Citation, commencement, extent and interpretation _I1

1. —(1) This Order may be cited as the Amendments of the Law (Resolution of Silicon Valley Bank UK Limited) Order 2023.

(2) This Order comes into force on 13th March 2023 at 8.00 a.m.

(3) This Order extends to the United Kingdom.

(4) In this Order—

“ FSMA ” means the Financial Services and Markets Act 2000( 2 );

[^F1 “ group ” has the meaning given by section 421 of FSMA; ^F1]

^F2 ...

“ HSBC UK Bank plc ” means the company [^F3 incorporated on 23rd December 2015 with ^F3] the company registered number 09928412;

“ Silicon Valley Bank UK Limited ” means the company [^F4 incorporated on 3rd April 2020 with ^F4] the company registered number 12546585;

[^F5 “ undertaking ” has the meaning given by section 1161 of the Companies Act 2006. ^F5]

Modification of the Financial Services and Markets Act 2000 (Excluded Activities and Prohibitions) Order 2014_I2

2. —(1)Article 14(4) of the Financial Services and Markets Act 2000 (Excluded Activities and Prohibitions) Order 2014( 3 ) (prohibitions: financial institution exposures) is to have effect with the modification set out in paragraph (2) in relation to exposures incurred by HSBC UK Bank plc where Silicon Valley Bank UK Limited is the relevant financial institution.

(2) Paragraph (b)(i) is to be read as if the words “conducted on arm’s length terms” were omitted.

Modification of the FCA’s and PRA’s rule-making powers _I3

3. —(1) Sections 137A(1), 137G(1) and 192XA(1) of FSMA( 4 ) (the FCA’s general rules, the PRA’s general rules and PRA rules applying to holding companies) have effect as if modified by inserting at the end of [^F6 each provision ^F6] —

“ or for the purposes of, to facilitate, or in consequence of, the Silicon Valley Bank UK Limited Mandatory Reduction and Share Transfer Instrument 2023. ” .

(2) Section 138A of FSMA( 5 ) (modification or waiver of rules) is modified so it [^F7 also ^F7] applies in relation to [^F8HSBC UK Bank plc and any undertaking in its group^F8] —

(a) in the absence of an application by [^F9HSBC UK Bank plc or the relevant undertaking in its group^F9] ;

(b) without any requirement for consent by [^F10HSBC UK Bank plc or the relevant undertaking in its group^F10] ;

(c) without the requirement that the regulator be satisfied about the matters referred to in subsection (4); and

(d) subject instead to the condition that it appears to the regulator that modification or waiver (as the case may be) is necessary for the purposes of, to facilitate, or in consequence of, the Silicon Valley Bank UK Limited Mandatory Reduction and Share Transfer Instrument 2023.

Modification of the FCA’s and PRA’s duties to consult on rule changes _I4

4. —(1) Sections 138I(1)(b) and (2) to (5), 138J(1)(b) and (2) to (5), 138K, 144D and 144E(6) of FSMA( 6 ) (consultation by the FCA and PRA) do not apply in relation to rules made by the FCA or the PRA (as the case may be) if the rules are for the purposes of, to facilitate, or in consequence of, the Silicon Valley Bank UK Limited Mandatory Reduction and Share Transfer Instrument 2023.

(2) Section 139A(5) of FSMA( 7 ) (power of the FCA to give guidance) has effect as if modified by inserting after “(consultation)”—

“ as modified by article 4(1) of the Amendments of the Law (Resolution of Silicon Valley Bank UK Limited) Order 2023 ” .