BKLM900000 - Powers to change the Schedule

Part 9: Paragraph 81 of Schedule 19

The bank levy complements the regulatory agenda aimed at enhancing financial stability.

Many of the terms or calculations needed under the bank levy are based on regulatory terms or concepts which reflect the complimentary nature and help to ease compliance burdens for relevant groups and entities. The regulatory environment continues to change and as such the Schedule gives the Treasury power to amend the Schedule by way of statutory instrument in the event that any changes are made to the regulatory sources of these terms.

This covers potential changes to the Financial Services and Markets (Regulated Activities) Order 2001 and the PRA Handbook.

The power also provides that appropriate changes can be made to reflect future changes in accounting standards (IAS or for chargeable periods ending prior to 1 January 2021 UK GAAP or US GAAP).

The power was updated with effect from 17 July 2014 to provide that appropriate changes can be made to reflect the future introduction of, or changes to, any regulatory requirement.

The power will have limited retrospective effect in that it can have effect in relation to a chargeable period in which the instrument is made.

Should any order be needed on or before 31 December 2011 then the rules make provision for this to apply to a chargeable period ended on or after 1 January 2011.

Finance Act 2021 updated the power with effect from 10 June 2021 to further allow definitions to be amended for the purpose of the Bank Levy. This power may have retrospective effect for orders made on or before 30 June 2022, in relation to any chargeable period ending on or after 1 January 2021.