Banking Bill
MARSHALLED
LIST OF AMENDMENTS
TO BE MOVED
IN COMMITTEE
The amendments have been marshalled in accordance with the Instruction of 21st July 2008, as follows
[Amendments marked * are new or have been altered]
Amendment
No.
1 | Page 1, line 5, after "banks" insert "and foreign banks" |
2 | Page 1, line 6, after "bank" insert "or foreign bank" |
3 | Page 1, line 11, at end insert ", and |
(d) | the asset freezing procedure for foreign banks (provided for by Part (ASSET FREEZING ORDERS))." |
4 | Page 2, line 2, at end insert |
"( ) | If there is any conflict between the roles of the Bank of England, the Treasury and the FSA, or if there is any disagreement between all or any of them as to their roles or responsibilities, the view of the Treasury shall prevail." |
5 | Page 2, line 2, at end insert |
"( ) | Without prejudice to any requirements in this Part for consultation or notification between the Bank of England, the Treasury and the FSA, each of them when carrying out their own roles in the operation of the special resolution regime shall ensure that they keep each of the others informed of their actions, considerations and decisions." |
6 | Insert the following new Clause |
| "Interpretation: "foreign bank" |
| In this Part "foreign bank" means an institution which carries on the activity of accepting deposits (within the meaning of section 22 of the Financial Services and Markets Act 2000, taken with Schedule 2 and any order made under section 22) other than an institution within the definition of a bank within section 2." |
7 | Page 3, line 4, at end insert ", and |
| "temporary" means a period which is not expected to exceed 3 years." |
8 | Page 3, line 8, after "to" insert "all of" |
9 | Page 3, line 12, at end insert ", or |
(d) | the asset freezing procedure." |
10 | Page 3, line 21, at end insert "which includes ensuring that that they have access to their deposits as rapidly as possible and that depositors and other customers have continuity of banking services" |
| LORD OAKESHOTT OF SEAGROVE BAY |
11 | Page 3, line 21, at end insert |
"( ) | Objective 3A is to protect and safeguard the value of the enterprise." |
12 | Page 3, line 22, at end insert "and to ensure that the expenditure of any public or private money is done in an economcally efficient manner" |
13 | Page 3, line 24, at end insert |
"( ) | Objective 6 is to protect the interest of creditors." |
14 | Page 3, line 24, at end insert |
"( ) | Objective 6 is to avoid the distortion of competition." |
15 | Page 3, line 31, at end insert ", and |
(d) | the asset freezing procedure." |
16 | Page 3, line 33, at end insert |
"( ) | how the interests of creditors will be taken into account in the use of the matters set out in subsection (1)," |
17 | Page 3, line 33, at end insert |
"( ) | the meaning of the stability of the financial systems of the United Kingdom," |
18 | Page 3, line 33, at end insert |
"( ) | how the special resolution objectives are to be balanced against each other," |
19 | Page 3, line 37, at end insert |
"( ) | how to determine whether Condition 1 in section 7 is met," |
20* | Page 4, line 4, leave out subsection (4) and insert |
"(4) | The code shall be legally binding." |
21 | Page 4, line 4, leave out "have regard to the code" and insert "comply with the code or publish an explanation of why they did not comply with the code as soon as practicable after their decision not to comply" |
22 | Page 4, line 15, at end insert ", and |
( ) | the Banking Liaison Panel referred to in section 10." |
23 | Page 4, line 15, at end insert ", and |
( ) | those persons who it considers have relevant knowledge of the matters contained in the code of practice." |
24 | Page 4, line 19, at end insert |
"( ) | The code shall not come into force unless an order containing a draft of the code has been laid before, and approved by a resolution of, each House of Parliament." |
| LORD OAKESHOTT OF SEAGROVE BAY |
25 | Page 4, line 28, leave out "not reasonably likely" and insert "highly unlikely" |
26 | Page 4, line 31, leave out subsection (4) |
27 | Page 4, line 31, leave out "shall" and insert "may" |
28 | Page 5, line 4, at end insert |
"( ) | The conditions for applying the asset freezing procedure are set out in section (Power to make asset freezing order)." |
29 | Insert the following new Clause |
| "Report on use of stabilisation power |
(1) | On the exercise of stabilisation powers, the Treasury must lay before Parliament a report setting out |
(a) | the reason for the exercise by the FSA of its powers under section 7, |
(b) | the steps taken by the FSA, if any, to avoid the use of the stabilisation powers, and |
(c) | how the Treasury or the Bank of England then exercised their stabilisation powers to achieve the special resolution regime objectives. |
(2) | Where the Treasury believes the disclosure of certain information in the report in subsection (1) would adversely affect the achievement of the special resolution regime objectives, that information may be withheld from publication for up to six months from the date on which the stabilisation powers were exercised, but must be published at the expiration of that period." |
30 | Page 5, line 35, after "that" insert |
(a) | neither of the other stabilisation options is appropriate or practical, and |
31 | Page 6, line 3, after "arrangements" insert "about |
32 | Page 6, line 6, at end insert |
"(b) | the operation of the special resolution regime and its effects on financial markets, and |
(c) | the need for changes, whether under the powers in this Act or otherwise, to the matters referred to in paragraph (a)." |
33 | Page 6, line 22, leave out "commercial" and insert "private sector" |
| Viscount Eccles gives notice of his intention to oppose the Question that Clause 12 stand part of the Bill. |
| LORD OAKESHOTT OF SEAGROVE BAY |
34 | Page 7, line 24, after "management" insert ", including board membership," |
35 | Page 7, line 25, at end insert |
"( ) | The Treasury shall report to Parliament on an annual basis on the activities of each bank which is taken into temporary public ownership for as long as the bank remains in public ownership." |
36 | Page 8, line 29, leave out subsection (3) |
37 | Page 9, line 33, at end insert |
"( ) | No action by the Bank of England or the Treasury under subsection (1) or (2) shall have the effect of removing or modifying existing contractual rights of directors." |
| LORD WEDDERBURN OF CHARLTON |
| BARONESS TURNER OF CAMDEN |
38 | Page 9, line 37, at end insert |
"(5) | An appointment under subsection (1)(d) or (2)(d) may be made in connection with an appointment under section 164A (Remuneration committee)." |
39 | Page 10, line 15, after "means" insert "a Type 1 or Type 2 default event provision as defined in subsections (1A) and (1B). |
(1A) | A Type 1 default event provision is" |
40 | Page 10, line 16, after "agreement" insert "to which the bank is a party" |
41 | Page 10, line 16, after "that" insert "has the effect that" |
42 | Page 10, line 16, at end insert "or situation arises" |
43 | Page 10, line 27, at end insert |
"(1B) | A Type 2 default event provision is a provision of a contract or other agreement that has the effect that a provision of the contract or agreement |
(a) | takes effect only if a specified event occurs or does not occur, |
(b) | takes effect only if a specified situation arises or does not arise, |
(c) | has effect only for so long as a specified event does not occur, |
(d) | has effect only while a specified situation lasts, |
(e) | applies differently if a specified event occurs, |
(f) | applies differently if a specified situation arises, or |
(g) | applies differently while a specified situation lasts. |
(1C) | For the purposes of subsections (1A) and (1B) it is the effect of a provision that matters, not how it is described (nor, for example, whether it is presented in a positive or a negative form)." |
44 | Page 10, line 29, at end insert "except that such an instrument or order shall not be disregarded in determining whether a default event provision applies if such default event provision is necessary or incidental to the exercise by the counterparty of any set-off or netting arrangement, or the enforcement of any security interest, as those expressions are defined in section 48" |
45 | Page 10, line 38, after "that" insert "is done by the instrument or order or" |
46 | Page 10, line 43, after "(4)" insert |
47 | Page 10, line 44, at end insert ", cases or circumstances; |
(b) | differently for different purposes, cases or circumstances." |
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