LONDON, Sept 13 Reuters - Amazon, Google and other tech firms that provide cloud computing services to banks in Britain may have to comply with minimum resilience standards and testing, a senior bank of England official said on Monday.
The BoE, together with regulators in Europe and the United States, is concerned about the reliance of banks on a handful of Big Tech firms for cloud computing in increasingly critical banking services and the impact an outage at one of them could have on financial stability.
This is a big topic both within the UK and internationally, Victoria Saporta, BoE's executive director of prudential supervision, told an event held by the Institute for International Finance, a global banking industry body.
A global approach would be the best, she said.
Our current thinking is that the most effective approach to managing these risks from critical third party services providers is by a combination of critical resilience standards aimed directly at critical third parties coupled with resilience testing of these critical third parties, Saporta said.