IFPRU 11.7 Notifications
Application
This section applies to:
- (1)
an IFPRU 730k firm that is not subject to supervision on a consolidated basis;
- (2)
a firm that is an RRD group member;
- (3)
a qualifying parent undertaking that is an RRD group member; and
- (4)
a qualifying parent undertaking that is a mixed activity holding company of an IFPRU 730k firm.
Resolution notifications
A firm or qualifying parent undertaking must notify the FCA immediately if its management body considers that any of the following have occurred:
- (1)
the assets of the firm or qualifying parent undertaking have become less than its liabilities; or
- (2)
the firm or qualifying parent undertaking is unable to pay its debts or other liabilities as they fall due; or
- (3)
there are objective reasons to support a determination that (1) or (2) will occur in the near future; or
- (4)
extraordinary public financial support is needed for the firm or qualifying parent undertaking, except if it takes any of forms allowed by section 7(5E) of the Banking Act 2009.
A firm must also notify the FCA immediately if its management body considers that:
- (1)
the firm is failing to satisfy any of the threshold conditions, including due to the firm having incurred, or being likely to incur, losses that will deplete all, or a significant amount of, its own funds; or
- (2)
there are objective elements to support a determination that the firm will fail to satisfy any of the threshold conditions in the near future.
[Note: article 81(1) of RRD]
A firm or qualifying parent undertaking must notify the FCA by sending an e-mail to its usual supervisory contact.