The Over the Counter Derivatives, Central Counterparties and Trade Repositories (Amendment, etc., and Transitional Provision) (EU Exit) Regulations 2019

Clearing obligation U.K.

14.—(1) Article 4 is amended as follows.

(2) In paragraph 1—

[F1 (a) in point (a)—

(i) in points (i) and (iii), for “meet the conditions” substitute “are subject to the conditions”;

(ii) in points (ii) and (iv), for “meets the conditions” wherever it appears substitute “is subject to the conditions”;

(iii) in points (iv) and (v), for “Union” wherever it appears substitute “United Kingdom”;]

F2 (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) In paragraph 2, in the second sub-paragraph—

(a) in point (a)—

(i) for “Union” substitute “ United Kingdom ”;

(ii) for “their respective competent authorities” substitute “ the FCA ”;

(iii) for “the competent authorities” both times it appears substitute “ the FCA ”;

(iv) omit from “If there is disagreement between” to the end;

(b) in point (b)—

(i) for “a Member State” substitute “ the United Kingdom ”;

(ii) for “Union” both times it appears substitute “ United Kingdom ”;

(iii) for “its competent authority” substitute “ the FCA ”;

(iv) omit from “The competent authority shall” to the end.

(4) For paragraph 4, substitute—

“4.   The FCA may make technical standards specifying the contracts that are considered to have a direct, substantial and foreseeable effect within the United Kingdom or the cases where it is necessary or appropriate to prevent the evasion of any provision of this Regulation as referred to in paragraph 1(a)(v).

[F3 The Bank of England may make technical standards in relation to CCPs specifying the types of indirect contractual arrangements that meet the conditions referred to in the second sub-paragraph of paragraph 3.

The FCA may make technical standards for cases other than CCPs specifying the types of indirect contractual arrangements that meet—

(a) the conditions referred to in the second sub-paragraph of paragraph 3; and

(b) conditions for reasonable and transparent commercial terms.”].

Textual Amendments

F1 Reg. 14(2)(a) substituted (30.10.2019) by The Over the Counter Derivatives, Central Counterparties and Trade Repositories (Amendment, etc., and Transitional Provision) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/1416), regs. 1(2), 14(a)

F2 Reg. 14(2)(b) omitted (30.10.2019) by virtue of The Over the Counter Derivatives, Central Counterparties and Trade Repositories (Amendment, etc., and Transitional Provision) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/1416), regs. 1(2), 14(b)

F3 Words in reg. 14(4) substituted (31.12.2020 immediately before IP completion day) by The Securities Financing Transactions, Securitisation and Miscellaneous Amendments (EU Exit) Regulations 2020 (S.I. 2020/1385), regs. 1(4), 52(3)

Commencement Information

I1 Reg. 14 in force at 31.12.2020 on IP completion day (in accordance with 2020 c. 1, Sch. 5 para. 1(1)), see reg. 1(1)