Prudential Regulation Authority Rulebook

Where the net stable funding ratio set out in this Title IV (The Net Stable Funding Ratio) applies on a consolidated basis in accordance with rule 2.4 of this Part, the following provisions shall apply:

1. (a) the assets and off-balance sheet items of a subsidiary having its head office in a third country which are subject to required stable funding factors under the net stable funding requirement set out in the national law of that third country that are higher than those specified in Chapter 4 of Title IV (The Net Stable Funding Ratio) shall be subject to consolidation in accordance with the higher factors specified in the national law of that third country;
2. (b) the liabilities and own funds of a subsidiary having its head office in a third country which are subject to available stable funding factors under the net stable funding requirement set out in the national law of that third country that are lower than those specified in Chapter 3 of Title IV (The Net Stable Funding Ratio) shall be subject to consolidation in accordance with the lower factors specified in the national law of that third country;
3. (c) third country assets which meet the requirements laid down in Chapter 2 of the Liquidity Coverage Ratio (CRR) Part of the PRA Rulebook and which are held by a subsidiary having its head office in a third country shall not be recognised as liquid assets for consolidation purposes where they do not qualify as liquid assets under the national law of that third country which sets out the liquidity coverage requirement.