Prudential Regulation Authority Rulebook

1.1

Unless otherwise stated, this Part applies to every firm and Chapter 8 applies only to a BRRD undertaking.

1.1A

1. (1) Chapter 5 of this Part shall apply to a CRR consolidation entity and for this purpose references to a firm in this Part mean a CRR consolidation entity.
2. (2) Chapter 2, rule 2.3(4), shall also apply to a CRR consolidation entity.

1.2

In this Part, the following definitions shall apply:

BRRD management body

means a BRRD undertaking’s body or bodies, which are appointed in accordance with national law, which are empowered to set the BRRD undertaking’s strategy, objectives and overall direction, and which oversee and monitor management decision-making, and include the persons who effectively direct the business of the BRRD undertaking.

conduct rules

means the rules in Conduct Rules 2 and 3.

Core Activities Order

means the Financial Services and Markets Act 2000 (Ring-fenced Bodies and Core Activities) Order 2014 (SI 2014/1960).

core deposit

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

core deposit level condition

means the condition referred to in Articles 11(1)(d) and 12 of the Core Activities Order.

exposure

has the meaning in Article 1(4) of the Excluded Activities and Prohibitions Order.

extraordinary public financial support

means, support of a kind described in section 3(1) of the Banking Act 2009 that is provided in order to preserve or restore the viability, liquidity or solvency of a BRRD undertaking or of a group of which a BRRD undertaking forms part.

financial institution exposure

has the meaning in Article 1(4) of the Excluded Activities and Prohibitions Order.

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.

mixed financial holding company

has the meaning given in point (21) of Article 4(1) of the CRR.

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.

overseas regulator

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

own funds

has the meaning set out at point (118) of Article 4(1) of the CRR.

regulated entity

means one of the following:

1. (1) a credit institution;
2. (2) an insurance undertaking within the meaning of Article 13(1) of the Solvency II Directive; or
3. (3) an investment firm,

whether or not it is incorporated in, or has its head office in, the UK.

relevant group member

means a member of a group that is a UK bank and does not carry out insurance business acting as principal in accordance with a Part 4A permission.

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.

UK financial conglomerate

means a financial conglomerate that has:

1. (1) a regulated entity at the head of the financial conglomerate;
2. (2) a mixed financial holding company which has its head office in the UK; or
3. (3) a regulated entity linked with another financial sector entity by a common management relationship.

1.3

[Deleted.]

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.