General Prudential Rule 1.3 requires firms to use prudent valuation principles when valuing trading books (and other assets and liabilities held at fair value) and to disclose the difference between that prudent valuation and the fair valuation used in their financial statements. Since 2010 firms have produced quarterly reports that show these differences but they have been produced in a free format. To aid comparability between firms and over time the Financial Services Authority believes that a consistent format for the regulatory prudent valuation return is needed. The purpose of the consultation paper is to receive feedback on the proposed format of the return, including showing the net and gross balance sheets for a defined list of asset classes, together with the potential downside and upside that could exist through the inherent uncertainty in the valuation process.