Textual Amendments
F1Word in Pt. 5 heading omitted (27.6.2017) by virtue of Digital Economy Act 2017 (c. 30), s. 118(2), Sch. 9 para. 2
(1)The Treasury may by order (“recognition order”) specify [F2a] payment system as a recognised system for the purposes of this Part.
(2)A recognition order must specify in as much detail as is reasonably practicable the arrangements which constitute the F3... payment system.
(3)The Treasury may not specify [F4a payment] system operated solely by the Bank of England.
Textual Amendments
F2Word in s. 184(1) substituted (27.6.2017) by Digital Economy Act 2017 (c. 30), s. 118(2), Sch. 9 para. 6(2)
F3Word in s. 184(2) omitted (27.6.2017) by virtue of Digital Economy Act 2017 (c. 30), s. 118(2), Sch. 9 para. 6(3)
F4Words in s. 184(3) substituted (27.6.2017) by Digital Economy Act 2017 (c. 30), s. 118(2), Sch. 9 para. 6(4)
Commencement Information
I1S. 184 in force at 4.8.2009 by S.I. 2009/2038, art. 2, Sch. para. 3
(1)The Treasury may make a recognition order in respect of [F5a] payment system only if satisfied that any deficiencies in the design of the system, or any disruption of its operation, would be likely—
(a)to threaten the stability of, or confidence in, the UK financial system, or
(b)to have serious consequences for business or other interests throughout the United Kingdom.
(2)In considering whether to specify a system the Treasury must have regard to—
(a)the number and value of the transactions that the system presently processes or is likely to process in the future,
(b)the nature of the transactions that the system processes,
(c)whether those transactions or their equivalent could be handled by other systems,
(d)the relationship between the system and other systems, and
(e)whether the system is used by the Bank of England in the course of its role as a monetary authority.
Textual Amendments
F5Word in s. 185(1) substituted (27.6.2017) by Digital Economy Act 2017 (c. 30), s. 118(2), Sch. 9 para. 7
Commencement Information
I2S. 185 in force at 4.8.2009 by S.I. 2009/2038, art. 2, Sch. para. 3
(1)Before making a recognition order in respect of a payment system the Treasury must—
(a)consult the Bank of England,
(b)notify the operator of the system, and
(c)consider any representations made.
[F6(2)In addition, the Treasury—
(a)must consult the FCA before making a recognition order in respect of a payment system the operator of which—
(i)is, or has applied to become, a recognised investment exchange, or
(ii)has, or has applied for, a Part 4A permission, and
(b)if the operator has, or has applied for, a Part 4A permission for the carrying on of a PRA-regulated activity, must also consult the PRA.]
(3)In considering whether to make a recognition order in respect of a payment system the Treasury may rely on information provided by the Bank of England[F7, the FCA or the PRA].
Textual Amendments
F6S. 186(2) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), ss. 104(4)(a), 122(3) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
F7Words in s. 186(3) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), ss. 104(4)(b), 122(3) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
Commencement Information
I3S. 186 in force at 4.8.2009 by S.I. 2009/2038, art. 2, Sch. para. 3
(1)The Treasury may amend a recognition order.
(2)Before amending a recognition order the Treasury must—
(a)consult the Bank of England,
(b)notify the operator of the recognised F9... payment system, and
(c)consider any representations made.
(3)In addition, the Treasury—
(a)must consult the FCA before amending a recognition order in respect of a payment system the operator of which—
(i)is, or has applied to become, a recognised investment exchange, or
(ii)has, or has applied for, a Part 4A permission, and
(b)if the operator has, or has applied for, a Part 4A permission for the carrying on of a PRA-regulated activity, must also consult the PRA.
(4)The Treasury must consider any request by the operator of a recognised F10... payment system for the amendment of its recognition order.]
Textual Amendments
F8S. 186A inserted (1.4.2013) by Financial Services Act 2012 (c. 21), ss. 104(2), 122(3) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
F9Word in s. 186A(2)(b) omitted (27.6.2017) by virtue of Digital Economy Act 2017 (c. 30), s. 118(2), Sch. 9 para. 8
F10Word in s. 186A(4) omitted (27.6.2017) by virtue of Digital Economy Act 2017 (c. 30), s. 118(2), Sch. 9 para. 8
(1)The Treasury may revoke a recognition order.
(2)The Treasury must revoke a recognition order if not satisfied that the criteria in section 185 are met in respect of the recognised F11... payment system.
(3)Before revoking a recognition order the Treasury must—
(a)consult the Bank of England,
(b)notify the operator of the recognised F12... payment system, and
(c)consider any representations made.
[F13(4)In addition, the Treasury—
(a)must consult the FCA before revoking a recognition order in respect of a payment system the operator of which—
(i)is, or has applied to become, a recognised investment exchange, or
(ii)has, or has applied for, a Part 4A permission, and
(b)if the operator has, or has applied for, a Part 4A permission for the carrying on of a PRA-regulated activity, must also consult the PRA.]
(5)The Treasury must consider any request by the operator of a recognised F14... payment system for the revocation of its recognition order.
Textual Amendments
F11Word in s. 187(2) omitted (27.6.2017) by virtue of Digital Economy Act 2017 (c. 30), s. 118(2), Sch. 9 para. 9
F12Word in s. 187(3)(b) omitted (27.6.2017) by virtue of Digital Economy Act 2017 (c. 30), s. 118(2), Sch. 9 para. 9
F13S. 187(4) substituted (1.4.2013) by Financial Services Act 2012 (c. 21), ss. 104(5), 122(3) (with Sch. 20); S.I. 2013/423, art. 3, Sch.
F14Word in s. 187(5) omitted (27.6.2017) by virtue of Digital Economy Act 2017 (c. 30), s. 118(2), Sch. 9 para. 9
Commencement Information
I4S. 187 in force at 4.8.2009 by S.I. 2009/2038, art. 2, Sch. para. 3