PART 2Amendment of primary legislation

CHAPTER 1Part 16 of the Companies Act 2006

I16

In section 494A (interpretation) M1—

a

for the definition of “audit committee” substitute—

“audit committee” means a body which performs—

a

the functions referred to in—

i

rule 7.1.3 of the Disclosure Guidance and Transparency Rules sourcebook made by the Financial Conduct Authority M2 (audit committees and their functions) under the Financial Services and Markets Act 2000 M3, or

ii

rule 2.4 of the Audit Committee Part of the Rulebook made by the Prudential Regulation Authority M4 (audit committee) under that Act,

as they have effect on F1IP completion day, or

b

equivalent functions.

b

omit the definition of “Audit Directive”;

c

in the definition of “public interest entity”M5—

i

in paragraph (a), for “regulated market” substitute “ UK regulated market ”;

ii

in paragraph (b), for “other than one listed in Article 2 of Directive 2013/36/EU of the European Parliament and of the Council on access to the activity of credit institutions and investment firms” substitute “ which is a CRR firm within the meaning of Article 4(1)(2A) of that Regulation ”;

iii

for paragraph (c), substitute—

c

a person who would be an insurance undertaking as defined in Article 2(1) of Council Directive 91/674/EEC of 19 December 1991 of the European Parliament and of the Council on the annual accounts and consolidated accounts of insurance undertakings M6 as that Article had effect immediately before F2IP completion day, were the United Kingdom a member State;

d

omit the definitions of “regulated market” and “transferable securities”M7.