PART 4Capital Buffers and Macro-prudential Measures

InterpretationI1I113

In regulation 35—

a

in paragraph (2)—

i

before sub-paragraph (a), insert—

za

for the definition of “appropriate regulator”, substitute—

  • “appropriate regulator” means—

    1. a

      the PRA, in relation to PRA-authorised persons and financial holding companies and mixed financial holding companies approved or designated by the PRA under—

      1. i

        Part 12B of FSMA, or

      2. ii

        regulation 5 of the Financial Holding Companies (Approval etc.) and Capital Requirements (Capital Buffers and Macro-prudential Measures) (Amendment) (EU Exit) Regulations 2020;

    2. b

      the FCA in relation to any other person;

ii

in sub-paragraph (a), in the new definition of “capital conservation buffer”, after paragraph (a), insert—

aa

in relation to a parent financial holding company and a parent mixed financial holding company, a capital conservation buffer the holding company is required to calculate under rules made by the PRA under section 192V of FSMA;

iii

in sub-paragraph (c), in the new definition of “combined buffer requirement”, after paragraph (b), insert—

ba

an O-SII buffer;

iv

in sub-paragraph (e), in the new definition of “institution-specific countercyclical capital buffer”, after paragraph (a), insert—

aa

in relation to a parent financial holding company or a parent mixed financial holding company, a countercyclical capital buffer which the holding company is required to calculate under rules made by the PRA under section 192V of FSMA;

v

after sub-paragraph (e), insert—

ea

before the definition of “systemic risk buffer”, insert—

  • “parent financial holding company” and “parent mixed financial holding company” have the meanings given in section 192O(2) of FSMA;

vi

in sub-paragraph (f), in the new definition of “systemic risk buffer”, for “34A(1)” substitute “34C(1)”;

vii

in sub-paragraph (g), omit ““O-SII buffer””;

b

after paragraph (2), insert—

2A

For the definition of “O-SII buffer” substitute—

  • “O-SII buffer” has the meaning given in regulation 34ZA.