# Financial Services and Markets Act 2023, Paragraph 23: Replacement of Bank’s provisional valuation

Extent: E+W+S+N.I.

(1) Where the Bank has carried out a provisional valuation under paragraph 22 before exercising a stabilisation power, the Bank must arrange for the appointment of an independent valuer in accordance with paragraph 24 to carry out a full valuation in accordance with this paragraph as soon as reasonably practicable.
(2) The purpose of the valuation carried out under sub-paragraph (1) is to—
(a) ensure the full extent of any losses on the assets of the CCP is recognised in the accounting records of the CCP, and
(b) inform a decision by the Bank as to whether—
(i) additional consideration should be paid by a bridge central counterparty for any property, rights or liabilities transferred by a property transfer instrument, or securities transferred by a share transfer instrument, or
(ii) the Bank should exercise the power under paragraph 26 to increase or reinstate any liability which has been reduced, cancelled or deferred by a write-down instrument.
(3) A valuation carried out under sub-paragraph (1) must comply with sub-paragraph (5) of paragraph 22 and be accompanied by the information required in sub-paragraph (7) of that paragraph.

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Source: https://www.legislation.gov.uk/ukpga/2023/29/schedule/11/paragraph/23 (the official version)
Page: https://openlegislation.uk/financial-services-and-markets-act-2023/schedule-11/paragraph-23
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.