http://www.legislation.gov.uk/ukpga/2000/8/section/422/2018-07-21Financial Services and Markets Act 2000An Act to make provision about the regulation of financial services and markets; to provide for the transfer of certain statutory functions relating to building societies, friendly societies, industrial and provident societies and certain other mutual societies; and for connected purposes.2000-06-15texttext/xmlenStatute Law Database2026-04-07Expert Participation2018-07-21 Part XXIX Interpretation<Substitution ChangeId="d29p52412" CommentaryRef="c2076852"> Controller.</Substitution>4221 In this Act “controller”, in relation to an undertaking (“B”), means a person (“A”) who falls within any of the cases in subsection (2).2The cases are where A holds—a10% or more of the shares in B or in a parent undertaking of B (“P”);b10% or more of the voting power in B or P; orcshares or voting power in B or P as a result of which A is able to exercise significant influence over the management of B.3For the purposes of calculations relating to this section, the holding of shares or voting power by a person (“A1”) includes any shares or voting power held by another (“A2”) if A1 and A2 are acting in concert.4In this section “shares”—ain relation to an undertaking with a share capital, means allotted shares;bin relation to an undertaking with capital but no share capital, means rights to share in the capital of the undertaking;cin relation to an undertaking without capital, means interests—iconferring any right to share in the profits, or liability to contribute to the losses, of the undertaking; oriigiving rise to an obligation to contribute to the debts or expenses of the undertaking in the event of a winding up.5In this section “voting power”—aincludes, in relation to a person (“H”)—ivoting power held by a third party with whom H has concluded an agreement, which obliges H and the third party to adopt, by concerted exercise of the voting power they hold, a lasting common policy towards the management of the undertaking in question;iivoting power held by a third party under an agreement concluded with H providing for the temporary transfer for consideration of the voting power in question;iiivoting power attaching to shares which are lodged as collateral with H, provided that H controls the voting power and declares an intention to exercise it;ivvoting power attaching to shares in which H has a life interest;vvoting power which is held, or may be exercised within the meaning of subparagraphs (i) to (iv), by a controlled undertaking of H;vivoting power attaching to shares deposited with H which H has discretion to exercise in the absence of specific instructions from the shareholders;viivoting power held in the name of a third party on behalf of H;viiivoting power which H may exercise as a proxy where H has discretion about the exercise of the voting power in the absence of specific instructions from the shareholders; andbin relation to an undertaking which does not have general meetings at which matters are decided by the exercise of voting rights, means the right under the constitution of the undertaking to direct the overall policy of the undertaking or alter the terms of its constitution.6For the purposes of this section, an undertaking “B” is a controlled undertaking of H if any of the conditions in section 89J(4)(a) to (d) (read with section 89J(5)) is met (reading references in those provisions to A as references to H).Ss. 422, 422A substituted (21.3.2009) for s. 422 by virtue of The Financial Services and Markets Act 2000 (Controllers) Regulations 2009 (S.I. 2009/534), reg. 7, Sch. 3 (with reg. 8)Words in s. 422(5)(a)(v) substituted (1.1.2014) by The Capital Requirements Regulations 2013 (S.I. 2013/3115), reg. 1(2), Sch. 2 para. 25(a)S. 422(6) inserted (1.1.2014) by The Capital Requirements Regulations 2013 (S.I. 2013/3115), reg. 1(2), Sch. 2 para. 25(b)