The Deposit Guarantee Scheme Regulations 2015

Amendment of FSMA

13.—(1) FSMA is amended as follows.

(2) In section 55Z2 (notification of EBA)(1) after subsection (1) insert—

“(1A) A notification given in accordance with paragraph (a) or (c) of subsection (1) must contain a statement to the effect that the compensation scheme makes provision for cases where the credit institution concerned is unable, or likely to be unable, to satisfy claims against it.”.

(3) In section 215 (rights of the scheme in insolvency), after subsection (2) insert—

“(2A) Any payment made by the scheme manager under section 214B(2)(2) in connection with the exercise of a stabilisation power in respect of a bank, building society or credit union is to be treated as a debt due to the scheme manager from that bank, building society or (as the case may be) credit union.

(2B) In subsection (2)—

“bank” has the meaning given in section 2 of the Banking Act 2009(3);

“building society” has the meaning given in the Building Societies Act 1986(4);

“credit union” means a credit union within the meaning of—

(a)

the Credit Unions Act 1979(5); or

(b)

article 2 of the Credit Unions (Northern Ireland) Order 1985(6).”.

(4) In section 218A (regulators power to require information)(7), for subsection (1) substitute—

“(1) Each regulator may make rules enabling that regulator to require authorised persons to—

(a) provide information to the scheme manager on the request of that regulator or the scheme manager; or

(b) provide information to that regulator, which may then be made available to the scheme manager by that regulator.”.

(1)

Section 55Z2 was inserted by the Financial Services Act 2012, section 11(2). Subsection (1) was amended by S.I. 2013/3115.

(2)

Section 214B was inserted by the Banking Act 2009 (c. 1), section 171(1). It was substituted for the section as originally enacted, together with sections 214C and 214D, by the Financial Services Act 2010 (c. 28), section 16(1).

(3)

2009, c. 1. Section 2 was amended by S.I.2011/2832. There are other amendments to section 2 but none are relevant to these Regulations.

(4)

1986. c 53 .

(5)

1979 c. 34.

(6)

S.I. 1985/1205 (N.I. 12). There are amendments to article 2 not relevant to these Regulations.

(7)

Section 218A was inserted by the Banking Act 2009 (c.1), section 176(1) and amended by the Financial Services Act 2012 (c.21), Schedule 10.