|
| |
|
from National Loans Fund - inserted by section 170 above) insert— |
| |
| |
(1) | Payments made by the scheme manager in error may be provided for |
| |
in setting a levy by virtue of section 213, 214A, 214B or 223B. |
| |
(2) | This section does not apply to payments made in bad faith.” |
| 5 |
| |
In section 429(2) of the Financial Services and Markets Act 2000 (parliamentary |
| |
control of subordinate legislation: affirmative resolution) after “90B” insert “, |
| |
| |
176 | Delegation of functions |
| 10 |
(1) | Before section 222 of the Financial Services and Markets Act 2000 (scheme |
| |
manager: statutory immunity) insert— |
| |
“221A | Delegation of functions |
| |
(1) | The scheme manager may arrange for any of its functions to be |
| |
discharged on its behalf by another person (a “scheme agent”). |
| 15 |
(2) | Before entering into arrangements the scheme manager must be |
| |
satisfied that the scheme agent— |
| |
(a) | is competent to discharge the function, and |
| |
(b) | has been given sufficient directions to enable the agent to take |
| |
any decisions required in the course of exercising the function |
| 20 |
in accordance with policy determined by the scheme manager. |
| |
(3) | Arrangements may include provision for payments to be made by the |
| |
scheme manager to the scheme agent (which payments are |
| |
management expenses of the scheme manager).” |
| |
(2) | In section 222(1) of that Act after “officer” insert “, scheme agent”. |
| 25 |
177 | Functions under this Act |
| |
At the end of Part 15 of the Financial Services and Markets Act 2000 add— |
| |
“224A | Functions under the Banking Act 2008 |
| |
A reference in this Part to functions of the scheme manager (including |
| |
a reference to functions conferred by or under this Part) includes a |
| 30 |
reference to functions conferred by or under the Banking Act 2008.” |
| |
|
| |
|
| |
|
| |
Inter-Bank Payment Systems |
| |
| |
| |
This Part enables the Bank of England to oversee certain systems for payments |
| 5 |
between financial institutions. |
| |
179 | Interpretation: “inter-bank payment system” |
| |
(1) | In this Part “inter-bank payment system” means arrangements designed to |
| |
facilitate or control the transfer of money between financial institutions who |
| |
participate in the arrangements. |
| 10 |
(2) | The fact that persons other than financial institutions can participate does not |
| |
prevent arrangements from being an inter-bank payment system. |
| |
(3) | In subsection (1) “financial institutions” means— |
| |
| |
| 15 |
(4) | In subsection (1) “money” includes credit. |
| |
(5) | A system is an inter-bank payment system for the purposes of this Part |
| |
whether or not it operates wholly or partly in relation to persons or places |
| |
outside the United Kingdom. |
| |
180 | Interpretation: other expressions |
| 20 |
| |
(a) | a reference to the “operator” of an inter-bank payment system is a |
| |
reference to any person with responsibility under the system for |
| |
managing or operating it, |
| |
(b) | a reference to the operation of a system includes a reference to its |
| 25 |
| |
(c) | “the UK financial system” has the meaning given to “the financial |
| |
system” by section 3(2) of the Financial Services and Markets Act 2000 |
| |
| |
(d) | a reference to the Bank of England’s role as a monetary authority is to |
| 30 |
be construed in accordance with section 234(2)(c), and |
| |
(e) | “the FSA” means the Financial Services Authority. |
| |
| |
| |
(1) | The Treasury may by order (“recognition order”) specify an inter-bank |
| 35 |
payment system as a recognised system for the purposes of this Part. |
| |
(2) | A recognition order must specify in as much detail as is reasonably practicable |
| |
the arrangements which constitute the inter-bank payment system. |
| |
|
| |
|
| |
|
(3) | The Treasury may not specify an inter-bank system operated solely by the |
| |
| |
| |
(1) | The Treasury may make a recognition order in respect of an inter-bank |
| |
payment system only if satisfied that any deficiencies in the design of the |
| 5 |
system, or any disruption of its operation, would be likely— |
| |
(a) | to threaten the stability of, or confidence in, the UK financial system, or |
| |
(b) | to have serious consequences for business or other interests throughout |
| |
| |
(2) | In considering whether to specify a system the Treasury must have regard to— |
| 10 |
(a) | the number and value of the transactions that the system presently |
| |
processes or is likely to process in the future, |
| |
(b) | the nature of the transactions that the system processes, |
| |
(c) | whether those transactions or their equivalent could be handled by |
| |
| 15 |
(d) | the relationship between the system and other systems, and |
| |
(e) | whether the system is used by the Bank of England in the course of its |
| |
role as a monetary authority. |
| |
| |
(1) | Before making a recognition order in respect of a payment system the Treasury |
| 20 |
| |
(a) | consult the Bank of England, |
| |
(b) | notify the operator of the system, and |
| |
(c) | consider any representations made. |
| |
(2) | The Treasury must also consult the FSA before making a recognition order in |
| 25 |
respect of a payment system the operator of which— |
| |
(a) | is, or has applied to become, a recognised investment exchange within |
| |
the meaning of section 285 of the Financial Services and Markets Act |
| |
| |
(b) | is, or has applied to become, a recognised clearing house within the |
| 30 |
meaning of that section, or |
| |
(c) | has, or has applied for, permission under Part 4 of that Act (regulated |
| |
| |
(3) | In considering whether to make a recognition order in respect of a payment |
| |
system the Treasury may rely on information provided by the Bank of England |
| 35 |
| |
| |
(1) | The Treasury may revoke a recognition order. |
| |
(2) | The Treasury must revoke a recognition order if not satisfied that the criteria |
| |
in section 182 are met in respect of the recognised inter-bank payment system. |
| 40 |
(3) | Before revoking a recognition order the Treasury must— |
| |
(a) | consult the Bank of England, |
| |
(b) | notify the operator of the recognised inter-bank payment system, and |
| |
|
| |
|
| |
|
(c) | consider any representations made. |
| |
(4) | The Treasury must also consult the FSA before revoking a recognition order in |
| |
respect of a payment system the operator of which— |
| |
(a) | is, or has applied to become, a recognised investment exchange within |
| |
the meaning of section 285 of the Financial Services and Markets Act |
| 5 |
| |
(b) | is, or has applied to become, a recognised clearing house within the |
| |
meaning of that section, or |
| |
(c) | has, or has applied for, permission under Part 4 of that Act (regulated |
| |
| 10 |
(5) | The Treasury must consider any request by the operator of a recognised inter- |
| |
bank payment system for the revocation of its recognition order. |
| |
| |
| |
(1) | The Bank of England may publish principles to which operators of recognised |
| 15 |
inter-bank payment systems are to have regard in operating the systems. |
| |
(2) | Before publishing principles the Bank must obtain the approval of the |
| |
| |
| |
The Bank of England may publish codes of practice about the operation of |
| 20 |
recognised inter-bank payment systems. |
| |
| |
(1) | The Bank of England may require the operator of a recognised inter-bank |
| |
| |
(a) | to establish rules for the operation of the system; |
| 25 |
(b) | to change the rules in a specified way or so as to achieve a specified |
| |
| |
(c) | to notify the Bank of any proposed change to the rules; |
| |
(d) | not to change the rules without the approval of the Bank. |
| |
(2) | A requirement under subsection (1)(c) or (d) may be general or specific. |
| 30 |
| |
(1) | The Bank of England may give directions to the operator of a recognised inter- |
| |
| |
| |
(a) | require or prohibit the taking of specified action in the operation of the |
| 35 |
| |
(b) | set standards to be met in the operation of the system. |
| |
|
| |
|