In January 2026 the Central Bank of Ireland (CBI) launched a public consultation on Prohibition Notices Under the Fitness and Probity (F&P) Regime (CP166). CP166 related to the investigations pillar of the F&P Regime and specifically, the CBI’s power to impose a prohibition – a protective measure that prohibits a person from performing a controlled function (CF) in a regulated financial services firm. See our previous insights post on CP166 here.
The consultation closed on 25 March 2026 and on 30 July 2026 the CBI published:
- Stakeholder feedback received by the CBI in relation to CP166.
- A Feedback Statement summarising that feedback and the CBI’s responses to same.
- A revised and final version of the Supplemental Guidance.
Changes and clarifications reflected in the final Supplemental Guidance
Determining a Prohibition
The Supplemental Guidance now provides that a prohibition may only be imposed where access has been given to any material considered by the decision maker, and the decision maker is satisfied that the imposition of the prohibition is necessary in the circumstances. The decision maker must also afford the individual and any relevant entities concerned an opportunity to make submissions in relation to the proposed issue of the Prohibition Notice.
The Supplemental Guidance emphasises that the decision maker will consider the unique factual matrix of each case, and have regard to the interaction between the various relevant circumstances.
The Supplemental Guidance clarifies that when considering any previous supervisory, disciplinary, criminal or compliance record, the passage of time since any such previous record can be taken into account. When considering an individual’s behaviour since the occurrence of relevant matters, the Supplemental Guidance now specifically references any relevant education or training undertaken or any restitution made.
Publication
The most significant clarifications were made in the area of publication. Where the CBI intends to publish a Prohibition Notice, the CBI will write to the individual and any relevant entity concerned to notify them. Individuals and relevant entities will be entitled to make submissions, including in relation to issues such as personal circumstances and privacy considerations. The Supplemental Guidance has been updated to align with the existing Guidance on Fitness and Probity Investigations, Suspensions and Prohibitions (the Main Guidance), clarifying that the CBI may only publish a Prohibition Notice where the Governor is of the opinion that such publication is necessary. Finally, redactions to Prohibition Notices will be considered in appropriate circumstances.
Enforcement
The Supplemental Guidance now highlights that any failure to comply with a specified condition in a Prohibition Notice constitutes a failure to comply with the Prohibition Notice and may be the subject of enforcement action.
Additional Points from the Feedback Statement
Whilst not addressed in the Supplemental Guidance itself, the CBI clarified a number of additional points in the Feedback Statement.
As regards how an individual can evidence their insight into their F&P failures, the CBI has set out an expectation that firms would reasonably assist individuals (including former employees) by providing them with access to information that will help them to engage with the CBI. The CBI states that there is a public interest in effective cooperation within the regulated financial services sector and timely resolution of regulatory investigations, and firms have a role to play in this.
The CBI also addressed a query in relation to directors who have been disqualified under the Companies Act 2014. The CBI notes that while the CBI may impose a prohibition on an individual who has been disqualified under the Companies Act 2014, this is not automatic as the processes are distinct and operate under separate statutory regimes.
Independent Review of CBI’s enforcement activities
The Feedback Statement makes reference to the case of Central Bank of Ireland v CD [2026] IEHC 203, the judgment of which was published in April 2026. In the case, the High Court refused to confirm a Prohibition Notice issued by the CBI in 2022. The High Court made a number of negative findings, including in relation to serious breaches of fair procedures which vitiated the CBI’s decision-making process.
The Feedback Statement notes that the implications of the judgment for the CBI’s F&P procedures remains under review. Separately, the CBI recently appointed an external reviewer (Josephine Feehily, former Chair of the Revenue Commissioners and first Chair of the Policing Authority) to carry out an independent review of its enforcement activities, with a report and recommendations expected in due course.
Next Steps
The Supplemental Guidance is effective from 30 July 2026. It is to be read in conjunction with the Main Guidance and will be subsumed into the Main Guidance in due course. The CBI has confirmed that it will update stakeholders again when this consolidation takes place.