9

House of Commons

Tuesday 21st October 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 Resolution of the

Programming Sub-Committee.

Resolution of the Programming Sub-Committee

The Programming Sub-Committee appointed by the Speaker in respect of the Bill

agreed the following Resolution at its meeting on Thursday 16th October (Standing Order

No. 83C):

That—

(1)	the Committee shall (in addition to its first meeting at 10.30 a.m. on Tuesday

21st October) meet—

(a)	at 4.30 p.m. on Tuesday 21st October;

(b)	at 9.00 a.m. and 1.00 p.m. on Thursday 23rd October;

(c)	at 10.30 a.m. and 4.30 p.m. on Tuesday 28th October;

(d)	at 9.00 a.m. and 1.00 p.m. on Thursday 30th October;

(e)	at 10.30 a.m. and 4.30 p.m. on Tuesday 4th November;

(f)	at 9.00 a.m. and 1.00 p.m. on Thursday 6th November;

(g)	at 10.30 a.m. and 4.30 p.m. on Tuesday 11th November;

(h)	at 9.00 a.m. and 1.00 p.m. on Thursday 13th November;

(i)	at 10.30 a.m. and 4.30 p.m. on Tuesday 18th November;

(2)	the Committee shall hear oral evidence in accordance with the following

Table:

TABLE

	Date	Time	Witness
	Tuesday 21st October	Until no later than 12 noon	HM Treasury
	Tuesday 21st October	Until no later than 1.00 p.m.	Bank of England; Financial
			Services Authority; Financial
			Services Compensation Scheme
	Tuesday 21st October	Until no later than 5.45 p.m.	British Bankers’ Association;
			Building Societies Association;
			London Investment Banking
			Association
	Tuesday 21st October	Until no later than 7.00 p.m.	Association of British Insurers;
			Investment Management
			Association; Citizens Advice
			Bureau; Which?

Public Bill Committee: 21st October 2008

10

Banking Bill, continued

(3)	proceedings on consideration of the Bill in Committee shall be taken in the

following order: Clauses 155 and 156; Clauses 158 to 233; Clauses 1 to 76;

Clause 157; Clauses 77 to 154; Clauses 234 to 240; new Clauses; new

Schedules; remaining proceedings on the Bill;

(4)	the proceedings shall (so far as not previously concluded) be brought to a

conclusion at 7.00 p.m. on Tuesday 18th November.

Ian Pearson has given notice of his intention to move a motion in the terms of the

Resolution of the Programming Sub-Committee [Standing Order No. 83C(9)].

Ian Pearson

That, subject to the discretion of the Chairman, any written evidence received by the

Committee shall be reported to the House for publication.

Ian Pearson

That, at this and any subsequent meeting at which oral evidence is to be heard, the

Committee shall sit in private until the witnesses are admitted.

Mr Mark Hoban

34

Clause  156,  page  81,  line  4,  after ‘the’, insert ‘Authority to make rules enabling

the’.

Mr Mark Hoban

Mr David Gauke

2

Clause  156,  page  81,  line  6,  after ‘expenses’, insert ‘relating to the powers

exercisable under sections 10 to 12 and Parts 2 and 3 of the Banking Act 2008’.

Mr Mark Hoban

35

Clause  156,  page  81,  leave out lines 7 to 9 and insert—

Public Bill Committee: 21st October 2008

11

Banking Bill, continued

‘(2)	Rules made by the Authority may make provision about the establishment and

management of contingency funds provided that such rules are limited to the

deposit protection element of the compensation scheme; in particular, the rules

may make provision about—’.

Mr Mark Hoban

Mr David Gauke

1

Clause  156,  page  81,  line  12,  leave out from first ‘the’ to end of line 13 and insert

‘contributions payable by banks and building societies’.

Mr Mark Hoban

Mr David Gauke

3

Clause  156,  page  81,  line  16,  leave out ‘classes of person’ and insert ‘banks and

building societies’.

Mr Mark Hoban

36

Clause  156,  page  81,  line  20,  at end insert ‘and ensuring that no such investment

shall cause there to be a prevention, restriction or distortion of competition in the relevant

lending market;’.

Mr Mark Hoban

Mr David Gauke

8

Clause  156,  page  81,  line  23,  after ‘compensation’, insert ‘for depositors’.

Mr Mark Hoban

Mr David Gauke

5

Clause  156,  page  81,  line  27,  at end insert—

‘(2A)

In making any provision by virtue of subsection (2)(c) the Treasury must take

account of the desirability of ensuring that the amount of the levies imposed on a

particular class of authorised person reflects, so far as practicable, the amounts of

claims made, in respect of that class of person.’.

Mr Mark Hoban

Mr David Gauke

6

Clause  156,  page  81,  line  27,  at end insert—

‘(2A)

The amount of payments into the funds by virtue of subsection (2)(d) may vary

between persons in each class.’.

Mr Mark Hoban

37

Clause  159,  page  83,  line  30,  after ‘loan,’, insert ‘which shall not be higher than the

Bank of England base rate,’.

Public Bill Committee: 21st October 2008

12

Banking Bill, continued

Mr Mark Hoban

38

Clause  159,  page  83,  line  31,  after ‘conditions’, insert ‘which shall ensure that

repayment of the loan is made on a fair basis.’.

Ian Pearson

18

Clause  159,  page  83,  line  36,  at end insert ‘(and the regulations may have effect

despite any provision of this Act);’.

Mr Mark Hoban

Mr David Gauke

4

Clause  159,  page  83,  line  37,  leave out ‘classes of person’ and insert ‘banks and

building societies’.

Mr Mark Hoban

Mr David Gauke

7

Clause  159,  page  83,  line  38,  at end insert—

‘(4A)

In making any provision by virtue of subsection (4)(c) the Treasury must take

account of the desirability of ensuring that the amount of the levies imposed on a

particular class of authorised person reflects, so far as practicable, the amount of

claims made, in respect of that class of person.’.

Mr Colin Breed

Dr John Pugh

Dr Vincent Cable

10

Clause  165,  page  86,  line  27,  at end insert—

‘(4)	Any scheme agent who reneges on their contract of employment will be subject

to a penalty.

(5)	The Chancellor of the Exchequer may make such regulations as are necessary for

the establishment of a penalty.

(6)	The power to make regulations under subsection (5) is exercisable by statutory

instrument.

(7)	A statutory instrument containing regulations under subsection (5) may not be

made unless a draft of it has been laid before and approved by resolution of the

House of Commons.’.

Ian Pearson

19

Clause  173,  page  89,  line  11,   after ‘recognised’, insert ‘inter-bank’.

Public Bill Committee: 21st October 2008

13

Banking Bill, continued

Ian Pearson

20

Clause  190,  page  94,  line  7,  at end insert—

‘(4A)

Subsection (4)—

(a)	overrides a contractual or other requirement to keep information in

confidence, and

(b)	is without prejudice to any other power to disclose information.’.

Ian Pearson

21

Clause  203,  page  98,  line  7,  leave out ‘processes’.

Ian Pearson

22

Clause  203,  page  98,  line  8,  leave out ‘an insolvency process’ and insert

‘insolvency’.

Ian Pearson

23

Clause  203,  page  98,  line  18,  leave out ‘“insolvency process” means’ and insert ‘a

reference to “insolvency” includes a reference to’.

Ian Pearson

24

Clause  203,  page  98,  line  19,  leave out paragraph (a) and insert —

‘(a)	liquidation,’.

Ian Pearson

25

Clause  206,  page  99,  line  13,  leave out ‘an insolvency process’ and insert ‘a

provision about insolvency’.

Ian Pearson

26

Clause  206,  page  99,  line  27,  leave out ‘bank insolvency or insolvency’ and insert

‘insolvency (within the meaning of section 203(6))’.

Ian Pearson

27

Clause  206,  page  99,  line  34,  leave out ‘, to bank insolvency or to insolvency’.

Public Bill Committee: 21st October 2008

14

Banking Bill, continued

Ian Pearson

28

Clause  214,  page  102,  line  9,  leave out ‘UK authorised institution’ and insert ‘bank

or other financial institution’.

Ian Pearson

29

Clause  214,  page  102,  line  15,  leave out paragraphs (b) and (c).

Ian Pearson

30

Clause  215,  page  102,  line  26,  leave out ‘UK authorised institution’ and insert

‘bank or other financial institution’.

Ian Pearson

31

Clause  215,  page  102,  line  28,  leave out subsection (2).

Ian Pearson

32

Clause  224,  page  106,  line  27,  at end insert—

‘(c)	an authority in a country or territory outside the United Kingdom which

exercises functions similar to those of the Treasury, the Bank of England

or the Financial Services Authority in relation to financial stability;

(d)	the European Central Bank.’.

Mr Mark Hoban

Mr David Gauke

9

Clause  226,  page  106,  line  39,  after ‘person’, insert ‘, in connection with the

exercise of functions by any person under the Banking Act 2008,’.

Dr John Pugh

Mr Colin Breed

Dr Vincent Cable

11

Clause  228,  page  107,  line  28,  leave out ‘or in any other way’.

Public Bill Committee: 21st October 2008

15

Banking Bill, continued

Ian Pearson

12

Clause  65,  page  32,  line  22,   leave out subsection (5).

Ian Pearson

17

Clause  157,  page  83,  line  3,  at end insert—

‘(2)	At the end of section 223(3) of the Financial Services and Markets Act 2000

(management expenses) add “;

(c)	under section 214B.”’.

Ian Pearson

13

Clause  109,  page  57,  line  25,   leave out subsection (2).

Ian Pearson

14

Clause  122,  page  61,  line  26,   leave out ‘and an Act of the Scottish Parliament’.

Ian Pearson

15

Clause  143,  page  77,  line  11,   leave out subsection (2).

Ian Pearson

16

Clause  154,  page  80,  line  25,   leave out ‘and an Act of the Scottish Parliament’.

Ian Pearson

33

Clause  239,  page  115,  line  5,  leave out ‘section 231 extends’ and insert ‘sections

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Revised 21 October 2008