http://www.legislation.gov.uk/ukpga/2009/1/section/234Banking Act 2009An Act to make provision about banking.texttext/xmlenStatute Law Database2026-02-20Expert Participation2026-01-19 Part 7Miscellaneous<Emphasis>Investment banks</Emphasis>Regulations: details2341Investment bank insolvency regulations may provide for a procedure to be instituted—aby a court, orbby the action of one or more specified classes of person.2Investment bank insolvency regulations may—aconfer functions on persons appointed in accordance with the regulations (which may, in particular, (i) be similar to the functions of a liquidator or administrator under the Insolvency Act 1986, or (ii) involve acting as a trustee of client assets), andbspecify objectives to be pursued by a person appointed in accordance with the regulations.3Investment bank insolvency regulations may make the application of a provision depend—aon whether an investment bank is, or is likely to become, unable to pay its debts,bon whether the winding up of an investment bank would be fair, orcpartly on those and partly on other considerations.4Investment bank insolvency regulations may make provision about the relationship between a procedure established by the regulations and—aliquidation or administration under the Insolvency Act 1986,bbank insolvency or bank administration under Part 2 or 3 of this Act, andcprovision made by or under any other enactment in connection with insolvency.5Regulations by virtue of subsection (4) may, in particular—ainclude provision for temporary or permanent moratoria;bamend an enactment.6Investment bank insolvency regulations may include provision—aestablishing a mechanism for determining which assets are client assets (subject to section 232);bestablishing a mechanism for determining that assets are to be, or not to be, treated as client assets (subject to section 232);cabout the treatment of client assets;dabout the treatment of unsettled transactions (and related collateral);efor the transfer to another financial institution of assets or transactions;ffor the creation or enforcement of rights (including rights that take preference over creditors' rights) in respect of client assets or other assets;gindemnifying a person who is exercising or purporting to exercise functions under or by virtue of the regulations;hfor recovery of assets transferred in error.7Provision may be included under subsection (6)(f) only to the extent that the Treasury think it necessary having regard to the desirability of protecting both—aclient assets, andbcreditors' rights.8Investment bank insolvency regulations may confer functions on—aa court or tribunal,bthe Prudential Regulation Authority,bathe Financial Conduct Authority,cthe Financial Services Compensation Scheme (established under Part 15 of the Financial Services and Markets Act 2000),dthe scheme manager of that Scheme, andeany other specified person.9Investment bank insolvency regulations may include provision about institutions that are or were group undertakings (within the meaning of section 1161(5) of the Companies Act 2006) of an investment bank.10Investment bank insolvency regulations may replicate or apply, with or without modifications, a power to make procedural rules.11Investment bank insolvency regulations may include provision for assigning or apportioning responsibility for the cost of the application of a procedure established or modified by the regulations.S. 234 in force at 21.2.2009 in so far as not already in force by S.I. 2009/296, arts. 2, 3, Sch. para. 6S. 234 in force at 17.2.2009 for specified purposes by S.I. 2009/296, arts. 2, 3, Sch. para. 6S. 234(8)(b)(ba) substituted for s. 234(8)(b) (1.4.2013) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 17 para. 56 (with Sch. 20); S.I. 2013/423, art. 3, Sch.Ss. 233-236 applied (with modifications) by S.I. 2011/99, reg. 24A, Sch. 2ZA paras. 2-5 (as inserted (8.12.2020) by The Payment Services and Electronic Money (Amendment) Regulations 2020 (S.I. 2020/1275), regs. 1(2), 3, 4)Ss. 233-236 applied (with modifications) by S.I. 2017/752, reg. 23A, Sch. 3A paras. 2-5 (as inserted (8.12.2020) by The Payment Services and Electronic Money (Amendment) Regulations 2020 (S.I. 2020/1275), regs. 1(2), 6, 7)