PART 8

Amendments of Banking Act 2009

Special resolution regime and bank administration

Objectives and conditions
96
1
The Banking Act 2009 is amended as follows.
2
In section 3 (interpretation: other expressions), after “this Part—” insert—
“client assets” means assets which an institution has undertaken to hold for a client (whether or not on trust, and whether or not the undertaking has been complied with),
.
3
In section 4 (special resolution objectives), after subsection (8) insert—
8A
Objective 6, which applies in any case in which client assets may be affected, is to protect those assets.
8B
Objective 7 is to minimise adverse effects on institutions (such as investment exchanges and clearing houses) that support the operation of financial markets.
4
In section 8(2) (Condition A: private sector purchaser and bridge bank)—
a
in paragraph (b) for “the banking systems of the United Kingdom, or” substitute “ those systems, ”, and
b
after paragraph (c) insert
, or
d
the protection of any client assets that may be affected.
5
In section 47 (restriction of partial transfers), for subsection (3) substitute—
3
Provision under subsection (2) may, in particular, refer to—
a
particular classes of deposit;
b
particular classes of client assets.
6
In the Table in section 261 (index of defined terms), after the entry relating to “central counterparty clearing services”, insert—
Client assets (Part 1) | 3
.
S. 96(1)(2)(5)(6) in force at 1.1.2015 by S.I. 2014/3323, art. 2