The Deposit Guarantee Scheme Regulations 2015

PART 1 U.K. Introductory Provisions

Citation and commencement U.K.

1.—(1) These Regulations may be cited as the Deposit Guarantee Scheme Regulations 2015.

(2) Subject to paragraph (3), the provisions of these Regulations come into force on 26th March 2015.

(3) Regulations 5 and 7 come into force on 3rd July 2015.

Interpretation U.K.

2.—(1) In these Regulations—

“compensation scheme rules” means rules made under section 213 of FSMA M1 ;

“the compensation scheme” has the meaning given in section 213(2) of FSMA;

“credit union” means—

(a)

a registered society (within the meaning given by section 1 of the Co-operative and Community Benefit Societies Act 2014 M2 ) that is registered as a credit union; or

(b)

a society registered under the Credit Unions (Northern Ireland) Order 1985 M3 or a society registered under the Industrial and Provident Societies Act (Northern Ireland) 1969 M4 as a credit union;

[F1 “deposit” means—

(a)

a deposit within the meaning of point (23A) of Article 2(1) of Regulation (EU) No. 600/2014 of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Regulation (EU) No 648/2012;

(b)

a share in a building society, as defined in section 119 of the Building Societies Act 1986, other than a share of a capital nature that is own funds, as defined in point (118) of Article 4.1 of Regulation No. 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012; or

(c)

a share in a credit union other than—

(i)

a deferred share within the meaning given by section 31A of the Credit Unions Act 1979; or

(ii)

a deferred share issued by a society registered under the Credit Unions (Northern Ireland) Order 1985 or a society registered under the Industrial and Provident Societies Act (Northern Ireland) 1969 as a credit union;]

“deposit guarantee schemes directive” means Directive 2014/49/EU of the European Parliament and of the Council of 16 April 2014 on deposit guarantee schemes (recast), repealing directive 94/19/EC M5 ;

[F2 “eligible deposit” has the meaning given in section 70A(7) of the Banking Act 2009]

“FSMA” means the Financial Services and Markets Act 2000 M6 ;

F3 ...

(2) Except as provided by paragraph (1) or article 3—

(a) any expression used in these Regulations which is defined in Article 2 (definitions) of the deposit guarantee schemes directive has the meaning given by that Article;

(b) any other expression used in these Regulations which is defined in section 417 (definitions) of FSMA has the meaning given by that section.

Textual Amendments

F1 Words in reg. 2(1) substituted (31.12.2020) by The Deposit Guarantee Scheme and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1285), regs. 1(3), 5(2)(a); 2020 c. 1, Sch. 5 para. 1(1)

F2 Words in reg. 2(1) inserted (4.12.2018) by The Deposit Guarantee Scheme and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1285), regs. 1(2), 2(2)(b)

F3 Words in reg. 2(1) omitted (31.12.2020) by virtue of The Deposit Guarantee Scheme and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1285), regs. 1(3), 5(2)(b); 2020 c. 1, Sch. 5 para. 1(1)

Marginal Citations

M1 Section 213 of FSMA was amended by the Financial Services Act 2012 (c. 21), section 38 and Schedule 10. Subsections (10) and (11) of section 213 were substituted for the original subsection (10) by S.I. 2011/1613.

M2 2014 c. 14.

M3 S.I. 1985/1205 (N.I. 12).

M4 1969 c.24 (N.I.).

M5 OJ L173, 12.6.2014, p 149.

M6 2000 c. 8.

Meaning of “compensation scheme member” U.K.

3.—(1) In these Regulations “ compensation scheme member” means an institution that—

F4 (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b) falls into one of the categories of institution specified in paragraph (2).

(2) The categories of institution mentioned in paragraph (1)(b) are—

(a) an institution that—

(i) is incorporated in or formed under the law of any part of the United Kingdom;

(ii) is not an insurer; and

(iii) has permission under Part 4A of FSMA to carry on the regulated activity M7 of accepting deposits;

(b) a building society within the meaning of section 119 of the Building Societies Act 1986 M8 ;

(c) a credit union; or

(d) an institution that—

(i) has its head office outside the United Kingdom;

(ii) is not F5 ... an insurer; and

(iii) has permission under Part 4A of FSMA to carry on the regulated activity of accepting deposits.

(3) For the purposes of this regulation—

F6 (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b) “insurer” means an institution which is authorised under Part 4A of FSMA to carry on the regulated activity of effecting or carrying out contracts of insurance as principal.

Textual Amendments

F4 Reg. 3(1)(a) omitted (31.12.2020) by virtue of The Deposit Guarantee Scheme and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1285), regs. 1(3), 5(3)(a); 2020 c. 1, Sch. 5 para. 1(1)

F5 Words in reg. 3(2)(d)(ii) omitted (31.12.2020) by virtue of The Deposit Guarantee Scheme and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1285), regs. 1(3), 5(3)(b); 2020 c. 1, Sch. 5 para. 1(1)

F6 Reg. 3(3)(a) omitted (31.12.2020) by virtue of The Deposit Guarantee Scheme and Miscellaneous Provisions (Amendment) (EU Exit) Regulations 2018 (S.I. 2018/1285), regs. 1(3), 5(3)(c); 2020 c. 1, Sch. 5 para. 1(1)

Marginal Citations

M7 “regulated activity” is defined in section 417 of FSMA.

M8 1986 c. 53.