sectoral rules

23(in relation to a financial sector) rules and requirements relating to the prudential supervision of regulated entities applicable to regulated entities in that financial sector as follows:

1. (a) (for the purposes of PRU 8.4.12 R (Definition of financial conglomerate: Solvency requirement)) EEA prudential sectoral legislation for that financial sector together with as appropriate the rules and requirements in (c); or
2. (b) (for the purpose of calculating solo capital resources and a solo capital resources requirement):
   1. (i) (to the extent provided for in paragraph 6.5 of PRU 8 Ann 1R G) rules and requirements that are referred to in paragraph 6.6 of PRU 8 Ann 1R G (Solo capital resources requirement: Non-EEA firms subject to equivalent regimes); and
   2. (ii) the rules and requirements in (c); or
3. (c) (for all other purposes) rules and requirements:
   1. (i) of the FSA; or
   2. (ii) of or administered by another competent authority;

and so that:

2. (d) (in relation to prudential rules about consolidated supervision for any financial sector) those requirements include ones relating to the form and extent of consolidation;
3. (e) (in relation to any financial sector) those requirements include ones relating to the eligibility of different types of capital;
4. (f) (in relation to any financial sector) those requirements include both ones applying on a solo basis and ones applying on a consolidated basis;
5. (g) (in relation to the insurance sector) references in this definition to consolidated supervision are to supplementary supervision, similar expressions being interpreted accordingly;31
6. (h) references to the FSA's sectoral rules are to sectoral rules in the form of rules; and 31
7. 31(i) (for the purpose of calculating solo capital resources and a solo capital resources requirement) the following undertakings are not subject to sectoral rules for the purposes of paragraphs 6.2, 6.3, 6.5 or 6.6 of PRU 8 Ann 1R G as the case may be and instead fall under paragraph 6.7 of PRU 8 Ann 1R G (Solo capital resources requirement: other members):
   1. (i) a regulated entity that is incorporated in, and has its head office in, one of the states or territories referred to in paragraph 6.5 of Part 6 of PRU 8 Ann 1R G (Solo capital resources requirement: non-EEA firms subject to equivalent regimes), a UK domestic firm or an EEA regulated entity if it has an exemption from the sectoral rules referred to in paragraphs 6.2, 6.3 or 6.6 of PRU 8 Ann 1R G as the case may be; and
   2. (ii) a regulated entity that is incorporated in, and has its head office in, one of the states or territories referred to in paragraph 6.5 of Part 6 of PRU 8 Ann 1R G if it is not subject to requirements that are equivalent to EEA prudential sectoral legislation applicable to its financial sector.