SCHEDULE 2Amendments to primary and secondary legislation
PART 2Amendments to other primary legislation
Superannuation Act 197231
In section 1of the Superannuation Act 197270 (superannuation schemes as respects civil servants, etc.) in subsections (9C)(a) and (9D)(a) for “Banking Consolidation Directive” substitute “capital requirements directive”.
Consumer Credit Act 197432
In section 25(1C) of the Consumer Credit Act 197471 (licensee to be a fit person) for the words “Directive 2006/48/EC of the European Parliament and of the Council of 14 June 2006 relating to the taking up and pursuit of the business of credit institutions (as that annex was last amended by Directive 2009/111/EC)” substitute “Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 relating to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC.”.
Judicial Pensions Act 198133
In section 33A of the Judicial Pensions Act 198172 (voluntary contributions), in subsections (9C)(a) and (9D)(a) for “Banking Consolidation Directive” substitute “capital requirements directive”.
Building Societies Act 1986
34
In section 119 of the Building Societies Act 198673 (interpretation)—
a
in subsection (1), for the definition of “own funds” substitute—
“own funds” means own funds as defined in Article 4(1)(118) of Regulation (EU) No. 575/2013 of the European Parliament and of the Council;
b
omit subsection (2B).
35
In paragraph 23 of Schedule 2 to the Building Societies Act 198674—
a
in sub-paragraph (1), after “paragraphs 5(3), 7(4) and 8(4) above” insert “and sub-paragraph (5A) below”;
b
after sub-paragraph (5) insert—
5A
If the rules of the society so provide, a member who is also an employee of the building society shall not be entitled to exercise, directly or indirectly, any voting rights that the member may have with respect to a relevant resolution.
5B
For the purposes of sub-paragraph (5a), a relevant resolution is a resolution to approve an increase in the maximum ratio between the fixed and variable components of remuneration as permitted by Article 94(1)(g)(i) of the capital requirements directive (whereby the level of the variable component may be set at up to 200% of the level of the fixed component), where the member referred to would be directly affected by the increase.
5C
In sub-paragraph (5B) the “capital requirements directive” means Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC.
Judicial Pensions and Retirement Act 199336
In section 10 of the Judicial Pensions and Retirement Act 199375 (additional benefits from voluntary contributions), in subsections (8C)(a) and (8D)(a) for “Banking Consolidation Directive” substitute “capital requirements directive”.
Criminal Justice Act 199337
For paragraphs (a) and (b) of section 70(2) of the Criminal Justice Act 199376 (penalties under implementation regulations) substitute—
a
Articles 52 and 159 of Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 relating to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC (which requires the United Kingdom to make provision for the exercise in the United Kingdom by supervisory authorities of other Member States of information and inspection powers in relation to institutions authorised by them), or
b
Articles 119(2) and (3), 122 and 124 to 126 of that Directive (which make similar provision in relation to the consolidated supervision of institutions).
Bank of England Act 1998
38
1
The Bank of England Act 199877 is amended as follows.
2
After section 2A78 (financial stability objective) insert—
Macro-prudential measures: Article 458 of the capital requirements regulation2AA
1
The Bank is responsible for the application of Article 458 of the capital requirements regulation so far as it relates to measures which are prescribed by order under section 9L (macro-prudential measures).
2
The Treasury are responsible for the application of Article 458 of the capital requirements regulation so far as it relates to measures which are not so prescribed.
3
For section 17(7C)79 (power to obtain information) substitute—
7C
“Financial holding company” has the meaning given by Article 4(1)(20) of the capital requirements regulation.
39
For section 4180 (general interpretation) substitute—
General interpretation41
In this Act—
“the Bank” means the Bank of England;
“the capital requirements regulation” means Regulation (EU) No. 575/2013 of the European Parliament and of the Council.
Terrorism Act 200040
1
The Terrorism Act 200081 is amended as follows.
2
In Schedule 3A (regulated sector and supervisory authorities)82—
a
in paragraph 1(b) (business in the regulated sector) for “Banking Consolidation Directive” substitute “Capital Requirements Directive” in both places where it appears;
b
in paragraph 1(2)(a) for “Article 4(1) of the Banking Consolidation Directive” substitute “Article 4(1)(1) of the Capital Requirements Regulation”.
c
in paragraph 1(2)(b) for “Article 4(3) of that Directive” substitute “Article 4(1)(17) of that Regulation”;
d
in paragraph 3(1) (interpretation)—
i
omit the definition of “the Banking Consolidation Directive”; and
ii
at the appropriate place insert—
the Capital Requirements Regulation” means Regulation (EU) No. 575/2013 of the European Parliament and of the Council
e
In paragraph 3(3) for “Banking Consolidation Directive” substitute “Capital Requirements Regulation”.
3
In paragraph 6(1)83 of Schedule 6 (financial institution)—
a
for paragraph (g) substitute—
g
a European institution carrying on a home Member State regulated activity (within the meaning of Regulation (EU) No. 575/2013 of the European Parliament and of the Council);
b
in paragraph (h) for “that Directive” substitute “Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013,”.
Proceeds of Crime Act 200241
1
Schedule 9 to the Proceeds of Crime Act 200284 (regulated sector and supervisory authorities) is amended as follows.
2
In paragraph 1(1)(b)85 (business in the regulated sector) for “Banking Consolidation Directive” substitute “Capital Requirements Regulation” in both places where it appears.
3
In paragraph 1(2)(a) for “Article 4(1) of the Banking Consolidation Directive” substitute “Article 4(1)(1) of the Capital Requirements Regulation”.
4
In paragraph 1(2)(b) for “Article 4(3) of that Directive” substitute “Article 4(1)(17) of that Regulation”.
5
In paragraph 3(1)86 (interpretation)—
a
omit the definition of “the Banking Consolidation Directive”; and
b
at the appropriate place insert—
“the Capital Requirements Regulation” means Regulation (EU) No. 575/2013 of the European Parliament and of the Council
Companies Act 200642
1
The Companies Act 200687 is amended as follows.
2
In section 1173(1)88 (minor definitions: general) for the definition of “credit institution” substitute—
“credit institution” means a credit institution as defined in Article 4(1)(1) of Regulation (EU) No. 575/2013 of the European Parliament and of the Council.
3
In section 1210(3)89 (meaning of “statutory auditor”), in the definition of “bank”, for paragraph (a) substitute—
a
is a credit institution within the meaning of Article 4(1)(1) of Regulation (EU) No. 575/2013 of the European Parliament and of the Council, and
Banking (Special Provisions) Act 200843
1
Section 15 of the Banking (Special Provisions) Act 200890 (interpretation) is amended as follows.
2
In subsection (2) for “Section 1 of Chapter 2 of Title V of the Banking Consolidation Directive” substitute “Title 1 of Part Two of Regulation (EU) No. 575/2013 of the European Parliament and of the Council”.
3
Omit subsection (3).
Counter-Terrorism Act 200844
1
Schedule 7 to the Counter-Terrorism Act 200891 (terrorist financing and money laundering) is amended as follows.
2
In paragraph 5 (meaning of “credit institution” and “financial institution”)—
a
in sub-paragraph (1), for “Article 4(1) of the banking consolidation directive” substitute “Article 4(1)(1) of the capital requirements regulation”; and
b
in sub-paragraph (2)(a) for “banking consolidation directive” substitute “capital requirements directive” in each place where it appears.
3
In paragraph 7 (interpretation of this Part)—
a
omit the definition of “the banking consolidation directive”; and
b
insert at the relevant place—
“the capital requirements directive” means Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 relating to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC;
“the capital requirements regulation” means Regulation (EU) No. 575/2013 of the European Parliament and of the Council;”.
4
In paragraph 46 (index of defined expressions)—
a
omit the entry for “banking consolidation directive”;
b
insert the following entries at the appropriate place—
expression | provision |
|---|---|
the capital requirements directive | paragraph 7 |
the capital requirements regulation | paragraph 7 |
Banking Act 200945
1
The Banking Act 200992 is amended as follows.
2
In section 14(5)(b)93 (interpretation: “securities”) for the words from “section 1” to the end of that paragraph substitute “Title 1 of Part 2 of Regulation (EU) No. 575/2013 of the European Parliament and of the Council.”
3
In section 258A(1)94 (“investment firm”) for “Directive 2006/49/EC on the capital adequacy of investment firms and credit institutions” substitute “Regulation (EU) No. 575/2013 of the European Parliament and of the Council.”.