Who are we?

The Bank of England is responsible for supervising certain financial market infrastructures in the UK

In this section

The Bank of England is responsible for supervising certain financial market infrastructures in the UK. FMIs are a vital part of the economy. 

This section refers to the Bank's functions as FMI regulator.

Our objectives

Our financial stability objective is to protect and enhance the stability of the financial system of the United Kingdom. This continues to underpin all the Bank’s work overseeing CCPs, CSDs and payment systems. 

The FSMA 2023 framework has introduced new obligations and accountabilities for the Bank in respect of its CCP and CSD functions. These include a new secondary objective requiring the Bank, so far as reasonably possible, to act in a way which facilitates innovation in the provision of FMI services (including in the infrastructure used for that purpose). This is with a view to improving the quality, efficiency, and economy of their services.

FSMA 2023 also introduces the requirement that when exercising its FMI functions (as defined in statue) in a way that advances the Financial Stability Objective (and subject to that), the Bank must have regard to: (1) specified regulatory principles; (2) the effect that the Bank’s regulation will or may have on the financial stability of other countries or territories in which CCPs and CSDs are established or provide services; and (3) the desirability of regulating CCPs and CSDs in a way that is not determined by whether the users of their services are located in the UK or elsewhere.

FMIs we supervise

We supervise certain financial market infrastructures that are based in, or operate in, the UK.

    • Bacs (recognised 5 January 2010)
    • CLS (recognised 5 January 2010)
    • CREST (recognised 5 January 2010)
    • LCH Ltd (recognised 5 January 2010)
    • Faster Payments Service (recognised 24 February 2010)
    • ICE Clear Europe (recognised 24 February 2010)
    • Visa Europe (recognised 19 March 2015)
    • LINK (recognised 23 May 2016)
    • Mastercard Europe S.A. (recognised 21 October 2021)
    • Sterling Fnality Payment System (recognised 31 August 2022)
    VocaLink as of 25 April 2018, has been specified as a service provider in the recognition orders of Bacs, Faster Payments Services and LINK.
    CHAPS as of 13 November 2017 is supervised on a non-statutory basis.

  • The Bank has authorised these UK central counterparties (CCPs):

    ICE Clear Europe Limited

    LCH Limited

    LME Clear Limited

  • Some central counterparties that are not based in the UK are allowed to offer clearing services in the UK until the end of 2025 under the Transitional Regime (TR).
    Read a list of CCPs in the TR.

  • The Bank has recognised these non-UK central counterparties (CCPs):

    Cboe Clear Europe N.V.

    Chicago Mercantile Exchange

    Clearing Corporation of India Ltd

    Eurex Clearing AG

    LCH SA

  • We have authorised the following central securities depositories (CSDs):

    Euroclear UK and International Limited

    • Effective date: 8 December 2020
    • Address: 33 Cannon Street, London EC4M 5SB
    • Further information: Register info

  • Some CSDs that are not based in the UK can offer services in the UK until they are permanently recognised under the Transitional Regime (TR).

    Read a list of the CSDs in the transitional regime.

  • The Bank has recognised these non-UK central securities depositories (CSDs)

    Euroclear Bank SA/NV

    • Effective date: 8 May 2023
    • Home Authority: Belgium
    • Further information: Register Info

  • CME Clearing Europe Limited

    • Initial authorisation - 4 August 2014
    • De-authorisation - 12 October 2017

  • We have designated the following systems designated under the Settlement Finality Regulations: 

    • Bacs (operated by Pay.UK Limited)
    • CHAPS (operated by Bank of England)
    • Continuous Linked Settlement (operated by CLS Bank International)
    • Euroclear UK and International
    • Faster Payments Service (FPS) (operated by Pay.UK Limited)
    • ICE Clear Europe
    • Image Clearing System (ICS) (operated by Pay.UK Limited)
    • LCH Limited
    • LME Clear Limited
    • SIX x-clear
    • Visa Europe (operated by Visa Europe Limited)

    • STEP 2-T (operated by EBA Clearing)   
    • Cboe Clear Europe N.V.
    • Euroclear Bank SA/NV
    • Eurex Clearing AG
    • LCH SA
    • Clearstream Banking SA
    • Clearstream Banking AG Securities Settlement Systems
    • European Commodity Clearing AG
    • ICE Clear Netherlands B.V.
    • BME Clearing
    • Nasdaq Clearing AB
    • Nasdaq OMX Oslo NUF
    • Euronext Clearing (Compensazione e garanzia delle operazioni su strumenti finanziar)
    • ESES France (Euroclear France)
    • ESES Netherlands (Euroclear Nederland)
    • CIK (Euroclear Belgium)
    • VPC systemet (Euroclear Sweden AB)
    • Iberclear
    • KELER Central Depository Ltd
    • Monte Titoli S.p.A.
    • Central Depository and Central Registry Cyprus Stock Exchange
    • VP Securities A/S
    • VPO NOK
    • Norges Bank’s Settlement System
    • RIX (Sveriges Riksbank)
    • EURO1 (operated by EBA Clearing)
    • RT1 (operated by EBA Clearing) 

  • We recognise the following operators under the Uncertified Securities Regulations:

    • Euroclear UK & International

  • We have published a list of central banks notified to HM Treasury as receiving settlement finality protection for securities held as collateral security pursuant to The Settlement Finality Regulations.

Our governance and accountability

As well as granting new powers, FSMA 2023 also enhances the Bank’s transparency and accountability framework for its FMI functions, to a level aligned to those of other financial regulators like the PRA and FCA. They include:

  • FMI Committee - this committee makes the Bank's most important decisions on financial market infrastructure
  • Carrying out, and publishing our approach to cost benefit analysis (CBA), which will be scrutinised by an independent CBA Panel
  • Greater oversight by Parliamentary committees, including submitting consultations to committees when they are published, responding to representations made by committees, and explaining how those representations have been considered.

Who we work with

We work with domestic and overseas regulators to supervise FMIs.

We have a memorandum of understanding with the FCA on supervising FMIs. We also have a MoU with the FCA, PSR and PRA that covers the supervision of payment systems.

We have MoUs with relevant home authorities as part of our supervision of recognised non-UK FMIs. See the Governance and funding page.

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This page was last updated 19 November 2024