MIFIDPRU 3.1 Application and purpose

1This chapter applies to:

1. (1)

   a MIFIDPRU investment firm; and

2. (2)

   a UK parent entity that is required by MIFIDPRU 2.5.7R to comply with MIFIDPRU 3 on the basis of its consolidated situation.

1This chapter also applies to a parent undertaking that is subject to the group capital test in accordance with MIFIDPRU 2.6.5R, but with the following modifications:

1. (1)

   the definitions in MIFIDPRU 2.6.2R apply when calculating the own funds instruments of the parent undertaking for the purposes of the group capital test; and

2. (2)

   MIFIDPRU 3.2.2R and MIFIDPRU 3.2.3R do not apply, but MIFIDPRU 3.7 applies instead.

1For the purposes of this chapter:

1. (1)

   any reference to the “UK CRR” is to the UK CRR in the form in which it stood on 1 January 2022, read together with any CRR rules (as defined in section 144A of the Act) made by the PRA that applied on that date;

2. (2)

   where a term is not italicised but is defined in the UK CRR, the definition in the UK CRR applies;

3. (3)

   where this chapter applies to a parent undertaking that is not a firm, reference to a “MIFIDPRU investment firm” or a “firm” includes a reference to that parent undertaking; and

4. (4)

   where this chapter applies on the basis of the consolidated situation of an entity under MIFIDPRU 3.1.1R(2), a reference in this chapter to a “firm” is a reference to the hypothetical single MIFIDPRU investment firm created under the consolidated situation.