121

House of Commons

Tuesday 11th November 2008

Public Bill Committee

New Amendments handed in are marked thus

Amendments which will comply with the required notice period at their next appearance

Banking Bill

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Note

The Amendments have been arranged in accordance with the Order of the

Committee [21st October].

Mr David Gauke

128

Clause  30,  page  13,  line  31,  after second ‘instrument’, insert ‘made under this Act’.

Mr David Gauke

129

Clause  30,  page  13,  line  33,  at end insert ‘and’.

Mr David Gauke

130

Clause  30,  page  13,  line  34,  leave out ‘other’.

Mr David Gauke

131

Clause  30,  page  13,  line  36,  after ‘instrument,’, insert ‘or’.

Mr David Gauke

132

Clause  30,  page  13,  line  37,  leave out ‘or otherwise’.

Public Bill Committee: 11th November 2008

122

Banking Bill, continued

Mr David Gauke

133

Clause  31,  page  14,  line  6,  leave out ‘or’.

Mr David Gauke

134

Clause  31,  page  14,  line  7,  leave out ‘in any other way’ and insert ‘common law’.

Mr Peter Bone

114

Clause  31,  page  14,  line  7,  at end insert—

‘(3A)

Subsection (3) has effect notwithstanding any provision in European Union law.’.

Mr David Gauke

135

Clause  31,  page  14,  line  12,  leave out ‘(by any name)’.

Mr David Gauke

136

Clause  32,  page  14,  line  23,  leave out ‘(including legislation of the European

Union)’.

Mr David Gauke

137

Clause  34,  page  15,  line  20,  leave out ‘despite the transfer’ and insert ‘as if the

transferee is the transferor’.

Mr David Gauke

138

Clause  35,  page  15,  line  34,  at end insert ‘or’.

Mr David Gauke

139

Clause  35,  page  15,  leave out lines 37 to 41.

Mr David Gauke

140

Clause  36,  page  16,  line  19,  after ‘means’, insert ‘property which is’.

Public Bill Committee: 11th November 2008

123

Banking Bill, continued

Mr David Gauke

141

Clause  36,  page  16,  line  20,  leave out ‘property’ and insert ‘physically situated’.

Mr David Gauke

142

Clause  36,  page  16,  line  21,  leave out ‘rights and liabilities under foreign law’ and

insert ‘a right in action which exists only under the jurisdiction outside the UK

(disregarding any arbitration provisions)’.

Mr David Gauke

143

Clause  36,  page  16,  line  32,  leave out subsection (6).

Ian Pearson

96

Clause  39,  page  17,  line  39,  leave out subsection (5).

Ian Pearson

97

Clause  41,  page  19,  line  4,  leave out subsection (4).

Mr David Gauke

144

Clause  42,  page  19,  line  26,  after ‘include’, insert ‘any’.

Ian Pearson

98

Clause  44,  page  21,  line  6,  leave out ‘establishing a scheme for’.

Ian Pearson

99

Clause  44,  page  21,  line  7,  leave out ‘determining’ and insert ‘establishing a

scheme for determining’.

Ian Pearson

100

Clause  44,  page  21,  line  7,  after ‘compensation,’, insert ‘or providing for

transferors to be paid compensation,’.

Public Bill Committee: 11th November 2008

124

Banking Bill, continued

Ian Pearson

101

Clause  44,  page  21,  line  8,  at beginning insert ‘establishing a scheme for’.

Mr David Gauke

145

Clause  44,  page  21,  line  10,  leave out ‘things transferred’ and insert ‘the bridge

bank or bank in public ownership, or any property or rights of the bridge bank or bank in

public ownership’.

Ian Pearson

102

Clause  48,  page  22,  line  13,  at end insert—

‘(aa)

the Treasury makes a reverse share transfer order under section [Reverse

share transfer],’.

Ian Pearson

103

Clause  48,  page  22,  line  15,  at end insert—

‘(ba)

the Bank of England makes a bridge bank reverse share transfer

instrument under section [Bridge bank: reverse share transfer],’.

Ian Pearson

104

Clause  48,  page  22,  line  17,  leave out ‘or’ and insert—

‘(ca)

the Bank of England makes a reverse property transfer instrument under

section [Reverse property transfer],’.

Ian Pearson

105

Clause  48,  page  22,  line  18,  at end insert—

‘, or

(da)	the Treasury make a reverse property transfer order under section

[Temporary public ownership: reverse property transfer],’.

Mr David Gauke

146

Clause  48,  page  22,  line  21,  at end insert ‘(which may, in particular, make

provision in respect of specified classes of creditor, for rights in addition to any they may

have by virtue of any resolution order).’.

Ian Pearson

106

Clause  49,  page  22,  line  23,  leave out ‘must’ and insert ‘may’.

Public Bill Committee: 11th November 2008

125

Banking Bill, continued

Ian Pearson

107

Clause  49,  page  22,  line  25,  at end insert ‘; and subsections (2) to (5) apply to an

order which includes provision for an independent valuer.’.

Ian Pearson

108

Clause  51,  page  23,  line  38,  leave out ‘and’.

Ian Pearson

109

Clause  51,  page  23,  line  39,  at end insert ‘, and—

(d)	monitors.’.

Mr David Gauke

Mr Mark Hoban

115

Clause  52,  page  24,  line  26,  at end insert—

‘(e)	to act fairly’.

Mr Colin Breed

Dr John Pugh

72

Clause  52,  page  24,  line  28,  leave out from ‘must’ to end of line 31 and insert ‘take

into account such financial assistance provided by the Bank of England or the Treasury

as would have been likely to have been provided to the bank if the SRR powers had not

been invoked.’.

Mr David Gauke

147

Clause  52,  page  24,  line  40,  at end insert ‘or to third parties.’.

Ian Pearson

110

Clause  53,  page  25,  line  8,  at end insert—

‘(2A)

A resolution fund order may include provision for—

(a)	an independent valuer to make a determination under the order (in which

case sections 49(2) to (5), 50 and 51 shall apply);

(b)	valuation principles to be applied in making a determination (in which

case section 52(2) shall apply).’.

Public Bill Committee: 11th November 2008

126

Banking Bill, continued

Mr David Gauke

148

Clause  53,  page  25,  line  11,  at end insert ‘or’.

Mr David Gauke

149

Clause  53,  page  25,  line  12,  leave out from ‘England’ to end of line 13.

Mr David Gauke

150

Clause  53,  page  25,  line  20,  leave out ‘subserviate it to’ and insert ‘subordinate the

requirement to the’.

Mr David Gauke

151

Clause  53,  page  25,  line  22,  leave out ‘its extent’ and insert ‘the extent of the

requirement’.

Mr David Gauke

Mr Mark Hoban

116

Clause  53,  page  25,  line  31,  at end insert—

‘(7)	A resolution fund order and any action taken as a consequence of subsection (3)

must be consistent with fairness.’.

Mr David Gauke

Mr Mark Hoban

117

Clause  54,  page  25,  line  35,  leave out ‘persons other than a transferor’ and insert

‘pre-transfer creditors and shareholders’.

Ian Pearson

111

Clause  54,  page  25,  line  40,  leave out ‘and 50’ and insert ‘to 51’.

Mr David Gauke

152

Clause  55,  page  26,  line  4,  leave out from ‘shall’ to ‘that’ in line 5 and insert

‘ensure’.

Mr David Gauke

153

Clause  55,  page  26,  line  7,  leave out ‘it’ and insert ‘the residual bank’.

Public Bill Committee: 11th November 2008

127

Banking Bill, continued

Mr David Gauke

Mr Mark Hoban

118

Clause  55,  page  26,  line  35,  at end insert—

‘(d)	to be determined fairly.’.

Mr David Gauke

154

Clause  55,  page  26,  leave out line 41.

Ian Pearson

112

Clause  56,  page  27,  line  6,  after ‘order’, insert—

‘(a)	shall be made by statutory instrument, and

(b)

’.

Ian Pearson

122

Clause  57,  page  27,  line  27,  leave out subsection (4) and insert—

‘(4)	The duty to provide services and facilities in pursuance of the continuity

obligation is subject to a right to receive reasonable consideration.’.

Ian Pearson

123

Clause  58,  page  28,  line  20,  leave out ‘consideration at market rate’ and insert

‘reasonable consideration,’.

Ian Pearson

124

Clause  58,  page  28,  line  22,  leave out ‘on market terms’.

Ian Pearson

125

Clause  59,  page  29,  line  4,  leave out subsection (4) and insert—

‘(4)	The duty to provide services and facilities in pursuance of the continuity

obligation is subject to a right to receive reasonable consideration.’.

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Revised 11 November 2008