(1)The Board may—
(a)borrow from a deposit-taker such sums as it may from time to time require for exercising any of its functions;
(b)give security for any money borrowed by it.
(2)The Board may not borrow if the effect would be—
(a)to take the aggregate amount outstanding in respect of the principal of sums borrowed by it over its borrowing limit, or
(b)to increase the amount by which the aggregate amount so outstanding exceeds that limit.
(3)In this section—
“borrowing limit” means such limit as the Secretary of State may specify by order;
“deposit-taker” means—
a person who has permission under Part 4 of the Financial Services and Markets Act 2000 (c. 8) to accept deposits, or
an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to accept deposits.
(4)The definition of “deposit-taker” in subsection (3) must be read with—
(a)section 22 of the Financial Services and Markets Act 2000,
(b)any relevant order under that section, and
(c)Schedule 2 to that Act.
Commencement Information
I1S. 115(3) in force at 10.2.2005 for specified purposes by S.I. 2005/275, art. 2(1), Sch. Pt. 1