s 290A Refusal of recognition on ground of excessive regulatory provision
(1) The appropriate regulator must not make a recognition order if it appears to it that an existing or proposed regulatory provision of the applicant in connection with— (a) the applicant's business as an investment exchange, ... (b) the provision by the applicant of clearing services, or (c) the provision by the applicant of services falling within section 285(2)(b) or (3)(b), imposes or will impose an excessive requirement on the persons affected (directly or indirectly) by it. (2) The reference in section 290(1) (making of recognition order) to satisfying the applicable recognition requirements shall be read accordingly. (3) Expressions used in subsection (1) above that are defined for the purposes of section 300A (power of appropriate regulator to disallow excessive regulatory provision) have the same meaning as in that section. (4) The provisions of section 300A(3) and (4) (determination whether regulatory provision excessive) apply for the purposes of this section as for the purposes of section 300A. (5) Section 298 has effect in relation to a decision under this section to refuse a recognition order— (a) as it has effect in relation to a decision to revoke such an order, and (b) as if references to a recognised body were references to the applicant. (6) This section does not apply to an application for recognition as an overseas investment exchange, an overseas clearing house , a recognised central counterparty or a recognised CSD .