Banking Bill
[AS AMENDED IN PUBLIC BILL COMMITTEE]
Contents
Part 1
Special Resolution Regime
Introduction
1
Overview
2
Interpretation: “bank”
3
Interpretation: other expressions
Objectives and code
4
Special resolution objectives
5
Code of practice
6
Code of practice: procedure
Exercise of powers: general
7
General conditions
8
Specific conditions: private sector purchaser and bridge bank
9
Specific conditions: temporary public ownership
10
Banking Liaison Panel
The stabilisation options
11
Private sector purchaser
12
Bridge bank
13
Temporary public ownership
Transfer of securities
14
Interpretation: “securities”
15
Share transfer instrument
16
Share transfer order
17
Effect
18
Continuity
19
Conversion and delisting
20
Directors
Bill 170
54/3
ii
21
Ancillary instruments: production, registration, &c.
22
Termination rights, &c.
23
Incidental provision
24
Procedure: instruments
25
Procedure: orders
26
Supplemental instruments
27
Supplemental orders
28
Onward transfer
29
Reverse share transfer
30
Bridge bank: share transfers
31
Bridge bank: reverse share transfer
32
Interpretation: general
Transfer of property
33
Property transfer instrument
34
35
Transferable property
36
37
Licences
38
39
Foreign property
40
41
Procedure
42
43
44
Reverse property transfer
45
Temporary public ownership: property transfer
46
Temporary public ownership: reverse property transfer
47
Restriction of partial transfers
48
Power to protect certain interests
Compensation
49
Orders
50
Sale to private sector purchaser
51
Transfer to temporary public ownership
52
Transfer to bridge bank
53
Onward and reverse transfers
54
Independent valuer
55
Independent valuer: supplemental
56
Independent valuer: money
57
Valuation principles
58
Resolution fund
59
Third party compensation: discretionary provision
60
Third party compensation: mandatory provision
61
Incidental functions
62
General continuity obligation: property transfers
63
Special continuity obligations: property transfers
64
General continuity obligation: share transfers
65
Special continuity obligations: share transfers
iii
66
Continuity obligations: consideration and terms
67
Continuity obligations: termination
68
Pensions
69
Enforcement
70
Disputes
71
Tax
72
Power to change law
Treasury
73
International obligation notice: general
74
International obligation notice: bridge bank
75
Public funds: general
76
Public funds: bridge bank
77
Bridge bank: report
Building societies, &c.
78
Application of Part 1: general
79
80
Distribution of assets on dissolution or winding up
81
Interpretation
82
Consequential provision
83
Credit unions
Part 2
Bank Insolvency
84
85
86
Interpretation: “the court”
87
Bank insolvency order
88
The order
89
Application
90
Grounds for applying
91
Grounds for making
92
Commencement
Process of bank liquidation
93
Objectives
94
Liquidation committee
95
Liquidation committee: supplemental
96
Objective 1: (a) or (b)?
97
General powers, duties and effect
98
Additional general powers
99
Status of bank liquidator
iv
Tenure of bank liquidator
100
Term of appointment
101
Resignation
102
Removal by court
103
Removal by creditors
104
Disqualification
105
Release
106
Replacement
Termination of process, &c.
107
Company voluntary arrangement
108
Administration
109
Dissolution
110
Dissolution: supplemental
Other processes
111
Bank insolvency as alternative order
112
Voluntary winding-up
113
Exclusion of other procedures
114
Notice to FSA of preliminary steps
115
Disqualification of directors
116
Application of insolvency law
Miscellaneous
117
Role of FSCS
118
Transfer of accounts
119
Rules
120
Fees
121
Insolvency Services Account
122
Evidence
123
Co-operation between courts
124
Building societies
125
126
Partnerships
127
Scottish partnerships
128
Northern Ireland
129
Part 3
Bank Administration
130
131
132
Objective 1: supporting private sector purchaser or bridge bank
133
Objective 1: duration
134
Objective 2: “normal” administration
v
Process
135
Bank administration order
136
137
138
139
140
Status of bank administrator
141
Administrator’s proposals
142
Sharing information
Multiple transfers
143
General application of this Part
144
Bridge bank to private purchaser
145
Property transfer from bridge bank
146
Property transfer from temporary public ownership
Termination
147
Successful rescue
148
Winding-up or voluntary arrangement
149
150
Application of other law
151
152
153
154
155
156
157
158
159
160
161
162
Part 4
Financial Services Compensation Scheme
163
164
Contingency funding
165
Special resolution regime
166
Investing in National Loans Fund
167
Borrowing from National Loans Fund
168
Procedure for claims
169
Rights in insolvency
170
Information
171
Payments in error
172
Regulations
173
Delegation of functions
vi
174
Functions under this Act
Part 5
Inter-Bank Payment Systems
175
176
Interpretation: “inter-bank payment system”
177
Recognised systems
178
Recognition order
179
Recognition criteria
180
181
De-recognition
Regulation
182
Principles
183
Codes of practice
184
System rules
185
Directions
186
Role of FSA
187
Inspection
188
Inspection: warrant
189
Independent report
190
Compliance failure
191
Publication
192
Penalty
193
Closure
194
Management disqualification
195
Warning
196
Appeal
197
198
199
Pretending to be recognised
200
Saving for informal oversight
Part 6
Banknotes: Scotland and Northern Ireland
201
vii
Key terms
202
“Banknote”
203
“Issue”
204
“Authorised bank”
205
“Commencement”
Authorisation to issue
206
Repeal of old authorising enactments
207
Saving for existing issuers
208
Consequential repeals and amendments
Regulations and rules
209
Banknote regulations
210
Banknote rules
Specific issues
211
Backing assets
212
213
Ceasing the business of issuing notes
214
Insolvency, &c.
215
Offence: unlawful issue
216
Financial penalty
217
Termination of right to issue
218
Application to court
Bank of England
219
Organisation
220
Discretionary functions
221
Exemption
Part 7
Treasury support for banks
222
Consolidated Fund
223
National Loans Fund
224
“Financial institution”
225
UK financial stability
226
Number of directors
227
Meetings
228
Chair of court
229
Quorum