PART 2

Amendments of Financial Services and Markets Act 2000

Regulated activities

Designation of activities requiring prudential regulation by PRA
9
After section 22 of FSMA 2000 insert—

Designation of activities requiring prudential regulation by PRA
22A
1
The Treasury may by order specify the regulated activities that are “PRA-regulated activities” for the purposes of this Act.
2
An order under subsection (1) may—
a
provide for exceptions;
b
confer powers on the Treasury or either regulator;
c
authorise the making of rules or other instruments by either regulator for purposes of, or connected with, any relevant provision;
d
make provision in respect of any information or document which in the opinion of the Treasury or either regulator is relevant for purposes of, or connected with, any relevant provision;
e
make such consequential, transitional, or supplemental provision as the Treasury consider appropriate for purposes of, or connected with, any relevant provision.
3
Provision made as a result of subsection (2)(e) may amend any primary or subordinate legislation, including any provision of, or made under, this Act.
4
“Relevant provision” means this section or any provision made under this section.

Parliamentary control in relation to certain orders under section 22A
22B
1
This section applies to the first order made under section 22A(1).
2
This section also applies to any subsequent order made under section 22A(1) which—
a
contains a statement by the Treasury that, in their opinion, the effect (or one of the effects) of the proposed order would be—
i
that an activity would become a PRA-regulated activity, or
ii
that a PRA-regulated activity would become a regulated activity that is not a PRA-regulated activity, or
b
amends primary legislation.
3
No order to which this section applies may be made unless—
a
a draft of the order has been laid before Parliament and approved by a resolution of each House, or
b
subsection (5) applies.
4
Subsection (5) applies if an order to which this section applies contains a statement that the Treasury are of the opinion that, by reason of urgency, it is necessary to make the order without a draft being so laid and approved.
5
Where this subsection applies the order—
a
must be laid before Parliament after being made, and
b
ceases to have effect at the end of the relevant period unless before the end of that period the order is approved by a resolution of each House of Parliament (but without that affecting anything done under the order or the power to make a new order).
6
The “relevant period” is a period of 28 days beginning with the day on which the order is made.
7
In calculating the relevant period no account is to be taken of any time during which Parliament is dissolved or prorogued or during which both Houses are adjourned for more than 4 days.