- accounting information
means—
- Additional Tier 1 instruments
means capital instruments that meet the conditions laid down in Article 52(1) of the capital requirements regulation (or which qualify as Additional Tier 1 instruments by virtue of Chapter 2 or 4 of Title I of Part Ten of that regulation), • “bail-in liabilities”, of an undertaking, means liabilities and capital instruments that— (a) do not qualify as Common Equity Tier 1 instruments, Additional Tier 1 instruments or Tier 2 instruments, of the undertaking, and (b) are not excluded liabilities listed in section 48B(8), • “the capital requirements regulation” means Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26th June 2013 on prudential requirements for credit institutions and investment firms, as it forms part of assimilated law, • “CRR rules” has the meaning given in section 144A of the Financial Services and Markets Act 2000, • “client assets” means assets which an institution has undertaken to hold for a client (whether or not on trust, and whether or not the undertaking has been complied with), • “Common Equity Tier 1 instruments” means capital instruments that meet the conditions laid down in Article 28(1) to (4),
- agreement
means an agreement the making or performance of which constitutes or is part of a regulated activity carried on by the bank.
- amend the law
means—
- appointment instrument
means an instrument under subsection (2)(a);
- appropriate authority
means—
- arrangements
includes arrangements which—
- assets
has the same meaning as in section 232(4) (ignoring for these purposes section 232(5A)(b));
- Associated provision
means provision modifying a contract under which a company which is a banking group company in relation to the third-country institution has a liability (whether or not the institution in relation to which special bail-in provision is made is the third-country institution). 4 A power to make special bail-in provision— a may be exercised only for the purpose of, or in connection with, reducing or deferring a relevant liability of the relevant institution;
- authorised bank
has the meaning given by section 210;
- Backing assets
means assets of a kind specified by banknote regulations;
- bank
means a UK institution which has permission under Part 4A of the Financial Services and Markets Act 2000 to carry on the regulated activity of accepting deposits (within the meaning of section 22 of that Act, taken with Schedule 2 and any order under section 22).
- banking group company
means an undertaking—
- banknote
has the meaning given by section 208;
- building society
has the meaning given in the Building Societies Act 1986;
- business
includes any part of a business, and • “group” has the meaning given by section 3(2)(b).
- business day
means any day other than a Saturday, a Sunday, or a day which is a bank holiday under the Banking and Financial Dealings Act 1971 in any part of the United Kingdom;
- Business reorganisation plan
means a plan that includes—
- capital requirements directive
means Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC.
- cash
means— (a) banknotes issued by the Bank of England, or an authorised bank in its capacity as an issuer of banknotes in Scotland or Northern Ireland, or (b) coins made by the Mint, within the meaning of the Coinage Act 1971 (see section 11 of that Act);
- client assets
means assets which the bank has undertaken to hold on trust for, or on behalf of, a client;
- collateral arrangements
includes arrangements which are title transfer collateral arrangements for the purposes of section 48.
- commencement
means the date set for the coming into force of section 212 (under the commencement power in section 263).
- Common Equity Tier 1 instruments
means capital instruments that meet the conditions laid down in Article 28(1) to (4), or 29(1) to (5)... of the capital requirements regulation (or which qualify as Common Equity Tier 1 instruments by virtue of Chapter 2 of Title I of Part Ten of that regulation), • “critical functions”, subject to subsections (2) and (2A), means activities, services or operations (wherever carried out) the discontinuance of which is likely...— (a) to lead to the disruption of services that are essential to the economy of the United Kingdom, or (b) to disrupt financial stability in the United Kingdom, due to the size, market share, external and internal connectedness, complexity or cross-border activities of a bank or a group which includes a bank (with particular regard to the substitutability of those activities, services or operations),;
- company
means a company as defined in section 1(1) of the Companies Act 2006 which is a public company limited by shares;
- compliance failure
means a failure by the operator of a recognised... payment system, a recognised DSA service provider, or a service provider in relation to such a system,or such a DSA service provider to—
- Condition for financial assistance
means a condition specified in— of the recovery and resolution directive.
- consolidated situation
means the situation that results from an entity being treated, for the purposes of the capital requirements regulation or CRR rules (as appropriate), as if that entity and one or more other entities formed a single entity, • “consolidating supervisor” means supervisor responsible for the exercise of supervision of an entity on a consolidated basis, • “group” has the meaning given in section 3(2)(b), • “parent undertaking” has the meaning given by Article 4.1(15)(a) of the capital requirements regulation, and • “subsidiary” has the meaning given by Article 4.1(16) of the capital requirements regulation.
- consolidating supervisor
means supervisor responsible for the exercise of supervision of an entity on a consolidated basis, • “group” has the meaning given in section 3(2)(b), • “parent undertaking” has the meaning given by Article 4.1(15)(a) of the capital requirements regulation, and • “subsidiary” has the meaning given by Article 4.1(16) of the capital requirements regulation.
- continuity authority
has the same meaning as in sections 66 and 67.
- contract
includes any instrument;
- controller
has the same meaning as in the Financial Services and Markets Act 2000 (see section 422), • “group” has the meaning given by section 3(2)(b), and • “specified” means specified in a notice in writing.
- core business lines
means business lines and associated services which represent material sources of revenue, profit or franchise value for the third-country institution or its UK branch (or in the case of an instrument made in relation to a resolution company, of the resolution company);
- court
means— (a) the High Court;
- credit institution
means any credit institution as defined in Article 4.1(1) of Regulation (EU) No 575/2013 of the European Parliament and of the Council, other than an entity mentioned in Article 2.5(2), (3) or (24) of Directive 2013/36/EU of the European Parliament and of the Council;
- crisis management measure
has the meaning given in Article 2.1(102) of the recovery and resolution directive, and accordingly in relation to the United Kingdom means— (a) the exercise of a stabilisation power in relation to the bank by the Bank of England or the Treasury, (b) the appointment of a resolution administrator under section 62B, (c) the recognition by the Bank of England of third-country resolution action (or part of such action) in accordance with Chapter 5 of this Part, or (d) the exercise by the Bank of a stabilisation power by virtue of section 89I(3) (exercise of powers in support of third-country resolution action);
- default event provision
means a Type 1 or Type 2 default event provision (see subsections (2) and (3));
- deposit
has the meaning given by article 5(2) of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001, but ignoring the exclusions in article 6.
- designated settlement system
means a system which is designated in accordance with the Financial Markets and Insolvency (Settlement Finality) Regulations 1999 (S.I. 1999/2979);
- digital settlement asset
means a digital representation of value or rights, whether or not cryptographically secured, that—
- digital settlement asset exchange provider
means a person who provides one or more of the following services, including as creator or issuer of any of the digital settlement assets, by—
- eligible claim
means a claim in respect of which compensation is payable under the Financial Services Compensation Scheme... • “eligible deposit” means a deposit in respect of which the person, or any of the persons, to whom it is owed would be eligible for compensation under the Financial Services Compensation Scheme....
- eligible deposit
means a deposit in respect of which the person, or any of the persons, to whom it is owed would be eligible for compensation under the Financial Services Compensation Scheme....
- eligible depositors
means depositors who are eligible for compensation under the FSCS.
- eligible liabilities
has the meaning given by section 3A(4A), • “extraordinary public financial support” means financial assistance that is provided by the Treasury or the Bank of England in order to preserve or restore the viability, liquidity or solvency of a bank, a banking group company or a group which includes a bank, other than— (a) ordinary market assistance offered by the Bank of England on its usual terms,...
- employee
includes the holder of an office;
- enactment
includes—
- excluded person
means— (a) a person who has been declared to be, or who is an operator of, a designated system under regulation 4 of the Financial Markets and Insolvency (Settlement Finality) Regulations 1999, (b)...
- extraordinary public financial support
means financial assistance that is provided by the Treasury or the Bank of England in order to preserve or restore the viability, liquidity or solvency of a bank, a banking group company or a group which includes a bank, other than— (a) ordinary market assistance offered by the Bank of England on its usual terms,...
- FCA
means the Financial Conduct Authority;
- financial assistance
has the meaning given by section 257. • “own funds” means own funds as defined in Article 4.1(118) of the capital requirements regulation (read with Title I of Part Ten of that regulation), • “own funds requirements” means the requirements laid down in Articles 92 and 93 of the capital requirements regulation and Article 94 of Chapter 3 of the Trading Book (CRR) Part of the PRA Rulebook (read with Title I of Part Ten of that regulation), • “the recovery and resolution directive” means Directive 2014/59/EU of the European Parliament and of the Council of 15th May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms as last amended by Directive (EU) 2019/879 of the European Parliament and of the Council of 20th May 2019, • “relevant capital instruments” means Additional Tier 1 instruments and Tier 2 instruments, • “relevant internal liabilities” of a bank or banking group company means eligible liabilities held by a resolution entity in the same resolution group as the bank or banking group company, either directly or indirectly (through other entities in the same resolution group that bought the liabilities
- financial assistance case
has the meaning given in section 81B(8);... •...
- financial holding company
has the meaning given in Article 4.1(2) of the capital requirements regulation (within the meaning of section 3);
- financial institution
has the same meaning as in the capital requirements regulation;
- foreign law
means the law of a country or territory outside the United Kingdom.
- foreign property
means—
- Foreign resolution authority
means—
- former group company
means anything which was a group undertaking in relation to the transferred bank immediately before the transfer (whether or not it is also a group undertaking in relation to the transferred bank immediately after the transfer),
- FSCS
means the Financial Services Compensation Scheme (established under Part 15 of the Financial Services and Markets Act 2000);
- group
means a parent undertaking within the meaning given by Article 4.1(15)(a) of the capital requirements regulation and its subsidiaries within the meaning given by Article 4.1(16) of that regulation.
- group company
means anything which is, or was immediately before the transfer, a group undertaking in relation to a residual bank,
- group financial support agreement
has the meaning given by section 192JB(4) of the Financial Services and Markets Act 2000;
- group undertaking
has the meaning given by section 1161(5) of the Companies Act 2006 (interpretation),
- immediate group
has the meaning given by section 421ZA of the Financial Services and Markets Act 2000.
- immunity
means immunity from liability in damages in respect of action or inaction, and
- imposing a sanction
means—
- Information requirement
means a requirement imposed by an investigator under section 83ZG, 83ZH or 83ZJ.
- insolvency
includes a reference to—
- insolvency date
means the date on which the bank administration order is made;
- insolvency power
means—
- insolvency proceedings
means such insolvency proceedings (whether or not under the law of a country or territory outside the United Kingdom) as the person carrying out the valuation, after consultation with the Bank of England and the Treasury, considers relevant. 9 Where appropriate, the information in subsection (7)(c) may be supplemented by an analysis and estimate of the value of the business of the UK branch on a market value basis in order to inform the decision referred to in paragraph (a)(ii) or (iii) of subsection (4). 10 Where a provisional valuation is carried out under subsection (3)— a the Bank of England need only comply with subsection (7) as far as it is reasonable to do so in the circumstances, and b the requirement in subsection (8) to consult the Bank of England does not apply. 11 A provisional valuation carried out under subsection (1) must make provision in respect of additional losses by the third-country institution in accordance with— a any Commission Regulation containing regulatory technical standards adopted by the European Commission under article 36.16 of the recovery and resolution directive, so far are as they are assimilated law, or b technical sta
- institution
(except in the phrase “financial institution”) means a bank, building society (within the meaning of section 119 of the Building Societies Act 1986) or investment firm;
- insurance mediation activity
has the meaning given by paragraph 2(5) of Schedule 6 to that Act (read as mentioned in paragraph 2(6) of that Schedule);
- Investigative power
means one of the powers mentioned in subsection (1).
- investigator
means a person appointed under section 83ZC or 83ZD, • “relevant person”, in relation to a person who is required to produce a document, means a person who— (a) has been or is or is proposed to be a director or controller of that person, (b) has been or is an auditor of that person, (c) has been or is an actuary, accountant or lawyer appointed or instructed by that person, or (d) has been or is an employee of that person.
- investment activity
means— (a) anything that falls within the definition of “investment services and activities” in section 417(1) of that Act;
- investment bank
means an institution which satisfies the following conditions.
- investment firm
means a UK institution which is (or, but for the exercise of a stabilisation power, would be) an investment firm for the purposes of Regulation (EU) No. 575/2013 of the European Parliament and of the Council as it forms part of assimilated law.
- issuing authority
means— (a) the Bank of England, or (b) an authorised bank in its capacity as an issuer of banknotes in Scotland or Northern Ireland;
- legislation
means primary legislation, subordinate legislation (within the meaning of the Interpretation Act 1978) and assimilated direct legislation, but does not include rules or other instruments made by any regulator;
- licence
includes permission and approval and any other permissive document in respect of anything transferred.
- micro, small and medium-sized enterprises
means micro, small and medium-sized enterprises as defined with regard to the annual turnover criterion referred to in Article 2(1) of the Annex to Commission Recommendation 2003/361/EC. 17A For the purposes of the definition of “core business lines” Article 7 of Commission Delegated Regulation (EU) 2016/778 (criteria relating to the determination of core business lines) applies. 17B The Treasury may by regulations made by statutory instrument specify criteria for the determination of the business lines and associated services referred to in the definition of “core business lines”. 17C The power conferred by subsection (16) includes— a power to amend or revoke Article 7 of Commission Delegated Regulation (EU) 2016/778;
- mixed activity holding company
has the meaning given in Article 4.1(22) of the capital requirements regulation;
- mixed financial holding company
has the meaning given in Article 4.1(21) of the capital requirements regulation (within the meaning of section 3).
- modify
includes amend, repeal or revoke.
- money
includes credit.
- netting arrangements
means arrangements under which a number of claims or obligations can be converted into a net claim or obligation, and includes, in particular, “close-out” netting arrangements, under which actual or theoretical debts are calculated during the course of a contract for the purpose of enabling them to be set off against each other or to be converted into a net debt;
- normal insolvency proceedings
means the collective insolvency proceedings which— (a) entail the partial or total divestment of a debtor and the appointment of a liquidator or administrator (or a similar officeholder), (b) are normally applicable to institutions under the law of any part of the United Kingdom, and (c) are either specific to those institutions or generally applicable to any natural or legal person;
- Officer
means an officer of the Bank of England, and includes a member of the Bank’s staff or an agent of the Bank.
- on a consolidated basis
means on the basis of the consolidated situation, • “consolidated situation” means the situation that results from an entity being treated, for the purposes of the capital requirements regulation or CRR rules (as appropriate), as if that entity and one or more other entities formed a single entity, • “consolidating supervisor” means supervisor responsible for the exercise of supervision of an entity on a consolidated basis, • “group” has the meaning given in section 3(2)(b), • “parent undertaking” has the meaning given by Article 4.1(15)(a) of the capital requirements regulation, and • “subsidiary” has the meaning given by Article 4.1(16) of the capital requirements regulation.
- onward transfer
means a transfer (whether or not under a power in this Part) of securities issued by a bank where—
- own funds
means own funds as defined in Article 4.1(118) of the capital requirements regulation (read with Title I of Part Ten of that regulation), • “own funds requirements” means the requirements laid down in Articles 92 and 93 of the capital requirements regulation and Article 94 of Chapter 3 of the Trading Book (CRR) Part of the PRA Rulebook (read with Title I of Part Ten of that regulation), • “the recovery and resolution directive” means Directive 2014/59/EU of the European Parliament and of the Council of 15th May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms as last amended by Directive (EU) 2019/879 of the European Parliament and of the Council of 20th May 2019, • “relevant capital instruments” means Additional Tier 1 instruments and Tier 2 instruments, • “relevant internal liabilities” of a bank or banking group company means eligible liabilities held by a resolution entity in the same resolution group as the bank or banking group company, either directly or indirectly (through other entities in the same resolution group that bought the liabilities from the bank or banking group company), • “resolution entity”
- own funds requirements
means the requirements laid down in Articles 92 and 93 of the capital requirements regulation and Article 94 of Chapter 3 of the Trading Book (CRR) Part of the PRA Rulebook (read with Title I of Part Ten of that regulation), • “the recovery and resolution directive” means Directive 2014/59/EU of the European Parliament and of the Council of 15th May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms as last amended by Directive (EU) 2019/879 of the European Parliament and of the Council of 20th May 2019, • “relevant capital instruments” means Additional Tier 1 instruments and Tier 2 instruments, • “relevant internal liabilities” of a bank or banking group company means eligible liabilities held by a resolution entity in the same resolution group as the bank or banking group company, either directly or indirectly (through other entities in the same resolution group that bought the liabilities from the bank or banking group company), • “resolution entity” means an entity which is identified by the Bank of England in a resolution plan or a group resolution plan under Part 5 of the Bank Recovery and Resolut
- parent
means a parent undertaking within the meaning given by section 1162 of the Companies Act 2006;
- parent undertaking
has the meaning given by Article 4.1(15)(a) of the capital requirements regulation, and • “UK parent undertaking” means a parent undertaking that is incorporated in, or formed under the law of, any part of the United Kingdom. 7 Examples of special bail-in provision include— a provision that transactions or events of any specified kind have or do not have (directly or indirectly) specified consequences or are to be treated in a specified manner for specified purposes;
- Part 1 instrument
means— (a) a mandatory reduction instrument, (b) a share transfer instrument, (c) a property transfer instrument, or (d) a resolution instrument. • “recognised third-country resolution action” means third-country resolution action, or a part of such action, recognised by the Bank of England in an instrument under section 89H(2);
- Part 4A permission
has the meaning given by section 55A of the Financial Services and Markets Act 2000,
- partial property transfer
means a property transfer instrument which provides for the transfer of some, but not all, of the property, rights and liabilities of a bank.
- partner
includes a person purporting to act as partner.
- pension scheme
includes any arrangement for the payment of pensions, allowances and gratuities;
- PRA
means the Prudential Regulation Authority;
- pre-transfer shareholder or creditor
means a person who—
- property transfer instrument
includes—
- protected arrangements
means security interests, title transfer collateral arrangements, set-off arrangements and netting arrangements.
- protected deposit
has the meaning given by section 48C, and • “micro, small and medium-sized enterprises” means micro, small and medium-sized enterprises as defined with regard to the annual turnover criterion referred to in Article 2(1) of the Annex to Commission Recommendation 2003/361/EC. 17A For the purposes of the definition of “core business lines” Article 7 of Commission Delegated Regulation (EU) 2016/778 (criteria relating to the determination of core business lines) applies. 17B The Treasury may by regulations made by statutory instrument specify criteria for the determination of the business lines and associated services referred to in the definition of “core business lines”. 17C The power conferred by subsection (16) includes— a power to amend or revoke Article 7 of Commission Delegated Regulation (EU) 2016/778;
- Protected items
means—
- public financial assistance
includes any amount in respect of which the Bank of England may require a recapitalisation payment under section 214E of the Financial Services and Markets Act 2000.
- public funds
means the Consolidated Fund and any other account or source of money which cannot be drawn or spent other than by, or with the authority of, the Treasury, and
- recognised central counterparty
has the meaning given in section 285 of the Financial Services and Markets Act 2000;
- recognised investment exchange
has the meaning given by section 285 of that Act.
- recognised third-country resolution action
means third-country resolution action, or a part of such action, recognised by the Bank of England in an instrument under section 89H(2);
- regulated market
has the meaning given in section 103(1) of the Financial Services and Markets Act 2000.
- regulatory requirement
means a requirement imposed— and for the purposes of this definition, “capital requirements directive” means Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC.
- regulatory technical standards
means—
- relevant capital instruments
means Additional Tier 1 instruments and Tier 2 instruments, • “relevant internal liabilities” of a bank or banking group company means eligible liabilities held by a resolution entity in the same resolution group as the bank or banking group company, either directly or indirectly (through other entities in the same resolution group that bought the liabilities from the bank or banking group company), • “resolution entity” means an entity which is identified by the Bank of England in a resolution plan or a group resolution plan under Part 5 of the Bank Recovery and Resolution (No.2) Order 2014 as an entity in respect of which— (a) the Bank of England might exercise a stabilisation power, or (b)...
- relevant day
means the day on which the Bank Recovery and Resolution Order 2014 (which inserted this section into this Act) was made;
- relevant firm
means—
- relevant institution
means the third-country institution or resolution company whose liabilities are so transferred.”
- relevant liability
means a liability of a third-country institution or resolution company which is transferred in the property transfer instrument which makes special bail-in provision, b “relevant institution” means the third-country institution or resolution company whose liabilities are so transferred.”
- relevant MAHC
means a mixed activity holding company (within the meaning given by Article 4.1(22) of the capital requirements regulation) which has at least one subsidiary which— (a) is an institution, and (b) is not a subsidiary of a financial holding company which is also a subsidiary of the mixed activity holding company;
- relevant person
means—
- relevant requirement
means—
- relevant third-country authority
has the meaning given by section 81AA(14)... and “third-country resolution action” has the meaning given by section 89H(7), • “resolution group” means a resolution entity together with any subsidiary that— (a) is not a resolution entity itself, (b) is not a subsidiary of another resolution entity, and (c) where the subsidiary is established in a country or territory other than the United Kingdom, is stated by the group resolution plan under Part 5 of the Bank Recovery and Resolution (No.2) Order 2014 to be included in the resolution group, and for the purpose of this definition “subsidiary” has the meaning given by Article 4.1(16) of the capital requirement
- reporting date
means the last day of the reporting period.
- reporting period
means the period to which the report relates, and
- residual bank
means a bank all or part of whose business has been transferred in accordance with section 11(2)(b), 12(2), 12ZA(3), 41A(2) or 44D(2),
- Resolution administrator appointment instrument
means an instrument under section 62B(2)(a).
- resolution company
means a bridge bank or an asset management vehicle.
- resolution entity
means an entity which is identified by the Bank of England in a resolution plan or a group resolution plan under Part 5 of the Bank Recovery and Resolution (No.2) Order 2014 as an entity in respect of which— (a) the Bank of England might exercise a stabilisation power, or (b)...
- resolution group
means a resolution entity together with any subsidiary that— (a) is not a resolution entity itself, (b) is not a subsidiary of another resolution entity, and (c) where the subsidiary is established in a country or territory other than the United Kingdom, is stated by the group resolution plan under Part 5 of the Bank Recovery and Resolution (No.2) Order 2014 to be included in the resolution group, and for the purpose of this definition “subsidiary” has the meaning given by Article 4.1(16) of the capital requirements regulation, • “Tier 2 instruments” means capital instruments or subordinated loans that meet the conditions laid down in Article 63 of the capital requirements
- restriction
includes—
- retail cash distribution
means arrangements for the provision of cash to end users of cash.
- rules
means general rules (within the meaning of the Financial Services and Markets Act 2000) made by virtue of section 137B(1) of that Act;
- Schedule 9 to the 2015 Act
means Schedule 9 to the Small Business, Enterprise and Employment Act 2015 (further amendments relating to the abolition of requirements to hold meetings: company insolvency).
- secured
means secured against property or rights, or otherwise covered by collateral arrangements;
- securities
includes anything falling within any of the following classes.
- security interest
means an interest or right held for the purpose of securing the payment of money or the performance of any other obligation.
- security interests
means arrangements under which one person acquires, by way of security, an actual or contingent interest in the property of another;
- senior manager
means a person who—
- service contract
has the meaning given by section 227 of the Companies Act 2006, and • “transfer date” means the date or time on or at which a share transfer instrument or order (or the relevant part of it) takes effect.
- set-off arrangements
means arrangements under which two or more debts, claims or obligations can be set off against each other;
- specified
means specified in the notice.
- specified parent undertaking
means a company by which in accordance with provision falling within paragraph (g) of section 84ZA(3) or paragraph (a) or (b) of section 84A(8) the successor company is (or is to be) wholly owned;
- subsidiary
has the meaning given by Article 4.1(16) of the capital requirements regulation, • “Tier 2 instruments” means capital instruments or subordinated loans that meet the conditions laid down in Article 63 of the capital requirements regulation (or which qualify as Tier 2 instruments by virtue of Chapter 2 or 4 of Title I of Part Ten of that regulation),
- supply
includes a reference to supply by persons other than the residual bank.
- Surplus
means remaining after the satisfaction of liabilities to creditors and shareholders.
- termination right
means—
- the capital requirements regulation
means Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26th June 2013 on prudential requirements for credit institutions and investment firms, as it forms part of assimilated law, • “CRR rules” has the meaning given in section 144A of the Financial Services and Markets Act 2000, • “client assets” means assets which an institution has undertaken to hold for a client (whether or not on trust, and whether or not the undertaking has been complied with), • “Common Equity Tier 1 instruments” means capital instruments that meet the conditions laid down in Article 28(1) to (4), or 29(1) to (5)... of the capital requirements regulation (or which qualify as Common Equity Tier 1 instruments by virtue of Chapter 2 of Title I of Part Ten of that regulation), • “critical functions”, subject to subsections (2) and (2A), means activities, services or operations (wherever carried out) the discontinuance of which is likely...— (a) to lead to the disruption of services that are essential to the economy of the United Kingdom, or (b) to disrupt financial stability in the United Kingdom, due to the size, market share, external and interna
- The continuity authority
means—
- the court
means—
- the data protection legislation
has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act);
- the Disqualification Act
means the Company Directors Disqualification Act 1986.
- the FCA
means the Financial Conduct Authority, and • “financial assistance” has the meaning given by section 257. • “own funds” means own funds as defined in Article 4.1(118) of the capital requirements regulation (read with Title I of Part Ten of that regulation), • “own funds requirements” means the requirements laid down in Articles 92 and 93 of the capital requirements regulation and Article 94 of Chapter 3 of the Trading Book (CRR) Part of the PRA Rulebook (read with Title I of Part Ten of that regulation), • “the recovery and resolution directive” means Directive 2014/59/EU of the European Parliament and of the Council of 15th May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms as last amended by Directive (EU) 2019/879 of the European Parliament and of the Council of 20th May 2019, • “relevant capital instruments” means Additional Tier 1 instruments and Tier 2 instruments, • “relevant internal liabilities” of a bank or banking group company means eligible liabilities held by a resolution entity in the same resolution group as the bank or banking group company, either directly or indirectly (through other entities in
- the general conditions
means the general conditions for the exercise of a stabilisation power set out in section 7;
- the Payment Systems Regulator
means the Payment Systems Regulator established under section 40 of the Financial Services (Banking Reform) Act 2013, and
- the PRA
means the Prudential Regulation Authority, • “the FCA” means the Financial Conduct Authority, and • “financial assistance” has the meaning given by section 257. • “own funds” means own funds as defined in Article 4.1(118) of the capital requirements regulation (read with Title I of Part Ten of that regulation), • “own funds requirements” means the requirements laid down in Articles 92 and 93 of the capital requirements regulation and Article 94 of Chapter 3 of the Trading Book (CRR) Part of the PRA Rulebook (read with Title I of Part Ten of that regulation), • “the recovery and resolution directive” means Directive 2014/59/EU of the European Parliament and of the Council of 15th May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms as last amended by Directive (EU) 2019/879 of the European Parliament and of the Council of 20th May 2019, • “relevant capital instruments” means Additional Tier 1 instruments and Tier 2 instruments, • “relevant internal liabilities” of a bank or banking group company means eligible liabilities held by a resolution entity in the same resolution group as the bank or banking group company, e
- the recovery and resolution directive
means Directive 2014/59/EU of the European Parliament and of the Council of 15th May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms as last amended by Directive (EU) 2019/879 of the European Parliament and of the Council of 20th May 2019, • “relevant capital instruments” means Additional Tier 1 instruments and Tier 2 instruments, • “relevant internal liabilities” of a bank or banking group company means eligible liabilities held by a resolution entity in the same resolution group as the bank or banking group company, either directly or indirectly (through other entities in the same resolution group that bought the liabilities from the bank or banking group company), • “resolution entity” means an entity which is identified by the Bank of England in a resolution plan or a group resolution plan under Part 5 of the Bank Recovery and Resolution (No.2) Order 2014 as an entity in respect of which— (a) the Bank of England might exercise a stabilisation power, or (b)...
- The relevant post-transfer period
means the period of two years beginning with the day of the transfer mentioned in subsection (3A)(a), subject to any extension under subsection (3D).
- the shortfall amount
means the sum of the amounts referred to in Article 47.3(b) and (c) of the resolution and recovery directive less the amount of any recapitalisation payment required under section 214E of the Financial Services and Markets Act 2000 in relation to the bank in question.
- The threshold conditions
means the threshold conditions, as defined by subsection (1) of section 55B of the Financial Services and Markets Act 2000, for which the PRA (or in the case of an FCA-regulated third-country institution, the FCA) is treated as responsible under subsection (2) of that section. 9 For the purposes of Condition 3— • “UK creditor”, in relation to a third-country institution, means a creditor of the institution who— (a) in the case of an individual, is ordinarily resident in the United Kingdom;
- the transfer
includes such a cancellation or conversion).
- the transferred business
means the part of the bank's business that has been transferred, and
- the UK financial system
has the meaning given... by section 1I of the Financial Services and Markets Act 2000...,
- third country central counterparty
has the meaning given in section 285 of the Financial Services and Markets Act 2000.
- third party
includes a group company.
- third-country group company
means an undertaking— (a) which is (or, but for third-country resolution action or the exercise of a stabilisation power, would be) in the same group as a third-country institution or a third-country parent undertaking, and (b) in respect of which any conditions specified in an order made by the Treasury under section 81D are met (applying that order as if references to the bank were references to the third-country institution or third-country parent undertaking), • “third-country institution” means an institution established in a country or territory other than the United Kingdom that would, if it were established within the United Kingdom, be regarded as a bank, building society, credit union or investment firm;
- third-country institution
has the same meaning as in section 89H, and a third-country institution is “FCA-regulated” if it does not carry on any activity which is a PRA-regulated activity for the purposes of the Financial Services and Markets Act 2000,
- third-country parent financial holding company
means a parent financial holding company (within the meaning of Article 4.1(30) of the capital requirements regulation) established or formed under the law of a country or territory outside the United Kingdom;
- third-country parent institution
means a parent institution (within the meaning of Article 4.1(28) of the capital requirements regulation) established or formed under the law of a country or territory outside the United Kingdom;
- third-country parent mixed financial holding company
means a parent mixed financial holding company (within the meaning of Article 4.1(32) of the capital requirements regulation) established or formed under the law of a country or territory outside the United Kingdom;
- third-country parent undertaking
means a parent undertaking, parent financial holding company or a parent mixed financial holding company established in a country or territory outside the United Kingdom;
- third-country resolution action
has the meaning given by section 89H(7), • “resolution group” means a resolution entity together with any subsidiary that— (a) is not a resolution entity itself, (b) is not a subsidiary of another resolution entity, and (c) where the subsidiary is established in a country or territory other than the United Kingdom, is stated by the group resolution plan under Part 5 of the Bank Recovery and Resolution (No.2) Order 2014 to be included in the resolution group, and for the purpose of this definition “subsidiary” has the meaning given by Article 4.1(16) of the capital requirements regulation, • “Tier 2 instruments” means capital instruments or subordinated loans
- Tier 2 instruments
means capital instruments or subordinated loans that meet the conditions laid down in Article 63 of the capital requirements regulation (or which qualify as Tier 2 instruments by virtue of Chapter 2 or 4 of Title I of Part Ten of that regulation),
- title transfer collateral arrangements
means arrangements under which Person 1 transfers assets to Person 2 on terms providing for Person 2 to transfer assets if specified obligations are discharged.
- transfer
means a transfer provided for by a share transfer instrument or order, by a mandatory reduction instrumentor by a resolution instrument.
- transfer date
means the date or time on or at which a share transfer instrument or order (or the relevant part of it) takes effect.
- transferee
means a commercial purchaser or resolution company to whom all or part of the transferred business has been transferred.
- transferred bank
means a bank all or part of the ownership of which has been transferred in accordance with section 11(2)(a), 12(2)(a) or 13(2), or which falls within subsection (1A),
- wholesale cash distribution
means the arrangements (taken as a whole) by which banknotes issued by an issuing authority, or coins made by the Mint, are— (a) made available for retail cash distribution, and (b) removed from circulation;