The Banking Act 2009 (Bank Administration) (Modification for Application to Multiple Transfers) Regulations 2009

Made: 19th February 2009

Laid before Parliament: 20th February 2009

Coming into force: 21st February 2009

Accordingly, the Treasury make the following Regulations:

Citation, commencement and interpretation

1

• (1) These Regulations may be cited as the Banking Act 2009 (Bank Administration) (Modification for Application to Multiple Transfers) Regulations 2009 and come into force on 21st February 2009.

• (2) In these Regulations—

• “the Act” means the Banking Act 2009;

• “a bank in temporary public ownership” is a reference to a bank wholly owned by the Treasury or a nominee of the Treasury;

• “onward public sector transferee” means a transferee under a property transfer order by virtue of section 45(2) of the Act who is a company wholly owned by— the Bank of England, the Treasury, or a nominee of the Treasury;

• “private sector transferee” means a transferee under a property transfer order by virtue of section 45(2) of the Act who is not an onward public sector transferee;

• “property transfer instrument” has the meaning given by section 149(2) of the Act[^f00002].

Modification of Part 3 where more than one property transfer instrument is made (other than in respect of a bank in temporary public ownership)

2

The modifications of Part 3 of the Act listed in the Table to the Schedule apply where—

• (a) the Bank of England makes more than one property transfer instrument in respect of a bank, and

• (b) Part 3 applies to the bank by virtue of section 149 of the Act.

Modification of Part 3 where more than one property transfer instrument is made in respect of a bank in temporary public ownership

3

• (1) The modifications of Part 3 of the Act listed in the Table to the Schedule apply with the general modifications specified in paragraph (2) where—

• (a) the Treasury make a share transfer order, in respect of the securities issued by a bank (or a bank’s holding company), in accordance with section 13(2) of the Act,

• (b) the Treasury make more than one property transfer instrument in respect of the bank under section 45(2) of the Act[^f00003], and

• (c) Part 3 applies to the bank by virtue of section 149 and 152 of the Act[^f00004].

• (2) The general modifications to the Table to the Schedule are—

• (a) a reference to “the Bank of England” is a reference to “the Treasury”;

• (b) a reference to a “private sector purchaser” is a reference to a “private sector transferee”;

• (c) a reference to a “bridge bank” is a reference to an “onward public sector transferee”.

SCHEDULE 1 — MODIFICATIONS

Signed

Dave Watts — Steve McCabe — Two of the Lords Commissioners of Her Majesty’s Treasury — 19th February 2009

Explanatory note

(This note is not part of the Regulations)

EXPLANATORY NOTE

These Regulations modify the provisions in Part 3 of the Banking Act 2009 (c. 1) (“the Act”), which sets out the bank administration procedure.

Regulation 2 specifies that the Schedule to these Regulations sets out modifications to Part 3 of the Act as applied by section 149(1) of the Act (general application of this Part) where more than one property transfer instrument is made by the Bank of England.

Regulation 3 specifies that the modifications listed in the Schedule apply, with the general modifications set out in that Regulation, where Part 3 is applied by section 149 and 152 of the Act (property transfer from temporary public ownership).

Section 152(3) confers a power on the Treasury to make regulations applying Part 3 where the Treasury make a share transfer order in respect of the securities issued by a bank (or a bank’s holding company), in accordance with section 13(2) (temporary public ownership) and later make a property transfer order in respect of the bank (or from another bank which is in the same group as the bank) under section 45(2) of the Act (property transfer from temporary public ownership). The Treasury has made regulations in exercise of that power and the regulations are entitled the Banking Act 2009 (Bank Administration) (Modification for Application to Banks in Temporary Public Ownership) Regulations 2009 (S.I. 2009/312).

Regulation 3, therefore, applies Part 3 of the Act where the Treasury make more than one property transfer instrument. In these Regulations, in accordance with section 149(2), a reference to a “property transfer instrument” made by the Treasury includes a property transfer order under section 45(2) and a supplemental property transfer order under section 42 (supplemental instrument) as applied by section 45(7).

Footnotes

[^f00001]: 2009 c.1.

[^f00002]: Section 149(2) defines “property transfer instrument” for the purposes of regulations made under section 149(3). For those purposes a reference to a property transfer instrument includes a reference to supplemental instruments under section 42 of the Act (supplemental instruments), onward property transfer instruments under section 43 of the Act (onward transfer), and property transfer orders under section 45 of the Act (temporary public ownership: property transfer).

[^f00003]: In accordance with section 149(2), a reference to a “property transfer instrument” made by the Treasury is a reference to a property transfer order under section 45(2) or a supplemental property transfer order under section 42 (supplemental instrument) as applied by section 45(7) of the Act.

[^f00004]: Section 152(3) confers a power on the Treasury to make regulations applying Part 3 where the Treasury make a share transfer order in respect of the securities issued by a bank (or a bank’s holding company), in accordance with section 13(2) (temporary public ownership) and later make a property transfer order in respect of the bank (or from another bank which is in the same group as the bank) under section 45(2) of the Act (property transfer from temporary public ownership). The Treasury has made regulations in exercise of that power and the regulations are entitled the Banking Act 2009 (Bank Administration) (Modification for Application to Banks in Temporary Public Ownership) Regulations 2009 (S.I. 2009/312).