- agency worker
has the meaning given by section 13(2) of the Employment Relations Act 1999;
- Applicable UK law
means: a this Regulation, as it applies to STS securitisations, and b the Securitisation Regulations 2018 (S.I. 2018/2188), as those regulations apply to STS securitisations. 4 In making regulations under paragraph 1, the Treasury must have regard, in addition to any other matters they consider relevant, to whether the FCA (and, where relevant, the PRA) have established effective cooperation arrangements with the competent authorities of the country or territory. 5 When considering whether to make, vary or revoke regulations under paragraph 1, the Treasury may, by making a request in writing to the FCA, require the FCA to prepare a report on the law and practice of a country or territory outside the United Kingdom, or particular aspects of such law and practice, in relation to securitisations of descriptions specified in the request. 6 If the Treasury request a report under paragraph 5, the FCA must: a consult the PRA when preparing the report, and b provide the Treasury with the report within such reasonable period as may be specified in the request (or such other period as may be agreed with the Treasury). 7 Regulations under paragraph 1 may— a specify matters
- appointment
includes re-appointment.
- arrangements
includes any agreement, understanding, scheme, transaction or series of transactions;
- authorised bank
has the meaning given by section 210;
- authorised persons
includes, in relation to rules made under this section, a reference to any persons to whom the rules under this section apply. 71O 1 The FCA may by directions impose such requirements on a person, or such description of persons, relating to the carrying on of designated activities as the FCA considers appropriate. 2 The power under subsection (1) is only exercisable in so far as designated activity regulations provide for the FCA to make directions relating to the designated activity. 3 A requirement may, in particular, be imposed so as to require the person concerned— a to take specified action, or b to refrain from taking specified action. 4 A requirement may extend to activities which are not designated activities. 5 A direction under this section— a may specify the way in which, and the time by which, a thing is to be done;
- Bank
means the Bank of England;
- banknote
has the meaning given by section 208;
- bridge central counterparty
has the meaning given by paragraph 29(1);
- business
includes any part of a business.
- 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;
- 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);
- cash call instrument
has the meaning given by paragraph 32;
- CCP
means a recognised central counterparty (see paragraph 155);
- central counterparty
means a body corporate or an unincorporated association which interposes itself between the counterparties to the contracts traded on one or more financial markets, becoming the buyer to every seller and the seller to every buyer;
- clearing member
has the meaning given in Article 2 of EMIR and, unless otherwise provided, includes an interoperable CCP;
- commodities
includes— a units recognised for compliance with the requirements of EU Directive 2003/87/EC establishing a scheme for greenhouse gas emission allowance trading, b allowances under paragraph 5 of Schedule 2 to the Climate Change Act 2008 relating to a trading scheme dealt with under Part 1 of that Schedule (schemes limiting activities relating to emissions of greenhouse gas), and c renewables obligation certificates issued— i by the Gas and Electricity Markets Authority under an order made under section 32B of the Electricity Act 1989, or ii by the Northern Ireland Authority for Utility Regulation under the Energy (Northern Ireland) Order 2003 (S.I. 2003/419 (N.I. 6)) and pursuant to an order made under Articles 52 to 55F of that Order. 7 1 Where this Schedule applies in relation to an insurer, a provision of a relevant contract, entered into by the insurer before the insurer first enters into financial difficulties, ceases to have effect if, and to the extent that, under the provision— a the contract would terminate, a supply would cease, or any other thing would occur, because the insurer is in financial difficulties, or b another party to the contract would be enti
- Compliance failure
means—
- conditional sale agreement
means an agreement for the sale of goods under which— (a) the purchase price or part of it is payable by instalments, and (b) the property in the goods is to remain with the seller (notwithstanding that the buyer is to be in possession of the goods) until such conditions as to the payment of instalments or otherwise as may be specified in the agreement are fulfilled;” “• “enactment” includes— (a) an enactment contained in subordinate legislation within the meaning of the Interpretation Act 1978;
- consumer
has the same meaning as in section 3B of FSMA 2000 (and for these purposes includes in particular persons who receive FMI services). 30F 1 There is to be a committee of the Bank known as the Financial Market Infrastructure Committee (the “FMI Committee”). 2 The FMI Committee is to consist of— a a chair appointed by the Bank;
- contract
includes a contract of insurance;
- contract or other instrument involving financial services
has the meaning given by Schedule ZA2 to the 1986 Act, but does not include an agreement which is, or forms part of, an arrangement involving the issue of a capital market investment (see paragraph 6 of that Schedule);
- controller
has the meaning given by section 422 of FSMA 2000;
- court
means— (a) the High Court, (b) in Scotland, the Court of Session;
- credit union
has the meaning given by section 31(1) of the Credit Unions Act 1979 or Article 2(2) of the Credit Unions (Northern Ireland) Order 1985;
- creditor
includes a contingent or prospective creditor. 377B 1 Each of the following is an “excluded liability”— a a liability with an original maturity of less than 7 days;
- critical clearing services
means clearing services the withdrawal of which the Bank considers may threaten the stability of the UK financial system;
- critical third party
has the same meaning as in Chapter 3C (see section 312L(8);”
- cryptoasset
means any cryptographically secured digital representation of value or contractual rights that— (a) can be transferred, stored or traded electronically, and (b) that uses technology supporting the recording or storage of data (which may include distributed ledger technology).”
- Current account
means an account by means of which one or more named persons are able to— a place cash, b withdraw cash, and c execute and receive payment transactions to and from third parties, including the execution of credit transfers. 3 For the purposes of subsection (2)(c), “payment transaction” means an act initiated by the payer or payee, or on behalf of the payer, of placing, transferring or withdrawing funds, irrespective of any underlying obligations between the payer and payee. 4 A “relevant personal current account” means a relevant current account held by one or more individuals for purposes outside any business, trade, craft or profession of that individual or those individuals. 5 “Relevant current account provider” means a person— a who has a Part 4A permission to accept deposits, and b who provides current accounts in reliance on that permission (“relevant current accounts”). 6 But the following are not relevant current account providers— a credit unions, within the meaning given by section 31(1) of the Credit Unions Act 1979 or Article 2(2) of the Credit Unions (Northern Ireland) Order 1985 (S.I. 1985/1205)(N.I.12);
- customer
includes a potential customer;
- data protection legislation
has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act). 5D Where representations are made to the Payment Systems Regulator by a Committee of the House of Commons or the House of Lords or a Joint Committee of both Houses in accordance with subsection (3)(d), the Payment Systems Regulator’s account mentioned in subsection (5) must also describe how the Payment Systems Regulator has considered the representations made by that Committee in making the proposed requirement.”
- data reporting service provider
has the meaning given by regulation 2 of the Data Reporting Services Regulations 2017 (S.I. 2017/699).”
- default event provision
means a Type 1 or Type 2 default event provision (see sub-paragraphs (2) and (3));
- deference decision
means a decision of the Treasury that the law and practice of another country or territory is, so far as relating to financial services and markets, equivalent to the law and practice of the United Kingdom (either generally or as it relates to a particular matter);
- designated activity
has the meaning given in section 71K;”
- Designated senior management function
means a function of a description specified in rules made by the appropriate regulator. 4 The appropriate regulator may specify a description of function under subsection (3) only if it is satisfied that the function is a senior management function. 5 A function is a “senior management function” in relation to the carrying on of a relevant recognised body’s activities if— a the function will require the person performing it to be responsible for managing one or more aspects of the body’s affairs, and b those aspects involve, or might involve, a risk of serious consequences— i for the body, or ii for business or other interests in the United Kingdom. 6 In subsection (5)(a), the reference to managing one or more aspects of a relevant recognised body’s affairs includes a reference to taking decisions, or participating in the taking of decisions, about how one or more aspects of those affairs should be carried on. 7 In subsection (2), “arrangement”— a means any kind of arrangement for the performance of a function of a relevant recognised body which is entered into by the body, or by a contractor of the body, and another person, and b includes, i
- designated system
has the meaning given by regulation 2 of the Financial Markets and Insolvency (Settlement Finality) Regulations 1999 (S.I. 1999/2979) as amended from time to time;
- digital settlement asset
means a digital representation of value or rights, whether or not cryptographically secured, that—
- digital settlement asset exchange provider
has the meaning given by section 182(5B) of the Banking Act 2009;”
- director
includes, in relation to a CCP which has no board of directors, a member of the equivalent management body responsible for the management of the CCP concerned;
- discretionary payment
has the meaning given by paragraph 13(11) of Schedule 11 to the Financial Services and Markets Act 2023 and “employee” has the meaning given by paragraph 154 of that Schedule). 7 The powers conferred by section 55L(5) (FCA power to impose requirements on application of authorised persons with Part 4A permission) are exercisable by the Bank to impose requirements on a relevant FMI entity on the application of that entity. 8 A power conferred by this paragraph is exercisable whether or not there is a relationship between the entity in relation to which it is exercised and the persons whose interests will be protected by its exercise. 9 The following provisions apply in relation to requirements imposed by the Bank under this paragraph as they apply in relation to requirements imposed by the FCA under section 55L, with the modifications in sub-paragraph (10)— a section 55L(6) (power to refuse application to impose etc requirements);
- discretionary payments
has the meaning given in paragraph 13;
- domestic law
means the law of England and Wales, Scotland or Northern Ireland;
- domestic PEP
means a politically exposed person entrusted with prominent public functions by the United Kingdom;
- eligible claim
means a claim in respect of which compensation is payable under the Financial Services Compensation Scheme.
- EMIR
means Regulation (EU) No 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, central counterparties and trade repositories;
- employee
has the meaning given by paragraph 154 of that Schedule). 7 The powers conferred by section 55L(5) (FCA power to impose requirements on application of authorised persons with Part 4A permission) are exercisable by the Bank to impose requirements on a relevant FMI entity on the application of that entity. 8 A power conferred by this paragraph is exercisable whether or not there is a relationship between the entity in relation to which it is exercised and the persons whose interests will be protected by its exercise. 9 The following provisions apply in relation to requirements imposed by the Bank under this paragraph as they apply in relation to requirements imposed by the FCA under section 55L, with the modifications in sub-paragraph (10)— a section 55L(6) (power to refuse application to impose etc requirements);
- enactment
means an enactment whenever passed or made and includes— (a) an enactment contained in any Order in Council, order, rules, regulations, scheme, warrant, byelaw or other instrument made under an Act, (b) an enactment contained in, or in an instrument made under, an Act of the Scottish Parliament, (c) an enactment contained in, or in an instrument made under, a Measure or Act of Senedd Cymru, (d) an enactment contained in, or in an instrument made under, Northern Ireland legislation, and (e) any assimilated direct legislation;
- 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 (S.I. 1999/2979), (b) a CCP, (c) a third-country central counterparty (within the meaning given by section 285 of FSMA 2000), or (d) a central bank.
- extraordinary public financial support
means financial assistance that is provided by the Treasury or the Bank in order to preserve or restore the viability, liquidity or solvency of a CCP, a CCP group company or a group which includes a CCP, other than— (a) ordinary market assistance offered by the Bank on its usual terms, or (b) a liquidity facility which is provided— (a) to a CCP that is facing temporary liquidity problems but is solvent, and (b) by the Bank on its own initiative and on its own terms;
- FCA
means the Financial Conduct Authority;
- financial assistance
includes giving guarantees or indemnities and any other kind of financial assistance (actual or contingent).
- financial assistance case
means a case in which the Treasury notify the Bank that they have provided financial assistance in respect of a CCP in the same group for the purpose of resolving or reducing a serious threat to the stability of the UK financial system.
- Financial contract
means— a a contract for the provision of financial services consisting of— i lending (including the factoring and financing of commercial transactions), ii financial leasing, or iii providing guarantees or commitments;
- Financial Stability Objective
means the objective set out in section 2A of the Bank of England Act 1998;”
- floating charge
has the meaning given by section 251 of the 1986 Act or paragraph (1) of Article 5 of the 1989 Order;
- foreign country
means a country or territory outside the United Kingdom;
- foreign law
means the law of a country or territory outside the United Kingdom.
- foreign property
means—
- Foreign resolution authority
means an authority, in a country or territory outside the United Kingdom, which exercises functions referred to in sub-paragraph (3).
- forest risk commodities
has the same meaning as in Schedule 17 to the Environment Act 2021;
- former group company
means anything which was a group undertaking in relation to the transferred CCP immediately before the transfer (whether or not it is also a group undertaking in relation to the transferred CCP immediately after the transfer),
- friendly society
means a society that is registered within the meaning of the Friendly Societies Act 1974 or incorporated under the Friendly Societies Act 1992;
- funds
includes digital settlement assets (except in section 41(2)(e));
- generally applicable requirement
has the meaning given by section 104(1);”
- group
has the meaning given by section 421 of the Financial Services and Markets Act 2000. 6 The Treasury must not recognise a company wholly owned by the Crown as having systemic significance. 206I 1 Before making a wholesale cash oversight order in respect of a person the Treasury must— a consult the Bank of England, b notify the person, and c consider any representations made. 2 In addition, the Treasury must— a consult the FCA before making a wholesale cash oversight order in respect of a person who is, or has applied to be, an FCA-regulated person;
- group company
means anything which is, or was immediately before the transfer, a group undertaking in relation to a residual CCP,
- group undertaking
has the meaning given by section 1161(5) of the Companies Act 2006.
- hire purchase agreement
means an agreement— (a) which is not a conditional sale agreement, (b) under which goods are bailed or (in Scotland) hired to a person (“P”) in return for periodical payments by P, and (c) the property in the goods will pass to P if the terms of the agreement are complied with and one or more of the following occurs— (a) the exercise by P of an option to purchase the goods;
- imposing a sanction
means— a publishing details under section 206S;
- Information requirement
means a requirement imposed—
- initial margin requirements
means margins provided by clearing members to a CCP to cover the CCP’s potential future exposure in the event of default by those members;
- instrument of control
has the meaning given by paragraph 38;
- insurance distribution activity
means any of the following activities— a dealing in rights under a contract of insurance as agent;
- insurer
means a relevant person who has permission to carry out contracts of insurance;
- international trade obligation
means an obligation of the United Kingdom that relates to financial services or markets under— a a free trade agreement, as defined by section 5(1) of the Trade Act 2021, or b the agreement establishing the World Trade Organisation signed at Marrakesh on 15 April 1994.”
- interoperable CCP
means a CCP with which an interoperability arrangement (within the meaning of Article 2 of EMIR) has been established;
- Investigative power
means one of the powers mentioned in sub-paragraph (1).
- investigator
means a person appointed under paragraph 121 or 122;
- 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;
- landlord
includes a person to whom rent is payable. 3 1 This Part of this Schedule does not apply in relation to— a arrangements entered into after the date on which this Part of this Schedule first applied in relation to the insurer;
- legislation
means primary legislation, assimilated direct legislation or subordinate legislation;
- levy year
has the meaning given by paragraph 3. 4 The Treasury may by regulations— a amend the foregoing provisions of this paragraph;
- licence
includes permission and approval and any other permissive document in respect of anything transferred.
- market operator
has the same meaning as in the markets in financial instruments regulation;”
- modify
includes amend, repeal or revoke (and related expressions are to be read accordingly);
- modify the law
means—
- non-domestic PEP
means a politically exposed person who is not a domestic PEP;
- Officer
means an officer of the Bank, and includes a member of the Bank’s staff or an agent of the Bank.
- onward transfer
means a transfer of property, rights or liabilities (whether or not under a power in this Schedule) from—
- parent
means a parent undertaking within the meaning given by section 1162 of the Companies Act 2006;
- Part 18 approved person
means a person in relation to whom the FCA has given its approval under section 309G.”
- Part 18 prohibition order
has the meaning given in section 309B;”
- Part 4A permission
has the meaning given by section 55A of the Financial Services and Markets Act 2000;
- partial property transfer
has the meaning given by paragraph 75(1);
- partner
includes a person purporting to act as partner.
- payment system
has the same meaning as in Part 5 of the Financial Services (Banking Reform) Act 2013 (see section 41 of that Act);
- Payment Systems Regulator
means the body established under section 40(1) of the Financial Services (Banking Reform) Act 2013;
- payment transaction
means an act initiated by the payer or payee, or on behalf of the payer, of placing, transferring or withdrawing funds, irrespective of any underlying obligations between the payer and payee. 4 A “relevant personal current account” means a relevant current account held by one or more individuals for purposes outside any business, trade, craft or profession of that individual or those individuals. 5 “Relevant current account provider” means a person— a who has a Part 4A permission to accept deposits, and b who provides current accounts in reliance on that permission (“relevant current accounts”). 6 But the following are not relevant current account providers— a credit unions, within the meaning given by section 31(1) of the Credit Unions Act 1979 or Article 2(2) of the Credit Unions (Northern Ireland) Order 1985 (S.I. 1985/1205)(N.I.12);
- pension scheme
includes any arrangement for the payment of pension, allowances and gratuities, and
- PRA
means the Prudential Regulation Authority;
- primary legislation
means— (a) an Act of Parliament, (b) an Act of the Scottish Parliament, (c) an Act or Measure of Senedd Cymru, or (d) Northern Ireland legislation;
- protected arrangements
means security interests, title transfer collateral arrangements, set-off arrangements and netting arrangements.
- Protected items
means—
- 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
- purpose of administration
means— a where the insurer is in, or is awaiting, administration under Part 2 of the 1986 Act (as modified, in relation to insurers, by the Financial Services and Markets Act 2000 (Administration Orders Relating to Insurers) Order 2010 (S.I. 2010/3023)), an objective specified in paragraph 3 or 3A of Schedule B1 to the 1986 Act;
- qualifying function
means a function relating to the carrying on of activities by the following— (a) in the case of a Part 18 approved person, the relevant recognised body on whose application approval was given;
- recognised body
has the meaning given by section 313;”
- recognised central counterparty
has the meaning given by section 285 of FSMA 2000.
- recognised DSA service provider
means a DSA service provider, as defined by section 182(5A) of the Banking Act 2009, in respect of which a recognition order under section 184A of that Act is in force;”
- recognised UK investment exchange
means a recognised investment exchange that is not an overseas investment exchange as defined in section 313(1).”
- recognition requirements
means the requirements resulting from section 286 of FSMA 2000;
- redundancy payment
means— (a) a redundancy payment under Part 11 of the Employment Rights Act 1996 or Part 12 of the Employment Rights (Northern Ireland) Order 1996 (S.I. 1996/1919 (N.I. 16)), or (b) a payment made to a person who agrees to the termination of their employment in circumstances where they would have been entitled to a redundancy payment under that Part if dismissed;
- registered credit rating agency
means a credit rating agency registered in accordance with Regulation (EC) No 1060/2009 of the European Parliament and the Council of 16 September 2009 on credit rating agencies.”
- regulated market
has the meaning given in section 103(1) of FSMA 2000.
- regulator
means—
- relevant CCP group company
means a CCP group company incorporated in, or formed under the law of any part of, the United Kingdom.
- relevant contract of insurance
means a contract of long-term insurance which is not a contract in respect of which the following conditions are met— (a) the benefits under the contract are payable only on death or in respect of incapacity due to injury, sickness or infirmity;
- relevant current account
has the meaning given by section 131O. 131O 1 This section defines “current account”, “relevant current account”, “relevant personal current account” and “relevant current account provider” for the purposes of this Part. 2 “Current account” means an account by means of which one or more named persons are able to— a place cash, b withdraw cash, and c execute and receive payment transactions to and from third parties, including the execution of credit transfers. 3 For the purposes of subsection (2)(c), “payment transaction” means an act initiated by the payer or payee, or on behalf of the payer, of placing, transferring or withdrawing funds, irrespective of any underlying obligations between the payer and payee. 4 A “relevant personal current account” means a relevant current account held by one or more individuals for purposes outside any business, trade, craft or profession of that individual or those individuals. 5 “Relevant current account provider” means a person— a who has a Part 4A permission to accept deposits, and b who provides current accounts in reliance on that permission (“relevant current accounts”). 6 But the following are not relevant curre
- Relevant current account provider
means a person— a who has a Part 4A permission to accept deposits, and b who provides current accounts in reliance on that permission (“relevant current accounts”). 6 But the following are not relevant current account providers— a credit unions, within the meaning given by section 31(1) of the Credit Unions Act 1979 or Article 2(2) of the Credit Unions (Northern Ireland) Order 1985 (S.I. 1985/1205)(N.I.12);
- Relevant enactment
means any provision made by or under—
- relevant FMI entity
means— a a recognised central counterparty, b a recognised CSD, or c a systemic third country CCP as defined by section 300G(7). 3 The power under sub-paragraph (1) is exercisable only if it appears to the Bank that either (or both) of the following conditions is met. 4 The first condition is that it is desirable to exercise the power in order to advance the Financial Stability Objective. 5 The second condition is that the relevant FMI entity— a has failed, or is likely to fail, to satisfy the recognition requirements, or b has failed to comply with any other obligation imposed on it by or under this Act. 6 The power conferred by sub-paragraph (1) may not be exercised so as to restrict or prohibit discretionary payments to employees or shareholders of a recognised central counterparty (and for this purpose “discretionary payment” has the meaning given by paragraph 13(11) of Schedule 11 to the Financial Services and Markets Act 2023 and “employee” has the meaning given by paragraph 154 of that Schedule). 7 The powers conferred by section 55L(5) (FCA power to impose requirements on application of authorised persons with Part 4A permission) are exercisable by the
- relevant function
means a function performed by the person in relation to wholesale cash distribution.”
- relevant insolvency provision
has the same meaning as in paragraph 9 of Schedule 19B (treatment of written-down liabilities for purposes of relevant insolvency provisions).”
- relevant instruments
means bonds, structured finance products, emission allowances, derivatives and instruments included within package orders. 1 Rules under Article 18 may include provision for any requirements imposed by those rules to be waived in such cases, and to such extent, as may be determined by or under the rules. 2 Rules that include provision under paragraph 1 may impose whatever conditions on the application of a waiver as the FCA considers appropriate. 3 The FCA may by notice given to a systematic internaliser withdraw a waiver granted by virtue of paragraph 1 if the FCA considers that the waiver is being used— a in a way that deviates from its original purpose, or b to avoid requirements imposed by the rules. 4 The FCA may by notice suspend requirements imposed by rules under Article 18 in the case of such relevant instruments, or class of relevant instruments, as may be specified in the notice. 5 A notice under paragraph 4 suspending requirements— a may be given subject to conditions;
- relevant objective
means— a if the appropriate regulator is the FCA, any of its operational objectives;
- relevant obligation
means— (a) the best execution obligation in section 11.2A of the Conduct of Business sourcebook;
- relevant office-holder
means— a a provisional liquidator of the insurer;
- relevant organisation
means— a the FCA;
- relevant panel
means— a a panel of the Payment Systems Regulator established under section 103(3), b a panel of the FCA mentioned in section 1RA(8) of FSMA 2000, and c a panel of the PRA mentioned in section 2NA(8) of FSMA 2000. 4 If a statement published under this section is altered or replaced by the Payment Systems Regulator, the Regulator must publish the altered or replaced statement. 5 A statement prepared under this section must be published by the Payment Systems Regulator in the way appearing to the Regulator to be best designed to bring it to the attention of the public. 104D 1 The Treasury may by direction require the Payment Systems Regulator to carry out a review of any generally applicable requirement specified in the direction if— a the requirement has been in force for at least 12 months, b the Treasury consider that it is in the public interest that the requirement is reviewed, and c it does not appear to the Treasury that— i the regulator is carrying out, or proposes to carry out, a review of that requirement, or ii if the regulator proposes to carry out a review, the proposals are appropriate for the purposes of carrying out an effective review. 2 The Treasury
- relevant period
means— (a) the period of 12 months beginning with the date on which the insurer entered into financial difficulties, and (b) each subsequent period of 12 months;
- relevant person
has the meaning given by regulation 15A(10)”
- relevant personal current account
means a relevant current account held by one or more individuals for purposes outside any business, trade, craft or profession of that individual or those individuals. 5 “Relevant current account provider” means a person— a who has a Part 4A permission to accept deposits, and b who provides current accounts in reliance on that permission (“relevant current accounts”). 6 But the following are not relevant current account providers— a credit unions, within the meaning given by section 31(1) of the Credit Unions Act 1979 or Article 2(2) of the Credit Unions (Northern Ireland) Order 1985 (S.I. 1985/1205)(N.I.12);
- relevant persons
means market operators and investment firms operating a trading venue.”
- relevant provision
means a provision falling within paragraph 34(2).
- relevant recognised body
includes— a if recognised investment exchanges are a type of recognised body to which this Chapter applies, a person who has applied for recognition as such under section 287;
- relevant regulator
means— (a) the FCA, (b) the PRA, or (c) the Bank of England;
- Relevant requirement
means—
- relevant resolution powers
means any of the resolution powers under paragraphs 27 to 38;
- relevant service provider
means— (a) an electronic money institution as defined by regulation 2(1) of the Electronic Money Regulations 2011 (S.I. 2011/99);
- residual CCP
means the CCP all or part of whose business has been transferred in accordance with paragraph 27(2).
- resolution instrument
means—
- resolution measure
means— (a) the making by the Bank of a stabilisation instrument in relation to a CCP, (b) where an instrument of control under paragraph 38 is in place in relation to a CCP, the exercise by the Bank of any relevant rules of the CCP, (c) a measure taken by a CCP as a result of directions given under paragraph 2, (d) the removal by a CCP of a director or senior manager as a result of a requirement imposed under paragraph 5, (e) the appointment of a temporary manager in relation to a CCP under paragraph 6, (f) a restriction or prohibition on payments under paragraph 13 or 102, (g) the recognition by the Bank of third-country resolution action (or part of such action) in accordance with Part 7 of this Schedule, or (h) the exercise by the Bank of a stabilisation power by virtue of paragraph 146(3);
- restriction
includes—
- retail cash distribution
means arrangements for the provision of cash to end users of cash. 206F 1 In this Part— • “FCA” means the Financial Conduct Authority;
- risk reduction service
means a service provided to two or more counterparties to derivatives transactions for the purpose of reducing non-market risks in derivatives portfolios (including, for example, portfolio compression);
- rules
includes rules made by the Bank of England under this Act.”
- 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,
- service
includes facility. 312M 1 A relevant regulator may make such rules imposing duties on critical third parties in connection with the provision of services to authorised persons, relevant service providers and FMI entities as appear to the regulator to be necessary or expedient for the purpose of advancing any of its objectives. 2 The reference in subsection (1) to a relevant regulator’s objectives is a reference to— a where the regulator is the FCA, one or more of its operational objectives;
- service contract
has the meaning given by section 227 of the Companies Act 2006;
- small enterprise
means an enterprise which employs fewer than 50 people and whose annual turnover or annual balance sheet total does not exceed £10 million.
- special resolution objectives
means the objectives set out in paragraph 15;
- specified
means specified in the rules.”
- specified function
means a function of a description specified in rules made by the appropriate regulator. 4 The appropriate regulator may specify a description of function under subsection (3) only if, in relation to the carrying on of an activity by a relevant recognised body of a particular description— a the function is not a designated senior management function in relation to the carrying on of that activity by a relevant recognised body of that description, and b the appropriate regulator is satisfied that the function is a significant-harm function. 5 A function is a “significant-harm function”, in relation to the carrying on of an activity by a relevant recognised body, if— a the function will require the person performing it to be involved in one or more aspects of the body’s affairs, so far as relating to the activity, and b those aspects involve, or might involve, a risk of significant harm to the body or to any of its consumers. 6 In this section, “consumers”, in relation to a relevant recognised body, means— a persons who use, have used or may use a service provided by the body, or b persons who have relevant rights or interests in relation to any such service. 7 A
- stabilisation instrument
means—
- stabilisation options
means the options described in paragraph 1(3);
- stabilisation powers
means a stabilisation power within the meaning given by section 1(4) of the Banking Act 2009 or paragraph 1(4) of Schedule 11 to the Financial Services and Markets Act 2023.”
- statutory panel
has the meaning given by section 1RB(5). 4 If a statement published under this section is altered or replaced, the Bank must publish the altered or replaced statement. 5 A statement prepared under this section must be published by the Bank in the way appearing to the Bank to be best designed to bring it to the attention of the public. 300K 1 The Treasury may by direction require the Bank of England to carry out a review of specified rules made by the Bank under this Act if— a the rules have been in force for at least 12 months, b the Treasury consider that it is in the public interest that the rules are reviewed, and c it does not appear to the Treasury that— i the Bank is carrying out, or plans to carry out, a review of those rules, or ii if the Bank proposes to carry out a review, the proposals are appropriate for the purposes of carrying out an effective review. 2 Subsection (1) only applies to rules falling within section 300I(1). 3 The Treasury must consult the Bank before giving a direction under subsection (1). 4 In exercising the power under this section, the Treasury must have regard to the desirability of minimising any adverse effect that the carrying o
- statutory panels of the regulator
means—
- subordinate legislation
means— (a) any Order in Council, order, rules, regulations, scheme, warrant, byelaw or other instrument made under any Act, or (b) any instrument made under an Act of the Scottish Parliament, a Measure or Act of Senedd Cymru or Northern Ireland legislation, and includes any Order in Council, order, rules, regulations, scheme, warrant, byelaw or other instrument made on or after IP completion day under any assimilated direct legislation.
- subsidiary
means a subsidiary undertaking within the meaning given by section 1162 of the Companies Act 2006. • “tear-up instrument” has the meaning given by paragraph 31;
- systematic internaliser
means an investment firm which deals on own account when executing client orders outside a UK regulated market, UK MTF or UK OTF without operating a multilateral system and which— a does so on an organised, frequent, systematic and substantial basis, or b has chosen to opt in to the systematic internaliser regime;
- systemic third country CCP
means any third country central counterparty that the Bank has determined is systemically important, or is likely to become systemically important, to the financial stability of the United Kingdom. 8 The Bank must publish notice of any determination made under subsection (7). 9 A determination under subsection (7) must be made in accordance with such criteria of general application as are set out in regulations made by the Treasury for the purposes of this section. 10 In making a determination under subsection (7) the Bank must also have regard to any statement of policy prepared and published by the Bank for the purposes of providing further specification of the criteria of general application mentioned in subsection (9). 11 The Bank— a may alter or replace a statement of policy prepared for the purposes of this section;
- tear-up instrument
has the meaning given by paragraph 31;
- termination right
means—
- territory
includes the European Union and any other international organisation or authority comprising countries or territories;”
- the commencement day
means the day on which Part 5 of Schedule 2 to the Financial Services and Markets Act 2023 comes into force. 8 Paragraphs (5) to (7) expire at the end of 31 December 2025 (but without affecting any variation of a relevant period made under this regulation by virtue of paragraph (6)(b) before that time).”
- the data protection legislation
has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act).
- the Faster Payments Scheme
means the payment system, known as the Faster Payments Scheme, designated as a regulated payment system for the purposes of Part 5 of the Financial Services (Banking Reform) Act 2013 by order made by the Treasury in exercise of the power conferred by section 43(1) of that Act;
- the interested parties
has the same meaning as in section 309P. 14 For the purposes of subsection (4)(c), whether a matter is open to review is to be determined in accordance with section 391(8). 309S 1 The appropriate regulator must prepare and issue a statement of its policy with respect to— a the giving of approval under section 309G subject to conditions or for a limited period only, and b the variation under section 309Q or 309R of an approval given under section 309G. 2 The appropriate regulator— a may alter or replace a statement issued under this section, and b if it does so, must issue the altered or replacement statement. 3 Before the appropriate regulator issues a statement of policy under this section, it must publish a draft of the proposed statement in the way appearing to it to be best calculated to bring it to the attention of the public. 4 The draft statement must be accompanied by a notice stating that representations about the proposal may be made to the appropriate regulator within a period specified in the notice. 5 Before issuing the proposed statement, the appropriate regulator must have regard to any representations made to it in accordance with subsection
- the limitation period
means the period of 6 years beginning with the first day on which the appropriate regulator knew that the person concerned had performed a designated senior management function without approval, and b the appropriate regulator is to be treated as knowing that a person has performed a designated senior management function without approval if it has information from which that can reasonably be inferred. 309V 1 If the appropriate regulator proposes to impose a penalty on a person under section 309U, it must give the person a warning notice. 2 A warning notice under this section must state the amount of the penalty. 3 If the appropriate regulator decides to impose a penalty on a person under section 309U, it must give the person a decision notice. 4 A decision notice under this section must state the amount of the penalty. 5 If the appropriate regulator decides to impose a penalty on a person under section 309U, the person may refer the matter to the Tribunal. 309W 1 The appropriate regulator must prepare and issue a statement of its policy with respect to— a the imposition of penalties under section 309U, and b the amount of penalties under that section. 2 The
- the Payment Systems Regulator
means the Payment Systems Regulator established under section 40 of the Financial Services (Banking Reform) Act 2013;
- the period for consideration
means the period of 3 months beginning with the day on which the appropriate regulator receives the application.
- The relevant post-transfer period
means the period of two years beginning with the day of the transfer mentioned in sub-paragraph (5)(a), subject to any extension under sub-paragraph (8).
- the transferred business
means the part of the CCP’s business that has been transferred, and
- the transitional period
has the meaning given in section 2(2).
- the UK financial system
has the meaning given by section 1I of the Financial Services and Markets Act 2000. 2 For the purposes of this Part, a company (within the meaning of the Companies Act 2006) is wholly owned by the Crown if, and only if, every member of the company is— a a Minister of the Crown, government department or company wholly owned by the Crown, or b a person acting on behalf of a Minister of the Crown, government department or company wholly owned by the Crown. 206G 1 The Treasury may by order (a “wholesale cash oversight order”) specify a person as a recognised person for the purposes of this Part. 2 A person may be specified only if the person— a performs a relevant function in relation to a wholesale cash distribution activity, and b is recognised as having market significance (see section 206H). 3 The following are relevant functions in relation to a wholesale cash distribution activity— a undertaking the activity;
- third-country central counterparty
has the meaning given by section 285 of FSMA 2000;
- third-country instrument
has the meaning given by paragraph 145;
- third-country resolution action
means action under the law of a country or territory outside the United Kingdom to manage the failure or likely failure of a third-country central counterparty— (a) the anticipated results of which are, in relation to a third-country central counterparty, broadly comparable to results which could have been anticipated from the exercise of a stabilisation option in relation to an entity in the United Kingdom corresponding to the third-country central counterparty, and (b) the objectives of which are broadly comparable, in relation to the country or territory concerned, to the special resolution objectives in paragraph 15 as they apply in relation to the United Kingdom.
- this group of sections
means the sections referred to in subsection (1).
- transfer
means a transfer provided for by a share transfer instrument.
- transferable securities
has the meaning given by section 102A(3).”
- transferee
means a commercial purchaser or bridge central counterparty to whom all or part of the transferred business has been transferred.
- transferred CCP
means a CCP all or part of the ownership of which has been transferred in accordance with paragraph 27(2), 29(3), or 30(2),
- unauthorised co-ownership AIF
means a co-ownership scheme that— a is an AIF, and b is not authorised for the purposes of this Act by an authorisation order in force under section 261D(1).”
- variation instrument
has the meaning given by paragraph 33;
- variation margin payment
means a payment reflecting an increase in the market value of a clearing member’s position in the market.
- wages or salary
includes— (a) a sum payable in respect of a period of holiday;
- 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;
- worker
means an individual who is— (a) a worker within the meaning of section 230(3) of the Employment Rights Act 1996, or (b) an agency worker. 4 This Part of this Schedule applies while a write-down order has effect in relation to one or more liabilities of an insurer. 5 The insurer may not dispose of, or otherwise deal with, any of its assets (whether in the United Kingdom or elsewhere) except— a in the ordinary way of the insurer’s business, or b with the consent of the PRA. 6 The insurer may not pay variable remuneration that is not regulated by a collective bargaining agreement, except with the consent of the PRA. 7 The insurer may not make a distribution, within the meaning of Part 23 of the Companies Act 2006, except with the consent of the PRA. 8 1 This Part of this Schedule applies in relation to a liability of an insurer while the value of the liability is reduced under a write-down order. 2 Where the write-down order is varied, this Part of this Schedule applies as if references to the write-down order were to the order as varied. 9 1 In determining the value of the liability for the purposes of a relevant insolvency provision, no account is to be taken of the conting
- write-down instrument
has the meaning given by paragraph 34.
- write-down order
means an order under section 377A (as it has effect in accordance with section 377H). 217ZB 1 The compensation scheme may make provision giving the scheme manager a right of recovery in respect of financial assistance given to an insurer by virtue of section 217ZA. 2 Any right of recovery the scheme manager has in respect of financial assistance given to an insurer by virtue of subsection (1) must not be exercised against a policyholder of the insurer. 3 Subsection (4) applies where, by virtue of subsection (1), the scheme manager has a right of recovery in respect of financial assistance given to an insurer. 4 In valuing the insurer’s liabilities for the purposes of a rel