Financial Services Act 2021

8 Review of which benchmarks are critical benchmarks

(1) Article A20 of the Benchmarks Regulation (review of critical benchmarks) is amended in accordance with subsections (2) to (5).

(2) In paragraph 2, for point (a) (but not the “and” at the end) substitute—

“(a) whether an administrator located in the United Kingdom provides a benchmark that satisfies one or more of conditions (a), (b), (c) or (d) of paragraph 1 of Article 20;”.

(3) In paragraph 2(b), for “point (a)(i) or (ii)” substitute “point (a)”.

(4) In paragraph 3(b), for “point (a)(i) or (ii)” substitute “point (a)”.

(5) In paragraph 6, for point (b) substitute—

“(b) the Treasury consider that the benchmark satisfies one or more of conditions (a), (b), (c) or (d) of paragraph 1 of Article 20.”

(6) In Article 20(1) of the Benchmarks Regulation (critical benchmarks: conditions and other matters)—

(a) in the opening words of point (c), for “all” substitute “both”,

(b) omit point (c)(i), and

(c) after point (c) insert—

“(d) the benchmark has a sufficient number of appropriate market-led substitutes that it does not fulfil the criterion in point (c)(ii), but:

(i) it is not reasonably practicable for one or more users of the benchmark to switch to one of those substitutes, and

(ii) the benchmark fulfils the criterion in point (c)(iii).”