Article 2 Application of this Order

United Kingdom

(1)

This Order applies in the following cases.

(2)

Case 1 is where a partial property transfer M1 has been made by the Bank in accordance with section 11(2) F1, 12(2) or 12ZA(3) of the Act.

(3)

Case 2 is where—

(a)

the Bank has made a property transfer instrument in accordance with section 11(2) F2, 12(2) or 12ZA(3) of the Act (whether or not that instrument is a partial property transfer); and

(b)

a property transfer instrument under section 42, 43 or 44 of the Act has been made by the Bank which is a partial property transfer.

(4)

Case 3 is where—

(a)

the Treasury have made a share transfer order in accordance with section 13(2) of the Act F3...; and

(b)

a property transfer instrument has been made by the Treasury under section 45 or 46 of the Act F4... which by virtue of section 45(5)(b) or 46(5)(b) of the Act is to be treated as a partial property transfer.

F5(4A)

Case 4 is where—

(a)

the Bank has made a resolution instrument in accordance with section 12A(2) of the Act (bail-in option), and

(b)

a property transfer instrument has been made under section 41A(2) (transfer of property subsequent to resolution instrument), 42 (supplemental instruments) or 44A (bail in: reverse property transfer) of the Act which is a partial property transfer.

(4B)

Case 5 is where—

(a)

the Bank has made a third-country instrument in accordance with section 89H of the Act (recognition of third-country resolution actions), and

(b)

either—

(i)

that third-country instrument or

(ii)

any further third-country instrument made under section 89I(4)(b),

makes provision which would otherwise be made in a property transfer instrument and which, if made in a property transfer instrument, would be a partial property transfer.

F6(4C)

Case 6 is where—

(a)

the Bank has made a share transfer instrument in accordance with section 12(2) of the Act; and

(b)

a property transfer instrument has been made by the Bank in accordance with section 44D(2) (bridge bank: supplemental property transfer powers) or section 44E(2) (bridge bank: supplemental reverse property transfer powers) of the Act which is a partial property transfer.

(5)

For the purposes of this Order, a property transfer instrument or order which purports to transfer all of the property, rights and liabilities of a banking institution shall be treated as having done so effectively (and so shall not be treated as a partial property transfer), notwithstanding the possibility that any of the property, rights or liabilities are foreign property and may not have been effectively transferred by the property transfer instrument or order or by virtue of steps taken under section 39 of the Act.

F7(6)

This Order does not apply in the case of a partial property transfer made under Part 1 of the Act as applied by section 89B of the Act.

Annotations

Textual amendments

F1: Words in art. 2(2) substituted (1.1.2015) by The Bank Recovery and Resolution Order 2014 (S.I. 2014/3329), arts. 1(2), 125(3)(a)
F2: Words in art. 2(3)(a) substituted (1.1.2015) by The Bank Recovery and Resolution Order 2014 (S.I. 2014/3329), arts. 1(2), 125(3)(b)
F3: Words in art. 2(4)(a) omitted (16.12.2016) by virtue of The Bank Recovery and Resolution Order 2016 (S.I. 2016/1239), arts. 1(2), 36(3)(a)(i)
F4: Words in art. 2(4)(b) omitted (16.12.2016) by virtue of The Bank Recovery and Resolution Order 2016 (S.I. 2016/1239), arts. 1(2), 36(3)(a)(ii)
F5: Art. 2(4A)(4B) inserted (1.1.2015) by The Bank Recovery and Resolution Order 2014 (S.I. 2014/3329), arts. 1(2), 125(3)(c)
F6: Art. 2(4C) inserted (16.12.2016) by The Bank Recovery and Resolution Order 2016 (S.I. 2016/1239), arts. 1(2), 36(3)(b)
F7: Art. 2(6) inserted (1.8.2014) by The Banking Act 2009 (Restriction of Partial Property Transfers) (Recognised Central Counterparties) Order 2014 (S.I. 2014/1828), arts. 1(2), 13(2)

Marginal citations

M1: “Partial property transfer” is defined by section 47(1) of the Act. See also section 42 (supplemental instruments), section 43 (onward transfer), section 44 (reverse property transfer), 45 (temporary public ownership: property transfer) and sections 82 and 83 (holding companies: temporary public ownership).