Rule 73 Disapplication of set off for eligible depositorsI1

This rule applies if F1the appropriate regulator Rules allow the FSCS to make gross payments of compensation.

Rule 72 shall apply but, for the purpose of determining the sums due from the bank to the eligible depositor in respect of protected deposits under rule 72(3)—

F3Where this paragraph applies there shall be deemed to have been no mutual dealings, regardless of whether there are any sums due from the depositor to the bank, and the sum due to the F4... depositor from the bank will be the total of the sums held by the bank for that depositor in respect of the protected deposits.

F5Where this paragraph applies then—

Any arrangements with regard to F9set-off between the bank and the eligible depositor in existence before the commencement of bank insolvency shall be subject to this rule F10in so far as they relate to protected deposits.

In this rule—

• “eligible depositor” has the meaning given by section 93(3) of the 2009 Act;

• F12“appropriate regulator rules” means the rules, as amended from time to time, made under section 213 of the Financial Services and Markets Act 2000 by the Financial Conduct Authority or the Prudential Regulation Authority;

• “protected deposit” means a protected deposit within the meaning given by the appropriate regulator Rules.