Prudential Regulation Authority Rulebook

1.1

Unless otherwise stated, this Part applies to every firm.

1.2

In this Part, the following definitions shall apply:

authorised UK representative

means (in relation to a firm) a person resident in the UK who is authorised to act generally, and to accept service of any document, on behalf of the firm.

branch

1. (1) (in relation to a credit institution) means:
1. (a) a place of business which forms a legally dependent part of a credit institution and which carries out directly all or some of the transactions inherent in the business of credit institutions.
2. (b) for the purposes of the CRD and in accordance with Article 38 of the CRD, any number of places of business set up in the same EEA State by a credit institution with headquarters in another EEA State are to be regarded as a single branch;
2. (2) (in relation to an investment firm) has the meaning given in Article 4(1)(26) of MiFID; and
3. (3) (in relation to an insurance undertaking) any permanent presence of the insurance undertaking in an EEA State other than that in which it has its head office is to be regarded as a single branch, whether that presence consists of a single office which, or two or more offices each of which:
1. (a) is managed by the insurance undertaking's own staff; or
2. (b) is an agency of the insurance undertaking; or
3. (c) is managed by a person who is independent of the insurance undertaking, but has permanent authority to act for the insurance undertaking as an agency would.

competent authority

has the meaning given in point (16) of Article 2 of the Financial Groups Directive.

consolidation group

means the undertakings included in the scope of consolidation pursuant to Articles 18(1), 18(8), 19(1), 19(3) and 23 of the CRR and Groups 2.1- 2.3.

coordinator

means, in relation to a financial conglomerate, the competent authority appointed as coordinator in accordance with Article 10(1) of the Financial Groups Directive.

dormant account fund operator

means a firm with permission for operating a dormant account fund.

EEA financial conglomerate

means a financial conglomerate that is of a type that falls under Article 5(2) of the Financial Groups Directive.

financial conglomerate

has the meaning given in point (14) of Article 2 of the Financial Groups Directive.

Financial Groups Directive

means Directive 2002/87/EC of the European Parliament and of the Council of 16 December 2002 on the supplementary supervision of credit institutions, insurance undertakings and investment firms in a financial conglomerate.

injunction

means a court order made by the High Court that prohibits a person from doing or continuing to do a certain act or requires a person to carry out a certain act.

insolvency order

means an administration order, compulsory winding up order, bankruptcy order or sequestration order.

MiFID Regulation

means Commission Regulation (EC) 1287/2006 implementing Directive 2004/39/EC of the European Parliament and of the Council as regards organisational requirements and operating conditions for investment firms and defined terms for the purposes of that Directive.

notification rule

(in relation to a firm) means a rule requiring a firm to give the PRA notice of, or information regarding, an event, but excluding a rule requiring periodic submission of a report.

occupational pension scheme

has the meaning given in Article 3(1) of the Regulated Activities Order.

operating a dormant account fund

means either of the regulated activities specified in Article 63N(1) of the Regulated Activities Order.

overseas regulator

has the meaning given in section 195(3) of FSMA.

regulated entity

means one of the following:

1. (1) a credit institution;
2. (2) an insurance undertaking within the meaning of Article 4 of the Consolidated Life Directive, Article 6 of the First Non-Life Directive or Article 1(b) of the Insurance Groups Directive; or
3. (3) an investment firm,

whether or not it is incorporated in, or has its head office in, an EEA State.

repurchase transaction

has the meaning given in point (83) of Article 4(1) of the CRR.

sole trader

means an individual who is a firm.

1.3

This Part applies to incoming firms without a top-up permission as follows:

1. (1) 1 applies in full;
2. (2) 2.1-2.3 apply in so far as responsibility for the matter in question is not reserved by an EU instrument to the firm's Home State regulator;
3. (3) 2.4-2.5 apply in full;
4. (4) 2.6-2.9 apply in so far as responsibility for the matter in question is not reserved by an EU instrument to the firm's Home State regulator;
5. (5) 3-4 do not apply;
6. (6) 5.1-5.3 apply in full except that 5.2(2) does not apply to an incoming EEA firm without a top-up permission;
7. (7) 5.4 applies in so far as responsibility for the matter in question is not reserved by an EU instrument to the firm's Home State regulator;
8. (8) 5.5 applies in full; and
9. (9) 6-9 apply in full.

1.4

This Part:

1. (1) applies with respect to the carrying on of both regulated activities and unregulated activities; and
2. (2) takes into account any activity of other members of a group of which the firm is a member.