Regulation 6 Time limit for determining that a compensation scheme member is unable to repay deposits

United Kingdom

(1)

If the relevant administrative authority is satisfied that a compensation scheme member has failed to repay a deposit M1 which is due and payable, the relevant administrative authority must F1determine whether in its view the compensation scheme member appears unable for the time being, for reasons which are directly related to its financial circumstances, to repay the deposit and the compensation scheme member has no current prospect of being able to do so.

(2)

The determination must be notified in writing to—

(a)

the compensation scheme member; and

(b)

(i)

the scheme manager, or

(ii)

if the scheme manager is the relevant administrative authority, the PRA,

as soon as reasonably practicable and in any event before the end of the period of five working days beginning with the day on which the relevant administrative authority becomes satisfied that the compensation scheme member has failed to repay a deposit which is due and payable.

(3)

For the purposes of this regulation the “relevant administrative authority”—

(a)

is the scheme manager in relation to a compensation scheme member that is a credit union; and

(b)

is the PRA in relation to any other compensation scheme member.

Annotations

Textual amendments

F1: Words in reg. 6(1) substituted (4.12.2018) by The Deposit Guarantee Scheme and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1285), regs. 1(2), 2(3)

Marginal citations

M1: “deposit” is defined in point (3) of Article 2(1) of the deposit guarantee schemes directive.

Notes on the whole SI

Textual amendments

F1: Regulations revoked (14.12.2023 for the revocation of reg. 18) by Financial Services and Markets Act 2023 (c. 29), s. 86(3), Sch. 1 Pt. 2 (with s. 1(4)); S.I. 2023/1382, reg. 2(c)(xii)