The European Supervisory Authorities and UK financial regulators have signed a Memorandum of Understanding to enhance cooperation and oversight of critical ICT third-party service providers under DORA.
The European Supervisory Authorities (EBA, EIOPA, and ESMA) have signed a Memorandum of Understanding (MoU) with the Bank of England (BoE), the Prudential Regulation Authority (PRA), and the Financial Conduct Authority (FCA). This agreement aims to improve cooperation in overseeing critical ICT third-party providers (CTPPs) as mandated by the Digital Operational Resilience Act (DORA).
The MoU establishes principles and procedures for cooperation, information sharing, and oversight coordination between the authorities responsible for EU and UK CTPPs. Its goal is to strengthen third-party risk management and enhance operational resilience in the financial sector through cross-border collaboration.
Legal basis for the MoU includes DORA Articles 36, 44, and 49, covering oversight powers, international cooperation, and sectoral exercises. Prior to signing, the ESAs assessed and confirmed that the UK’s confidentiality and professional secrecy regime is equivalent to that of the EU, ensuring data protection and confidentiality in information exchanges.
