The Amendments of the Law (Resolution of Silicon Valley Bank UK Limited) (No. 2) Order 2023

• Citation: S.I. 2023/694
• Sections: 3

Section 1 Citation, commencement, extent and interpretation

(1) This Order may be cited as the Amendments of the Law (Resolution of Silicon Valley Bank UK Limited) (No. 2) Order 2023.

(2) This Order comes into force on the day after the day on which it is made.

(3) This Order extends to the United Kingdom.

(4) In this Order—

“ group ” has the meaning given by section 421 of the Financial Services and Markets Act 2000 ;

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

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

“ subsidiary undertaking ” has the meaning given by section 420 of the Financial Services and Markets Act 2000 ;

“ undertaking ” has the meaning given by section 1161 of the Companies Act 2006 .

Section 2 Modification of the Financial Services and Markets Act 2000 (Ring-fenced Bodies and Core Activities) Order 2014

(1) Article 11 of the Financial Services and Markets Act 2000 (Ring-fenced Bodies and Core Activities) Order 2014( (circumstances in which UK deposit-takers are not ring-fenced bodies) is modified as set out in paragraph (2) in relation to Silicon Valley Bank UK Limited and any of its subsidiary undertakings (where Silicon Valley Bank UK Limited or any of its subsidiary undertakings is the UK deposit-taker).

(2) Paragraph (2) is to be read as though the words from “and” to the end of sub-paragraph (b) were omitted and the following were inserted in its place—

(b) that Silicon Valley Bank UK Limited and any of its subsidiary undertakings comply with the core deposit level condition in article 12, except that, for the purposes of article 12(1)(b)—

(i) Silicon Valley Bank UK Limited is to be treated as if it is a member of a group only in respect of its subsidiary undertakings; and

(ii) any subsidiary undertaking of Silicon Valley Bank UK Limited is to be treated as if it is a member of a group only in respect of Silicon Valley Bank UK Limited and any other subsidiary undertaking of Silicon Valley Bank UK Limited;

(c) that neither HSBC UK Bank plc nor any undertaking in its group transfers any part of its business to Silicon Valley Bank UK Limited or any subsidiary undertaking of Silicon Valley Bank UK Limited, other than permitted business; and

(d) that neither Silicon Valley Bank UK Limited nor any of its subsidiary undertakings undertakes any new business, other than permitted business.

(2A) In this article, “ permitted business ” means—

(a) any business which is closely connected with, directly relates to, or is of a similar nature to, the products and services offered by way of business by Silicon Valley Bank UK Limited as at 13th March 2023; and

(b) any ancillary services, facilities or operations which are provided, administered or otherwise carried out for the purposes of that business.

Section 3 Amendments to the Amendments of the Law (Resolution of Silicon Valley Bank UK Limited) Order 2023

(1) The Amendments of the Law (Resolution of Silicon Valley Bank UK Limited) Order 2023 is amended as follows.

(2) In article 1(4) (interpretation)—

(a) after the definition of “FSMA”, insert—

“ group ” has the meaning given by section 421 of FSMA;

(b) omit the definition of “the 2006 Act”;

(c) in the definition of “HSBC UK Bank plc”, for “with that name which has”, substitute “incorporated on 23rd December 2015 with” ;

(d) in the definition of “Silicon Valley Bank UK Limited”, for “with that name on 13th March 2023, and which has”, substitute “incorporated on 3rd April 2020 with” ;

(e) after the definition of “Silicon Valley Bank UK Limited”, insert—

“ undertaking ” has the meaning given by section 1161 of the Companies Act 2006.

(3) In article 3(1) (modification of the FCA’s and PRA’s rule-making powers), for “both provisions”, substitute “each provision” .

(4) In article 3(2) (modification of the FCA’s and PRA’s rule-making powers)—

(a) in the text before sub-paragraph (a)—

(i) before “applies”, insert “also” ;

(ii) for “Silicon Valley Bank UK Limited”, substitute “HSBC UK Bank plc and any undertaking in its group” ;

(b) in paragraphs (a) and (b), for “Silicon Valley Bank UK Limited” in each place where it occurs, substitute “HSBC UK Bank plc or the relevant undertaking in its group” .