{
  "url": "https://openlegislation.uk/uncertificated-securities-regulations-1995/schedule-2/paragraph-1",
  "json_url": "https://openlegislation.uk/uncertificated-securities-regulations-1995/schedule-2/paragraph-1.json",
  "legislation": "uksi/1995/3272",
  "legislation_title": "The Uncertificated Securities Regulations 1995",
  "legislation_url": "https://openlegislation.uk/uncertificated-securities-regulations-1995",
  "path": "schedule/2/paragraph/1",
  "kind": "paragraph",
  "number": "1",
  "heading": null,
  "text": "(1) The Treasury shall not approve a person as Operator of a relevant system unless they are satisfied that the rules and any guidance of which copies are furnished with the application for approval—\n(a) do not have, and are not intended or likely to have, to any significant extent the effect of restricting, distorting or preventing competition; or\n(b) if they have or are intended to have that effect to any significant extent, that the effect is not greater than is necessary for the protection of investors, or for compliance with Council Directive 89/646/EEC.\n(2) The powers conferred by subparagraph (3) shall be exercisable by the Treasury if at any time it appears to them that—\n(a) any rules made or guidance issued by an Operator;\n(b) any practices of an Operator; or\n(c) any practices of a system-user,\nhave, or are intended or likely to have, to a significant extent the effect of restricting, distorting or preventing competition and that the effect is greater than is necessary for the protection of investors or for compliance with Council Directive 89/646/EEC.\n(3) The powers exercisable under this paragraph are—\n(a) to withdraw approval from the Operator;\n(b) to direct the Operator to take specified steps for the purpose of securing that the rules, guidance or practices in question do not have the effect mentioned in subparagraph (2); or\n(c) to make alterations in the rules of the Operator for that purpose.\n(4) Subsections (2) to (5), (7) and (9) of section 11 of the 1986 Act shall apply in relation to the withdrawal of approval under subparagraph (3) as they apply in relation to the revocation of an order under subsection (1) of that section; and in those subsections as they so apply—\n(a) any reference to a recognised organisation shall be taken to be a reference to the Operator; and\n(b) any reference to members of a recognised organisation shah be taken to be a reference to system-users.\n(5) The practices referred to in subparagraph (2)(b) are practices of the Operator in his capacity as such.\n(6) The practices referred to in subparagraph 2(c) are practices in relation to business in respect of which system-users are subject to the rules of the Operator and which are required or contemplated by his rules or guidance or otherwise attributable to his conduct in his capacity as Operator.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "footnote",
      "label": "f1",
      "text": "The Second Council Directive on the coordination of laws, regulations and administrative provisions relating to the taking up and pursuit of the business of credit institutions, and amending the First Council Directive (0.J No. L386, 30.12.89, p.1)."
    }
  ],
  "outstanding_effects": [
    {
      "type": "added",
      "affecting": "uksi/2000/1682",
      "affecting_title": "The Uncertificated Securities (Amendment) Regulations 2000"
    },
    {
      "type": "revoked",
      "affecting": "uksi/2000/311",
      "affecting_title": "The Competition Act 1998 (Transitional, Consequential and Supplemental Provisions) Order 2000"
    },
    {
      "type": "revoked",
      "affecting": "uksi/2000/311",
      "affecting_title": "The Competition Act 1998 (Transitional, Consequential and Supplemental Provisions) Order 2000"
    },
    {
      "type": "words substituted",
      "affecting": "uksi/2000/2952",
      "affecting_title": "The Banking Consolidation Directive (Consequential Amendments) Regulations 2000"
    },
    {
      "type": "words substituted",
      "affecting": "uksi/2000/2952",
      "affecting_title": "The Banking Consolidation Directive (Consequential Amendments) Regulations 2000"
    },
    {
      "type": "revoked",
      "affecting": "uksi/2000/311",
      "affecting_title": "The Competition Act 1998 (Transitional, Consequential and Supplemental Provisions) Order 2000"
    },
    {
      "type": "words substituted",
      "affecting": "uksi/1999/506",
      "affecting_title": "The Competition Act 1998 (Competition Commission) Transitional, Consequential and Supplemental Provisions Order 1999"
    },
    {
      "type": "amended",
      "affecting": "uksi/1999/506",
      "affecting_title": "The Competition Act 1998 (Competition Commission) Transitional, Consequential and Supplemental Provisions Order 1999"
    }
  ],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/1995/3272/schedule/2/paragraph/1",
    "retrieved_at": "2026-10-29T12:55:24.582046+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."
}