PART 1The Bank of England

Prudential regulation

14Accounts relating to Bank’s functions as Prudential Regulation Authority

1

Section 7 of the Bank of England Act 1998 (accounts) is amended as follows.

2

After subsection (2) insert—

2A

The Bank shall also prepare for each of its financial years a statement of accounts in relation to—

a

income received and assets accrued by the Bank by virtue of its functions as the Prudential Regulation Authority, and

b

expenses and liabilities incurred by the Bank by virtue of its functions as the Prudential Regulation Authority.

3

After subsection (4) insert—

4A

In preparing a statement under subsection (2A) the Bank must comply with any directions given by the Treasury as to—

a

the information to be contained in the statement and the manner in which it is to be presented, and

b

the methods and principles according to which the statement is to be prepared.

4

In subsection (5), after “subsection (2)” insert “or (2A)”.

5

After subsection (5) insert—

5A

The auditor’s report on a statement under subsection (2A) must state whether the auditor is satisfied that the Bank has complied with the requirements of Part 3 of Schedule 1ZB to the Financial Services and Markets Act 2000 (Prudential Regulation Authority fees and penalties).

6

In subsection (6), after “subsection (2)” insert “or (2A)”.

7

After subsection (8) insert—

8A

A direction under subsection (4A) or a notice under subsection (7) may be revoked by a further direction or notice.