{
  "url": "https://openlegislation.uk/eu-directive-2002-87/annex-I/division-II/division-1",
  "json_url": "https://openlegislation.uk/eu-directive-2002-87/annex-I/division-II/division-1.json",
  "legislation": "eudr/2002/87",
  "legislation_title": "Directive 2002/87/EC of the European Parliament and of the Council of 16 December 2002 on the supplementary supervision of credit institutions, insurance undertakings and investment firms in a financial conglomerate and amending Council Directives 73/239/EEC, 79/267/EEC, 92/49/EEC, 92/96/EEC, 93/6/EEC and 93/22/EEC, and Directives 98/78/EC and 2000/12/EC of the European Parliament and of the Council",
  "legislation_url": "https://openlegislation.uk/eu-directive-2002-87",
  "path": "annex/I/division/II/division/1",
  "kind": "division",
  "number": "Method 1:",
  "heading": "‘Accounting consolidation’ method",
  "text": "The calculation of the supplementary capital adequacy requirements of the regulated entities in a financial conglomerate shall be carried out on the basis of the consolidated accounts.\nThe supplementary capital adequacy requirements shall be calculated as the difference between:\n(i) the own funds of the financial conglomerate calculated on the basis of the consolidated position of the group; the elements eligible are those that qualify in accordance with the relevant sectoral rules;\nand\n(ii) the sum of the solvency requirements for each different financial sector represented in the group; the solvency requirements for each different financial sector are calculated in accordance with the corresponding sectoral rules.\nThe sectoral rules referred to are in particular Directives 2000/12/EC, Title V, Chapter 3, as regards credit institutions, 98/78/EC as regards insurance undertakings, and 93/6/EEC as regards credit institutions and investment firms.\nIn the case of non-regulated financial sector entities which are not included in the aforementioned sectoral solvency requirement calculations, a notional solvency requirement shall be calculated.\nThe difference shall not be negative.",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/eudr/2002/87/annex/I/division/II/division/1",
    "retrieved_at": "2026-11-01T15:22:55.268075+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}