SCHEDULES
SCHEDULE 19The bank levy
Part 4Chargeable equity and liabilities
“Excluded” equity and liabilities
31
1
Sovereign repo liabilities are excluded.
2
“Sovereign repo liability” means a liability of a person (“A”) which represents a sum of money or other asset received by A from another person (“B”) under an arrangement where—
a
under the arrangement A sells high quality securities at any time to B,
b
the arrangement makes provision conferring a right or imposing an obligation on A to buy those or similar securities at any subsequent time, and
c
the subsequent buying of those or similar securities would extinguish the liability.
3
Section 556 of CTA 2009 (meaning of securities and similar securities) applies for the purposes of sub-paragraph (2) as it applies for the purposes of Chapter 10 of Part 6 of that Act.
4
Securities are “high quality” if—
a
they are debt securities issued by entities within section BIPRU 12.7.3(1) or (2) of the FSA Handbook which meet the requirements of section BIPRU 12.7.4(1) and (2), or
b
they are issued by a designated multilateral development bank.
“Debt securities” has the same meaning as that term has in section BIPRU 12.7.3 of the FSA Handbook.