Prudential Regulation Authority Rulebook

29.1

The permitted counterparty exposure limits are as follows:

1. (1) where the counterparty is an individual or an unincorporated body of persons, 5% of the business amount;
2. (2) where the counterparty is a counterparty of the type mentioned in (5) in the definition of counterparty, 5% of the business amount;
3. (3) where the counterparty is a body corporate or group, each of:
1. (a) 20% of the business amount or £2 million, whichever is the larger;
2. (b) 10% of the business amount where the exposure arises otherwise than by reason that debts are due, or are to become due, as a result of short term deposits made with an CRD credit institution; and
3. (c) 5% of the business amount where the exposure is to bodies which are not approved counterparties.