Paragraph 5 Liability to pay the levyF1

(1)

The amount of the levy that an eligible institution is liable to pay in respect of a levy year is to be determined by the Bank in accordance with regulations made by the Treasury.

(2)

Regulations under sub-paragraph (1) may—

(a)

make provision by reference to the Bank’s anticipated levy requirement in respect of the levy year (see paragraph 4);

(b)

make provision by reference to specified liabilities of an eligible institution;

(c)

make provision for cases in which no amount of the levy or a reduced amount of the levy is payable.

(3)

Regulations made by virtue of sub-paragraph (2)(b) may include (among other things) provision—

(a)

specifying types of liability that may or may not be taken into account for specified purposes;

(b)

about how and when liabilities of a specified type are to be taken into account for specified purposes;

(c)

about how the amount of a liability of a specified type is to be determined, including specifying times, or periods of time, by reference to which the amount is to be determined;

(d)

for an amount of a liability of a specified type to be treated as reduced by the amount of assets of a specified type.

(4)

Regulations under sub-paragraph (1) may include provision conferring a discretion on the Bank to determine specified matters (including matters mentioned in sub-paragraph (2)(b) or (3)).

(5)

Regulations made by virtue of sub-paragraph (4) may, in particular, confer a discretion—

(a)

to determine the method used to determine a matter, and

(b)

to determine different methods to be used in relation to different eligible institutions.

(6)

In this section, “specified” means specified in the regulations.

Annotations

Textual amendments

F1: Sch. 2ZA inserted (1.1.2024 for specified purposes, 1.3.2024 in so far as not already in force) by Financial Services and Markets Act 2023 (c. 29), ss. 70(4), 86(3); S.I. 2023/1382, reg. 9(1)(c); S.I. 2024/250, reg. 2(b)