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Banking Bill

Clause 75 confers an extremely wide power, enabling Her Majesty's Treasury, by order, to disapply or modify the effect of any enactment other than Part 1 of the Bill or of any rule of law not in legislation for the purpose of enabling the powers in Part 1 to be used effectively. The reason given for this very wide power is that there is a real and significant risk that the authorities may not be able to effect fully a transfer which could lead to serious adverse implications for the public interest through risks to financial stability, protection of depositors or the public funds. There has been some narrowing of this clause since it was first introduced, but the power is still extraordinarily wide. The phrase ““having regard to”” is unnecessarily broad. Amendment 121 is modest and seeks to narrow the clause so that it is in line with the objectives of the special resolution. I shall discuss those objectives in greater detail when I speak later. In the mean time, all the amendment seeks to do is to restate how the powers can be used so that, as I have said, they are the same as the declared objectives set out in the Bill. Indeed, it would be perverse if alterations could be made to the law that were not strictly in line with the objectives of the special resolution regime. I beg to move.