Article 14 Recovery of expenses

After section 48W (reverse transfer), insert—

“Bail-in option: recovery of expenses

48WA

(1)

The Bank of England may, in relation to the exercise of the bail-in option, direct a relevant bank to pay the Bank of England a fee to cover expenses reasonably incurred by the Bank in connection with exercising that option.

(2)

The Treasury may direct a relevant bank to pay the Treasury a fee to cover expenses reasonably incurred by the Treasury in connection with the exercise by the Bank of England of the bail-in option in relation to the relevant bank.

(3)

For the purposes of this section—

(a)

a “relevant bank” is a bank in relation to which the Bank of England has made—

(i)

a resolution instrument under section 12A(2),

(ii)

a supplemental resolution instrument under section 48U(2), or

(iii)

an instrument containing special bail-in provision under section 48B,

(b)

the exercise of the bail-in option includes making any instrument containing special bail-in provision under section 48B.”.