Explanatory note

These Regulations provide for the transfer of an authorisation to issue banknotes in Northern Ireland from Ulster Bank Limited to National Westminster Bank.

Ulster Bank Limited is currently authorised (in addition to other banks) under section 213 of the Banking Act 2009 to issue banknotes in Northern Ireland. Planned restructuring of National Westminster Bank and its subsidiaries means that it will be appropriate to transfer the authorisation to issue banknotes to National Westminster Bank from Ulster Bank Limited (another company within the same group).

These Regulations provide for the Treasury to determine the date that the authorisation will transfer and set out how the Treasury must publish notice of that date.

These Regulations provide for the transfer of all rights and liabilities in relation to banknotes issued by Ulster Bank Limited prior to the date of transfer of authorisation which remain in circulation to pass to National Westminster Bank. From the date of transfer all such banknotes will be deemed to have been issued by National Westminster Bank.

These Regulations provide for any banknotes of Ulster Bank Limited that are not in circulation to be deemed to record an engagement by National Westminster Bank to pay money to the bearer on demand. This permits National Westminster Bank to issue or reissue those banknotes following the transfer. The rights and liabilities in relation to the banknotes also transfer to National Westminster Bank.

An impact assessment has not been produced for this instrument as no impact on the private or voluntary sectors is foreseen and the impact on the public sector is minimal.