The FCA’s recent multi-firm review has made one thing clear: most payments and e-money institutions are falling short when it comes to prudential risk management.

With growing macroeconomic pressures and sharper regulatory focus, firms must now take urgent steps to strengthen their enterprise-wide risk frameworks—particularly in light of the expectations set out in FG20/1 and reinforced in the 2023 and 2025 Dear CEO letters.

At fscom, we’ve developed a Prudential Risk Management Health Check to help payments and e-money firms benchmark their frameworks against regulatory expectations and industry best practice.

What does the Health Check cover?

We assess your current arrangements across five key areas:

  1. Enterprise-wide risk management
    Are your risk processes aligned with FCA guidance? How effective is group oversight?

  2. Liquidity management
    We look at your firm’s governance, stress testing and scenario analysis to ensure liquidity risks are being appropriately identified and managed.

  3. Capital adequacy
    Is your capital assessment proportionate to your firm’s scale and risk profile? We test whether your approach is robust and up to date.

  4. Wind-down planning
    We assess whether your plans are realistic, data-driven and actionable—supported by financial projections and clearly defined triggers.

  5. Governance and reporting
    We check whether your governance structure provides the necessary oversight and whether reporting is effective and timely.

What do you get?

You’ll receive a clear, structured assessment of your firm’s prudential risk framework, along with practical, tailored recommendations. Our report helps you:

  • Strengthen oversight and accountability

  • Evidence proactive leadership

  • Demonstrate your firm’s preparedness to the regulator

How we can help

Whether you’re preparing for a regulatory visit or want to ensure your firm is resilient in a volatile market, our Health Check provides the clarity and confidence you need.

Get in touch to discuss with our team today. 


This post contains a general summary of advice and is not a complete or definitive statement of the law. Specific advice should be obtained where appropriate.