Financial Services and Markets Act 2023

Onward transfer U.K.

50 (1) This paragraph applies where the Bank has made a share transfer instrument, in respect of securities issued by a CCP, in accordance with paragraph 27(2), 29(3) or 30(2) (“the original instrument”).

(2) The Bank may make one or more onward share transfer instruments.

(3) An onward share transfer instrument is a share transfer instrument which—

(a) provides for the transfer of—

(i) securities which were issued by the CCP before the original instrument and have been transferred by the original instrument or a supplemental share transfer instrument, or

(ii) securities which were issued by the CCP after the original instrument;

(b) makes other provision for the purposes of, or in connection with, the transfer of securities issued by the CCP (whether the transfer has been or is to be effected by that instrument, by another share transfer instrument or otherwise).

(4) An onward share transfer instrument may not transfer securities to the transferor under the original instrument.

(5) The Bank may not make an onward share transfer instrument unless the transferee under the original instrument is—

(a) the Bank,

(b) a nominee of the Treasury, or

(c) a company wholly owned by the Bank or the Treasury.

(6) Paragraphs 17 and 19 do not apply to an onward share transfer instrument (but it is to be treated in the same way as any other share transfer instrument for all other purposes, including for the purposes of the application of a power under this Schedule).

(7) Before making an onward share transfer instrument the Bank must consult—

(a) if the CCP is a PRA-authorised person, the PRA, and

(b) the FCA.

(8) Paragraph 48 applies where the Bank has made an onward share transfer instrument.

Commencement Information

I1 Sch. 11 para. 50 not in force at Royal Assent, see s. 86(3)

I2 Sch. 11 para. 50 in force at 31.12.2023 by S.I. 2023/1382, reg. 8(b)