. And it is rooted in using analysis, financial economics and/or technical policy expertise to shape the design and implementation of world-class macroprudential and micro-prudential policies, as well as their interactions with resolution, accounting and monetary policies. Our research impacts policy directly and is published externally.  

Both Teams are diverse in our backgrounds, composition and skills. We welcome colleagues to come on board and learn about banks and prudential policies as they apply their skills to our challenges. We offer lots of support and help in getting up to speed – so don’t be deterred!  

Job Description

This is a permanent opportunity. The roleholder’s responsibilities will be split 50:50 in support of related aspects of MTSR's and MPT’s work programmes.  

A key policy focus for both Teams looking ahead is both simplifying and improving the functioning of the capital framework. We are pursuing this via two tracks.  

First, MTSR leads in supporting the Bank in taking forward internationally the exciting Bufferati vision set out in 2022. That seeks ambitious reform of the international capital standards for globally, and domestically, significant banks and those engaged in cross-border activity.  

Second, MPT and MTSR are working to enhance the functioning of capital buffers through their support for aspects of the UK’s ‘Capital Review’– the high-profile initiative to review capital requirements with a view to making improvements to support economic growth by improving their effectiveness, efficiency and proportionality. Coming out of the Capital Review, FPC and PRA have agreed a radical agenda for the reform of buffers to improve buffer usability – both via measures to be pursued  domestically (eg systemically important banks buffers) being taken forward by MPT, and in a medium-term vision for buffers more generally being taken forward by MTSR.  

The roleholder’s primary responsibility over the next year and more will be supporting both Teams deliver these tracks.  They will provide high-quality technical and policy analysis, and develop well-underpinned and broad-based evidence. They will work inclusively with colleagues across the Bank to use those to develop sound insights, policy recommendations and draft policy papers and documents.

The roleholder will possess or develop quickly a strong grasp of aspects of banks’ capital requirements. This includes how micro- and macro-prudential aspects of the risk-weighted, leverage ratio and gone-concern requirements work and are implemented in practice.  

The roleholder will communicate well in written form and orally. They will explain well technical concepts, findings and analytical methods to a wide range of stakeholders .  

As priorities evolve in PFD going forward, opportunities may also arise in due course for the role holder to join other projects of interest within our Division or in cross-Bank settings, and/or assume coaching or mentoring responsibilities for more junior colleagues, depending on experience, development plans and career interests.  

In case other similar vacancies become available within PFD in the next 6 months, we will offer candidates the opportunity to express interest in those without readvertising. At present, PFD has advertised a number of other Scale F vacancies – candidates are welcome to apply for multiple vacancies in the Division if of interest.

Number of direct reports: 0 

 

Role Requirements

Minimum Criteria

• A professional track record in using principles, ideas or concepts drawn from economics or finance to analyse macro-economic, macro-financial, markets, prudential or financial stability issues (e.g. risks or policies).


• Analytical capability, including experience of producing and interpreting quantitative (eg working with statistics, econometrics, or modelling methods) and qualitative evidence to identify key issues and insights to inform evidence-based policy recommendations.


• Ability to work effectively with colleagues from different disciplines and backgrounds to solve problems and deliver outcomes.


• Ability to use data/information to draw conclusions and communicate complex issues and findings in a clear and accessible way to support policy development and decision-making, both in writing and verbally.

Essential Criteria

• Strong stakeholder management and influencing skills, including the ability to build consensus, navigate differing perspectives and engage effectively with senior stakeholders.


• Demonstrable ability to prioritise effectively, manage competing demands and deliver high-quality outputs to demanding deadlines.


• Ability to develop technical expertise and apply it to influence policy development, decision-making or broader organisational thinking, particularly in complex or uncertain situations.


• Ability to understand how individual policy issues contribute to wider prudential, macroeconomic, financial stability and organisational objectives.

Desirable Criteria

• Knowledge of prudential regulation, financial stability issues, banking business models or prudential supervision.


• Experience of international policy development or engagement with international standards.


• Good understanding of liquidity, capital, markets, payments or other prudential risk frameworks.


• Experience of working on issues involving significant uncertainty or evolving regulatory frameworks.