Prudential Regulation Authority Rulebook

1.1

Unless otherwise stated, this Part applies to every firm that is:

1. (1) a CRR firm;
2. (2) a credit union; or
3. (3) a third country CRR firm in relation to the activities of its establishment in the UK.

1.2

In this Part, the following definitions shall apply:

certification rules

means the rules set out in Certification of Employees.

Chairman function

has the meaning given in Senior Management Functions 4.2.

Chief Risk function

has the meaning given in Senior Management Functions 3.4.

compliance oversight function

means an FCA controlled function specified in SUP 10C.6.1R of the FCA Handbook.

Credit Union Senior Manager function

has the meaning given in Senior Management Functions 6.2.

FCA approved person

means a person approved to perform an FCA controlled function by the FCA under section 59 of FSMA.

FCA Chairman of nomination committee function

means an FCA controlled function specified in SUP 10C.5.2R of the FCA Handbook.

FCA designated senior management function

means an FCA controlled function specified in SUP 10C.4.3R of the FCA Handbook.

FCA other local responsibility senior management function

means the controlled function specified in SUP 10C.8.1R of the FCA Handbook.

FCA other overall responsibility senior management function

means the FCA controlled function specified in SUP10C.7.1R of the FCA Handbook.

FCA responsibilities

means any of:

1. (1) the functions set out in SYSC 4.7.7R (Table of senior management responsibilities) of the FCA Handbook;
2. (2) the responsibilities allocated under SYSC 4.7.8R of the FCA Handbook;
3. (3) the functions set out in SYSC 4.8.9R (Table: the FCA prescribed senior management responsibilities for third country relevant authorised persons) of the FCA Handbook); and
4. (4) the responsibilities allocated under SYSC 4.8.10R of the FCA Handbook.

Group Entity Senior Manager function

has the meaning given in Senior Management Functions 5.2.

management responsibilities map

has the meaning given in 6.

oversight PRA senior management function

means a PRA senior management function set out in Senior Management Functions 4.

prescribed responsibility

means one of the responsibilities in 4.1 and 4.2.

proprietary trading

means

1. (a) the regulated activity of dealing in investments as principal as specified in Article 14 of the Regulated Activities Order (Dealing in investments as principal), disregarding the exclusion in Article 15 of the Regulated Activities Order (Absence of holding out etc.); and
2. (b) ancillary activities and (in relation to MiFID business) ancillary services carried out in relation to the regulated activity.

recovery plan

has the meaning given in Recovery Plans 1.2.

resolution pack

has the meaning given in Resolution Pack 1.2.

ring-fencing obligation

means any obligation, prohibition or other requirement imposed on a ring-fenced body by or under FSMA, by virtue of it being a ring-fenced body, including any statutory instrument made under FSMA and any ring-fencing rule, but not including any rule made by the FCA.

ring-fenced body prescribed responsibility

means the responsibility in 4.2(4).

senior management regime

means the requirements of the regulatory system which apply to relevant authorised persons insofar as they relate to approved persons performing PRA senior management functions and FCA designated senior management functions, including those set out in Senior Management Functions and Allocation of Responsibilities.

small CRR firm

means a CRR firm which has gross total assets of £250 million or less, determined on the basis of the annual average amount calculated across a rolling period of five years (calculated by reference to the firm’s annual accounting date). Where the firm has been in existence for less than five years, the calculation will be made on the basis of the annual average amount for the period during which the firm has been in existence (calculated by reference to the firm’s annual accounting date).

small firm prescribed responsibility

has the meaning given in 5.2.

statement of responsibilities

means a statement of the affairs of a relevant authorised person or a third country CRR firm for which it is intended that a person who performs (or is subject to an application to perform) a PRA senior management function is (or will be) responsible.

UK branch prescribed responsibility

means one of the responsibilities in 6.2.

1.3

This Part does not apply to a function performed by:

1. (1) a person acting as an insolvency practitioner within the meaning of section 388 of the Insolvency Act 1986; or
2. (2) a person acting as a nominee in relation to a voluntary arrangement under Parts I (Company Voluntary Arrangements) and VIII (Individual Voluntary Arrangements) of the Insolvency Act 1986; or
3. (3) a person acting as an insolvency practitioner within the meaning of Article 3 of the Insolvency (Northern Ireland) Order 1989; or
4. (4) a person acting as a nominee in relation to a voluntary arrangement under Parts II (Company Voluntary Arrangements) and VIII (Individual Voluntary arrangements) of the Insolvency (Northern Ireland) Order 1989.