SCHEDULES
SCHEDULE 12

Transfer schemes: certificates
Sections 111(2) and 115.
Part I

Insurance Business Transfer Schemes
1
For the purposes of section 111(2) the appropriate certificate, in relation to an insurance business transfer scheme, is a certificate under paragraph 2.

Certificates as to margin of solvency
2
1
A certificate under this paragraph is to be given—
a
by the relevant authority; or
b
in a case in which there is no relevant authority, by the appropriate regulator.
2
A certificate given under sub-paragraph (1)(a) is one certifying that, taking the proposed transfer into account—
a
the transferee possesses, or will possess before the scheme takes effect, the necessary margin of solvency; or
b
there is no necessary margin of solvency applicable to the transferee.
3
A certificate under sub-paragraph (1)(b) is one certifying that the appropriate regulator has received from the authority which it considers to be the authority responsible for supervising persons who effect or carry out contracts of insurance in the place to which the business is to be transferred certification that, taking the proposed transfer into account—
a
the transferee possesses or will possess before the scheme takes effect the margin of solvency required under the law applicable in that place; or
b
there is no such margin of solvency applicable to the transferee .
4
“Necessary margin of solvency” means the margin of solvency required in relation to the transferee, taking the proposed transfer into account, under the law which it is the responsibility of the relevant authority to apply.
5
“Margin of solvency” means the excess of the value of the assets of the transferee over the amount of its liabilities.
6
“Relevant authority” means—
a. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
aa. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
b
if the transferee is a Swiss general insurer, the authority responsible in Switzerland for supervising persons who effect or carry out contracts of insurance;
c
if the transferee is an authorised person not falling within paragraph ... (b) —
i
the PRA, if the transferee is a PRA-authorised person with a Part 4A permission ...;
ii
the FCA, if the transferee is a person with a Part 4A permission
... but is not a PRA-authorised person.
7
In sub-paragraph (6), any reference to a transferee of a particular description includes a reference to a transferee who will be of that description if the proposed scheme takes effect.
7A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8
“Swiss general insurer” means a body—
a
whose head office is in Switzerland;
b
which has permission to carry on regulated activities consisting of the effecting and carrying out of contracts of general insurance; and
c
whose permission is not restricted to the effecting or carrying out of contracts of reinsurance.
9. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Certificates as to consultation
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Certificates as to consent
3A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Certificates as to long-term business
4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Certificates as to general business
5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Certificates as to legality and as to consent
5A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Interpretation of Part I
6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part II

Banking Business Transfer Schemes
7
For the purposes of section 111(2) the appropriate certificate, in relation to a banking business transfer scheme, is a certificate under paragraph 8.

Certificates as to financial resources
8
1
A certificate under this paragraph is one given by the relevant authority and certifying that, taking the proposed transfer into account, the transferee possesses, or will possess before the scheme takes effect, adequate financial resources.
2
“Relevant authority” means—
a
if the transferee is a PRA-authorised person with a Part 4A permission
..., the PRA;
aa
if the transferee is a person with Part 4A permission
... but is not a PRA-authorised person, the FCA;
b. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
c
if the transferee does not fall within paragraph (a) or (aa), the authority responsible for the supervision of the transferee’s business in the place in which the transferee has its head office.
3
In sub-paragraph (2), any reference to a transferee of a particular description of person includes a reference to a transferee who will be of that description if the proposed banking business transfer scheme takes effect.

Certificates as to consent of home state regulator
9. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part 2A

Reclaim fund business transfer schemes

Certificate as to financial resources
9A
1
For the purposes of section 111(2) the appropriate certificate, in relation to a reclaim fund business transfer scheme, is a certificate given by the
relevant regulator
certifying that, taking the proposed transfer into account, the transferee possesses, or will possess before the scheme takes effect, adequate financial resources.
2
In this paragraph the “
relevant regulator
” means—
a
if the transferee is a PRA-authorised person, the PRA;
b
in any other case, the FCA.
PART 2B

Ring-fencing transfer schemes

Appropriate certificates
9B
For the purposes of section 111(2) the appropriate certificates, in relation to a ring-fencing transfer scheme, are—
a
a certificate given by the PRA certifying its approval of the application, and
b
a certificate under paragraph 9C.

Certificate as to financial resources
9C
1
A certificate under this paragraph is one given by the relevant authority and certifying that, taking the proposed transfer into account, the transferee possesses, or will possess before the scheme takes effect, adequate financial resources.
2
“
Relevant authority
” means—
a
if the transferee is a PRA-authorised person with a Part 4A permission
..., the PRA;
b. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
c
if the transferee does not fall within paragraph (a)
... but is subject to regulation in a country or territory outside the United Kingdom, the authority responsible for the supervision of the transferee's business in the place in which the transferee has its head office;
d
in any other case, the FCA.
3
In sub-paragraph (2), any reference to a transferee of a particular description includes a reference to a transferee who will be of that description if the proposed ring-fencing transfer scheme takes effect.

Certificate as to consent of home state regulator
9D. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part III

Insurance business transfers effected outside the United Kingdom
10
1
This paragraph applies to a proposal to execute under provisions corresponding to Part VII in a country or territory other than the United Kingdom an instrument transferring all the rights and obligations of the transferor under general or long-term insurance policies, or under such descriptions of such policies as may be specified in the instrument, to the transferee if the condition in sub-paragraph (4) is met in relation to it.
2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4
The transferor is a Swiss general insurer and the transferee is
a UK authorised person as defined in section 105(8)
.
5
In relation to a proposed transfer to which this paragraph applies, the regulator which supervises the transferee's margin of solvency may, if it is satisfied that the transferee possesses the necessary margin of solvency, issue a certificate to that effect.
6
“Necessary margin of solvency” means the margin of solvency which the transferee, taking the proposed transfer into account, is required by the FCA or the PRA to maintain.
7
“Swiss general insurer” has the same meaning as in paragraph 2.
8
“General policy” means a policy evidencing a contract which, if it had been effected by the transferee, would have constituted the carrying on of a regulated activity consisting of the effecting of contracts of general insurance.
9
“Long-term policy” means a policy evidencing a contract which, if it had been effected by the transferee, would have constituted the carrying on of a regulated activity consisting of the effecting of contracts of long-term insurance.
Sch. 12 Pt. I (paras. 1-6) applied (1.12.2001) by S.I. 2001/3626, arts. 1, 3(c)
Sch. 12 Pt. 2A inserted (12.3.2009) by Dormant Bank and Building Society Accounts Act 2008 (c. 31), ss. 15, 31(1)(2), Sch. 2 para. 5; S.I. 2009/490, art. 2 (with art. 3)
Sch. 12 para. 9 omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 110; 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 paras. 2, 3 applied (with modifications) by S.I. 2001/3626, art. 5(2A) (as inserted (1.9.2013) by The Financial Services Act 2012 (Consequential Amendments and Transitional Provisions) (No. 3) Order 2013 (S.I. 2013/1765), arts. 1, 5(4)(c))
Words in Sch. 12 para. 2(6)(c) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 106(3)(b) (with transitional provisions in S.I. 2019/710, regs. 1(4), 36, Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 8(2)(aa) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 109(a); 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 para. 2(7A) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 106(4) (with transitional provisions in S.I. 2019/710, regs. 1(4), 36, Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 8(2)(c) substituted (31.12.2020) by The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 109(c); 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 para. 9B substituted (31.12.2020) by The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 111; 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 para. 9C(2)(b) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 112(b); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 10(4) substituted (31.12.2020) by The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 114(c); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 2(3) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 6 para. 11(2)(b) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Sch. 12 para. 9D omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 113; 2020 c. 1, Sch. 5 para. 1(1)
Word in Sch. 12 para. 2(3) inserted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 6 para. 11(3) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Word in Sch. 12 para. 3 heading substituted (1.1.2016) by The Solvency 2 Regulations 2015 (S.I. 2015/575), reg. 1(2), Sch. 1 para. 18(4)
Words in Sch. 12 para. 8(2)(a) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 109(a); 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 para. 10(4) substituted (1.1.2016) by The Solvency 2 Regulations 2015 (S.I. 2015/575), reg. 1(2), Sch. 1 para. 18(7)(b)
Sch. 12 para. 9A(2) inserted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 6 para. 18(4) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Sch. 12 para. 2 modified (31.12.2020) by The Financial Services (Miscellaneous) (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/710), reg. 1(3), Sch. para. 4, 5, 7(3) (as amended by S.I. 2020/1301, regs. 1, 3, Sch. para. 43(m)(v)(vii)); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 9A(1) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 6 para. 18(3) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Sch. 12 paras. 3-6 omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 107 (with transitional provisions in S.I. 2019/710, regs. 1(4), 36, Sch. paras. 3, 4, 5, 7(4)); 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 para. 9A renumbered as Sch. 12 para. 9A(1) (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 6 para. 18(2) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Sch. 12 para. 8(2)(b) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 109(b); 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 para. 2(9) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 106(4) (with transitional provisions in S.I. 2019/710, regs. 1(4), 36, Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 para. 2(6)(a) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 106(3)(a) (with transitional provisions in S.I. 2019/710, regs. 1(4), 36, Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 10(5) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 6 para. 19(3) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Sch. 12 para. 8(2)(a)(aa) substituted for Sch. 12 para. 8(2)(a) (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 6 para. 16(a) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Sch. 12 para. 10(2) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 114(b); 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 Pt. 2B inserted (1.3.2014) by Financial Services (Banking Reform) Act 2013 (c. 33), s. 148(5), Sch. 1 para. 13; S.I. 2014/377, art. 2(1)(a), Sch. Pt. 1
Sch. 12 para. 1 substituted (31.12.2020) by The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 105 (with transitional provisions in S.I. 2019/710, regs. 1(4), 36, Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 2(6)(c)(ii) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 106(3)(c) (with transitional provisions in S.I. 2019/710, regs. 1(4), 36, Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 para. 1 modified (31.12.2020) by The Financial Services (Miscellaneous) (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/710), reg. 1(3), Sch. para. 4, 5, 7(2) (as amended by S.I. 2020/1301, regs. 1, 3, Sch. para. 43(m)(iv)); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 10(1) substituted (31.12.2020) by The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 114(a); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 2(6)(c)(i) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 106(3)(c) (with transitional provisions in S.I. 2019/710, regs. 1(4), 36, Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 9C(2)(a) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 112(a); 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 para. 2(6)(aa) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 106(3)(a) (with transitional provisions in S.I. 2019/710, regs. 1(4), 36, Sch. para. 3); 2020 c. 1, Sch. 5 para. 1(1)
Sch. 12 para. 7 substituted (31.12.2020) by The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 108; 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 9C(2)(c) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 112(c); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 2(1)(b) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 6 para. 11(2)(a) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Sch. 12 para. 10(3) omitted (31.12.2020) by virtue of The Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/632), regs. 1(3), 114(b); 2020 c. 1, Sch. 5 para. 1(1)
Words in Sch. 12 para. 10(6) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 6 para. 19(4) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Sch. 12 para. 2(6)(c)(i)(ii) substituted for words (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 6 para. 11(4) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Words in Sch. 12 para. 2(6)(c) substituted (10.12.2007) by The Reinsurance Directive Regulations 2007 (S.I. 2007/3253), reg. 2(1), Sch. 1 para. 2(5)(e)(iii)