Centre for Central Banking Studies

Transforming data
collection from the UK
financial sector
BI Regional ASEAN event

Angus Moir, Senior Manager, Data Collection Transformation

The Bank of England does not accept any liability for misleading or inaccurate information or omissions in
the information provided. The subject matter reflects the views of the individual presenter and not the wider
Bank of England or its Policy Committees.
DRR – exploring, innovating and learning

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DRR & innovating regulatory reporting in the UK

Techsprint DRR Pilot

1 Phase 1
Nov 2016
H2 2018

2016 2017 2018 2019

H1 2019
Nov 2017

Techsprint DRR Pilot

2 Phase 2

3
DRR goals & methods
Technology

Operating Policy & Legal

Model

Can we improve efficiency and flexibility

of regulatory data collection?

4
…developed a vision…
Map the process Develop a vision

As is To be?
Regulation Regulation
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instructions
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Principal Loan
Amount Amount
Loan
<100 <GBP
Amount
Define common data GBP>
Loan
100> <GBP
100>
inputs <100>

Make reporting
architecture more flexible

5
… built a prototype
Map the process Develop a vision Build a prototype

DRR Prototypes

Prototype 1
Prototype 2

Contract Terms ISDA CDM

Regulation
Product Data Model

Business Event Model

6
What we did

Developed good understanding of problems / solutions (learnt a lot!)

Started to develop vision for reporting
Met key stakeholders / built relationships
Sold the case for modernising reporting / further investment

7
What we didn’t do

! Do anything outside the “lab”

! Understand the full impact of change

8
Data collection review – from lab to live

9
 DRR & innovating regulatory reporting in the UK

DRR Pilot DCR

Techsprint
Phase 1 commitment
1 Nov 2016 July 2019
H2 2018

2016 2017 2018 2019 2020 2021

100 +
H1 2019 2020
Nov 2017

Techsprint Data
DRR Pilot
collection
2 Phase 2 review

10
DCR goals & methods

Working groups
Discussion paper
Industry bilaterals

What’s our plan to improve efficiency

and effectiveness of data collection?

100 +

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Proposed approach to transformation

Ambitious vision…

We want an ambitious vision with a

5-10 year horizon to orient delivery
and signal a clear direction of travel
…but considered delivery

But delivery of that vision should

come by delivering much smaller
incremental steps. Each step should
…of prioritised use cases build confidence and learning.

Each incremental step delivering one

or more use cases, where use cases
are prioritised based on their value
and feasibility.
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Outline vision for data collection

“collecting the data the Bank needs to respond confidently to a changing

world, while making best use of limited Bank and industry resource”

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The foundations of the vision

Modernised reporting instructions, Common data standards, mapped

published in an open standard for to the operational systems of firms
expressing financial rules and and their service providers
instructions

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The principles to deliver the vision
Enabling innovation in the
UK financial sector
Standards that lay the infrastructure
to transform the UK financial sector:
• Streamlining business processes
within financial firms
• Rewriting how law, rules and
regulation are expressed for the
digital age
• Enabling new analytical
techniques, such as ML
Founded on open
standards
Open standards that:
• Identify and define financial data
• Capture the digital expression of
financial rules and instructions
Developed by industry
with our active support
The Bank will take an active lead in:
• Facilitating the development of
these standards
• Driving their adoption, both in
the UK and internationally
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What we did

Developed good understanding of problems / solutions (learnt a lot!)

Met a lot of key stakeholders / and build a lot of relationships
Developed and broadened our vision
Mapped out next steps / direction of travel

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What we didn’t do

! Anything outside the “lab” or (virtual) meeting room

! Finalise all the components of the vision
! Deliver any tangible value
! Understand the full impact of change

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