Prudential Regulation Authority Rulebook

49.1

This Chapter does not apply to the FSCS.

49.2

In this Chapter, the following definition shall apply:

marking effectiveness report

means a report from a firm’s governing body confirming that the firm satisfies the marking requirements and containing the information required by 49.7; and

marking requirements

means the requirements in 11.1 and 11.2.

49.3

A firm must provide the PRA with a marking effectiveness report within three months of receiving a Part 4A permission to accept deposits.

49.4

A firm must notify the PRA and FSCS of a material change in the firm’s systems to satisfy the marking requirements within 3 months of the change.

49.5

The notification in 49.4 must be accompanied by a statement signed on behalf of the firm’s governing body confirming that the firm’s systems satisfy the marking requirements.

49.6

A firm must provide a marking effectiveness report to the PRA or FSCS promptly upon request by the PRA or FSCS.

49.7

A firm’s marking effectiveness report must contain:

1. (1) a description of:
1. (a) the firm’s systems or to satisfy the marking requirements and how they have been implemented (the firm’s systems include any manual systems used by the firm and any code or keys used internally by the firm to mark eligible deposits and accounts which are held on behalf of beneficiaries and which contain or may contain eligible deposits);
2. (b) the testing undertaken with respect to the robustness of the firm’s systems;
3. (c) the number of marked accounts that contain eligible deposits;
4. (d) the firm’s plan for the ongoing maintenance of its systems;
5. (e) how the firm’s governing body will ensure that they remain satisfied that the firm’s systems continue to satisfy the marking requirements; and
6. (f) any other factors or dependencies relevant to the design and operation of the firm’s systems or to an assessment of whether the systems satisfy the marking requirements;
2. (2) a statement signed on behalf of the firm’s governing body confirming that the firm satisfies the marking requirements;
3. (3) a statement of whether the firm’s marking effectiveness report has been reviewed by external auditors, and if so, a statement of the findings of that review; and
4. (4) a statement of whether there has been a material change to the firm’s systems since the date of the firm’s previous marking effectiveness report.