The Bank Recovery and Resolution (No. 2) Order 2014

Records of financial contracts U.K.

58.—(1) The Bank may give directions to a relevant person in relation to maintaining detailed records of financial contracts M1 to which the relevant person is a party.

(2) A “relevant person” is—

(a) an institution authorised by the PRA or FCA; or

(b) an undertaking set up in the United Kingdom which is a subsidiary of an institution authorised by the PRA or FCA F1 ...; or

(c) the [F2 UK] parent undertaking.

[F3 (2A) “Financial contracts” means—

(a) securities contracts, including—

(i) contracts for the purchase, sale or loan of a security, a group or index of securities;

(ii) options on a security or group or index of securities;

(iii) repurchase or reverse repurchase transactions on any such security, group or index;

(b) commodities contracts, including—

(i) contracts for the purchase, sale or loan of a commodity or group or index of commodities for future delivery;

(ii) options on a commodity or group or index of commodities;

(iii) repurchase or reverse repurchase transactions on any such commodity, group or index;

(c) futures and forwards contracts, including contracts (other than a commodities contract) for the purchase, sale or transfer of a commodity or property of any other description, service, right or interest for a specified price at a future date;

(d) swap agreements, including—

(i) swaps and options relating to interest rates, spot or other foreign exchange agreements, currency, an equity index or equity, a debt index or debt, commodity indexes or commodities, weather, emissions or inflation;

(ii) total return, credit spread or credit swaps;

(iii) any agreements or transactions that are similar to an agreement referred to in paragraph (i) or (ii) which is the subject of recurrent dealing in the swaps or derivatives markets;

(e) inter-bank borrowing agreements where the term of the borrowing is three months or less;

(f) master agreements for any of the contracts or agreements referred to in sub-paragraphs (a) to (e).]

(3) A direction given by the Bank may—

(a) require records of financial contracts to be maintained;

(b) specify the details or kinds of detail which are to be recorded;

(c) require records of financial contracts to be produced at the request of the Bank;

(d) specify a period of time within which a relevant person is to be capable of producing records (“a time-limit”);

(e) specify different time-limits for different kinds of financial contract.

[F4 (4) The Bank must exercise its functions under this article in accordance with any technical standards under paragraph (5).

(5) The Bank may make technical standards relating to—

(a) the circumstances in which it will give a direction under this paragraph; and

(b) the information that must be contained in the records required by such a direction.]

(4) Directions may be given with general effect or with respect to a particular relevant person or class of relevant persons, but may not specify different time-limits for different relevant persons or classes of relevant person.

Textual Amendments

F1 Words in art. 58(2)(b) omitted (31.12.2020) by virtue of The Bank Recovery and Resolution and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1394), reg. 1(2), Sch. 3 para. 33(2)(a); 2020 c. 1, Sch. 5 para. 1(1)

F2 Word in art. 58(2)(c) substituted (31.12.2020) by The Bank Recovery and Resolution and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1394), reg. 1(2), Sch. 3 para. 33(2)(b); 2020 c. 1, Sch. 5 para. 1(1)

F3 Art. 58(2A) inserted (31.12.2020) by The Bank Recovery and Resolution and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1394), reg. 1(2), Sch. 3 para. 33(3); 2020 c. 1, Sch. 5 para. 1(1)

F4 Art. 58(4)(5) inserted (31.12.2020) by The Bank Recovery and Resolution and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1394), reg. 1(2), Sch. 3 para. 33(4); 2020 c. 1, Sch. 5 para. 1(1)

Marginal Citations

M1 For the meaning of “financial contracts” see the recovery and resolution directive, Article 2.1, point (100).