Related links

PS20/16 - "The implementation of ring-fencing: prudential requirements, intragroup arrangements and & use of Financial Market Infrastructures"
PS7/13 - Strengthening capital standards: implementing CRD IV, feedback and final rules
PS28/15 - The PRA Rulebook: Part 4 and response to Chapter 1 of CP41/15
SS8/16 - Ring-fenced bodies (RFB)
SS15/13 – Groups
SS16/13 – Large exposures
Statement of Policy – The PRA’s methodologies for setting Pillar 2 capital


  • 1 Application
  • 2 Interpretative Provisions




Unless otherwise stated, this Part applies to:

  1. (1) a firm;
  2. (2) a qualifying parent undertaking as defined in section 192B of FSMA; and
  3. (3) a body corporate falling within section 192JA(2) of FSMA.


Interpretative Provisions

Purposive interpretation


Every provision in the PRA Rulebook must be interpreted in the light of its purpose.

Use of defined expressions


In the PRA Rulebook, save as otherwise indicated in a Part of the PRA Rulebook, an expression in italics defined:

  1. (1) in the PRA Rulebook Glossary has the meaning given in that glossary;
  2. (2) for the purposes of FSMA has the meaning given in that Act;
  3. (3) in the Interpretation Act 1978 has the meaning given in that Act.


In the PRA Rulebook, an expression in italics that has no meaning given for the purposes of any of the following: the Part in which that expression appears, the PRA Rulebook Glossary, FSMA or the Interpretation Act 1978, but that was defined in the PRA Handbook as at 6 March 2016 has that meaning.

Application of the Interpretation Act 1978


Save as otherwise indicated, the Interpretation Act 1978 applies to the PRA Rulebook.

Cross-references in the PRA Rulebook


A reference in the PRA Rulebook to another provision in the PRA Rulebook is a reference to that provision as amended from time to time.

Activities covered by rules


In the PRA Rulebook, a rule made by the PRA under section 137G of FSMA applies to a firm with respect to the carrying on of any activities, except to the extent that a contrary intention appears.

Continuity of authorised partnerships and unincorporated associations


If a firm is dissolved, but its authorisation continues to have effect under section 32 (Partnerships and unincorporated associations) of FSMA in relation to any partnership or unincorporated association that succeeds to the business of the dissolved firm, the successor partnership or unincorporated association is to be regarded as the same firm for the purposes of the PRA Rulebook unless the context otherwise requires.