Financial Services Bill
MARSHALLED
LIST OF AMENDMENTS
TO BE MOVED
IN COMMITTEE
The amendments have been marshalled in accordance with the Instruction of 4th March 2010, as follows—
Clauses 1 to 6
Schedule 1
Clauses 7 to 36 | Schedule 2
Clauses 37 to 39 |
[Amendments marked * are new or have been altered]
Amendment
No.
| 1 | Page 1, line 12, at end insert ", and |
| ( ) | where appropriate, direct the relevant authorities to act in accordance with the powers available to them under the relevant legislation" |
| 2 | Page 1, line 12, at end insert— |
| "( ) | Within 6 months of this section coming into force, the Council must prepare the report referred to in section (Report on structure of UK financial system) and the Treasury must lay it before Parliament." |
| 3 | Page 2, line 1, leave out "may" and insert "must" |
| 4 | Page 2, line 1, leave out "may" and insert "shall" |
| 5 | Page 2, line 8, after "Council," insert— |
| "( ) | specify the responsibilities of each relevant authority in protecting or enhancing the stability of the UK financial system," |
| 6 | Page 2, line 8, after "Council," insert— |
| "( ) | specify the powers each relevant authority is able to exercise in protecting or enhancing the stability of the system," |
| 7 | Page 2, line 10, at end insert— |
| "( ) | The FSA must issue a statement of policy about— |
| ( ) | its understanding of the objective, and |
| ( ) | in what circumstances and how it intends to use its powers to achieve the objective. |
| ( ) | Before issuing the statement of policy, the FSA must consult— |
| ( ) | the Bank of England, and |
| ( ) | such other persons as it considers will or may be affected by the statement." |
| 8 | Page 2, line 11, at end insert "and if the statement has not been revised for a period of two years or longer, the Treasury shall consult on whether or not it should be revised" |
| 9 | Page 2, line 14, at end insert ", and |
| ( ) | such other persons who the Treasury consider to have an interest in the statement" |
| 10 | Page 2, line 14, at end insert— |
| "( ) | The Treasury shall ensure that any responses to its consultation under subsection (8) are published." |
| | The above-named Lords give notice of their intention to oppose the Question that Clause 1 stand part of the Bill. |
| 11 | Insert the following new Clause— |
| | "Report on structure of UK financial system |
| | The report referred to in section 1 shall— |
| (a) | analyse the current structure of the UK financial system with particular reference to the risks that the system carries for the United Kingdom, |
| (b) | identify whether any changes would be desirable and, if so, what the practical implications of those changes would be, |
| (c) | identify whether there are any issues arising from the financial systems operating in different countries and territories, including any proposals for changes to those systems." |
| 12 | Page 2, line 19, at end insert— |
| "( ) | The Council must publish its meeting dates at least 12 months in advance." |
| 13 | Page 2, line 22, at end insert "and publish its response to those risks, whether in its minutes or otherwise" |
| 14 | Page 2, line 25, at end insert "within 14 days of the date of the meeting" |
| 15 | Page 2, line 25, at end insert— |
| "( ) | The minutes shall record the views of each of the members of the Council and the extent to which they are in agreement." |
| 16 | Page 2, line 28, at end insert "or market sensitive" |
| 17 | Page 2, line 33, at end insert— |
| | "for as long as the conditions in these paragraphs are met" |
| 18 | Page 2, line 33, at end insert— |
| "( ) | The Council must publish its understanding of commercial confidentiality for the purposes of subsection (5)(a)." |
| 19 | Page 2, line 34, at end insert "and must publish minutes of these meetings" |
| 20 | Page 2, line 39, at end insert— |
| "( ) | Where the Council is unable to reach agreement on the exercise of its functions, the Chancellor of the Exchequer shall determine how it should exercise its functions." |
| | The above-named Lords give notice of their intention to oppose the Question that Clause 2 stand part of the Bill. |
| 21 | Insert the following new Clause— |
| | "Decisions of the Council |
| (1) | The Council shall notify the relevant authorities of any decisions which require the relevant authorities to act or refrain from acting. |
| (2) | The relevant authorities shall act or refrain from acting in accordance with decisions notified to them under subsection (1) provided that to do so is in accordance with the powers available to them under the relevant legislation." |
| 22 | Page 2, line 41, leave out "Treasury" and insert "Council" |
| 23 | Page 3, line 3, leave out "Treasury" and insert "Council" |
| 24 | Page 3, line 9, at end insert "or market sensitive" |
| 25 | Page 3, line 14, at end insert— |
| "( ) | Where a matter has been omitted from either the annual report or the minutes published under section 2(4) and the action involves financial assistance as defined in section 257 of the Banking Act 2009, a report should be laid before Parliament when the conditions under subsection (3) no longer apply." |
| | The above-named Lords give notice of their intention to oppose the Question that Clause 3 stand part of the Bill. |
| 26 | Page 3, line 29, after "England" insert— |
| | ""the relevant legislation" means, for the Financial Services Authority, the Financial Services and Markets Act 2000, and for the Bank of England, the Banking Act 2009," |
| | The above-named Lords give notice of their intention to oppose the Question that Clause 4 stand part of the Bill. |
| 27 | Insert the following new Clause— |
| | "Identification of additional powers needed to fulfil responsibilities for financial stability |
| (1) | The Treasury must prepare a report setting out the powers that are needed by the Treasury, the Financial Services Authority and the Bank of England to fulfil their responsibilities for financial stability. |
| (2) | If the existing powers of the Treasury, the Financial Services Authority or the Bank of England are not sufficient to allow them to fulfil their responsibilities, the report shall identify the extent to which they are not sufficient and make recommendations for remedying them. |
| (3) | The report must be laid before Parliament within one year of the commencement of this Act." |
| 28 | Insert the following new Clause— |
| | "Disclosure of financial assistance to the Bank of England |
| (1) | Where the Treasury provides financial assistance to the Bank of England in order to facilitate actions by the Bank of England in pursuit of its financial stability objective under section 2A of the Bank of England Act 1998, the Treasury shall lay a report setting out details of the financial assistance before Parliament. |
| (2) | A report under subsection (1) shall be laid as soon as possible after the provision of the financial assistance but may be delayed for as long as the Treasury considers that there would be a threat to the stability of the UK financial system if such a report were laid. |
| (3) | Where the laying of a report is delayed, the Chancellor of the Exchequer shall ensure that information is given on a confidential basis to those Members of Parliament whom he considers should be informed. |
| (4) | "Financial assistance" includes giving guarantees or indemnities and any other kind of financial assistance (actual or contingent)." |
| 29 | Insert the following new Clause— |
| | "Bank of England's financial stability objective |
| | After subsection (1) of section 2A of the Bank of England Act 1998, insert— |
| "(1A) | In considering that objective, the Bank must have regard to— |
| (a) | the economic and fiscal consequences for the United Kingdom of instability of the UK financial system; |
| (b) | the effects (if any) on the growth of the economy of the United Kingdom of anything done for the purpose of meeting that objective; and |
| (c) | the impact (if any) on the stability of the UK financial system of events or circumstances outside the United Kingdom (as well as in the United Kingdom)."" |
| 30 | Insert the following new Clause— |
| | "Banking Liaison Panel minutes |
| | In section 10 of the Banking Act 2009, after subsection (4) insert— |
| "(5) | The Treasury must publish minutes of the meetings of the Banking Liaison Panel. |
| (6) | Subsection (5) does not apply to minutes or any proceedings relating to matters which are commercially confidential."" |
| 31 | Insert the following new Clause— |
| | "Financial Stability Committee minutes |
| | In section 2C of the Bank of England Act 1998, after subsection (3) insert— |
| "(4) | The Bank must publish minutes of the meetings of the Financial Stability Committee. |
| (5) | Subsection (4) does not apply to— |
| (a) | minutes of any proceedings relating to matters which are commercially confidential, |
| (b) | minutes of any proceedings relating to any action to be taken by the Bank, the Treasury or the Financial Services Authority the purpose of which may be impeded or frustrated by publication, or |
| (c) | anything which, if published, might pose a threat to the stability of the financial systems of the United Kingdom."" |
| 32 | Insert the following new Clause— |
| | "Conformity with Banking Act 2009 |
| | For the avoidance of doubt, "the UK financial system" as used in this Act has the same meaning as "the financial systems of the United Kingdom" as used in the Banking Act 2009." |
| 33 | Page 4, line 8, at end insert— |
| "( ) | proceedings of the Council for Financial Stability as set out in section 2 of the Financial Services Act 2010" |
| 34 | Page 4, line 9, after "Treasury" insert "and the Bank of England" |
| 35 | Page 4, line 10, at end insert— |
| "( ) | In pursuing that objective, the Authority shall aim to work with other relevant bodies (incuding the Treasury and the Bank of England)." |
| | The above-named Lords give notice of their intention to oppose the Question that Clause 5 stand part of the Bill. |
| 36 | Insert the following new Clause— |
| (1) | The Financial Services and Markets Act 2000 is amended as follows. |
| (2) | In section 2(2) (the FSA's regulatory objective), after paragraph (d) insert— |
| (3) | In section 2(3) omit paragraphs (f) and (g). |
| (4) | After section 6, insert— |
| (1) | The competition objective is: regulating in a way which facilitates competition in financial services and markets in the United Kingdom between those who are subject to any form of regulation by the Authority, or those in any category of authorised participants, and in a way which minimises the adverse effect on competition that may arise from anything done in the discharge of the Authority's general functions. |
| (2) | This competition objective is without prejudice to the statutory powers of the Office of Fair Trading and the Competition Commission."" |
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