Schedule 11: Central counterparties Part 2 – Pre-resolution powers of the Bank of England Removal of impediments to the exercise of stabilisation powers etc.
Paragraph 2 provides the powers the Bank will have to direct a CCP to take measures which address impediments to the effective exercise of the stabilisation powers. It is envisaged that these powers would be available for the Bank to use when performing its day-to-day functions of CCP supervisor and resolution authority, should such measures be necessary.
	Paragraph 2(2) outlines a non-exhaustive list of the powers the Bank could take to direct a CCP if required.
	Paragraph 2(3) outlines that, where a CCP is a subsidiary, the Bank may direct the parent company of the CCP to establish a holding company to facilitate the exercise of stabilisation powers, or to ensure the powers do not have an adverse effect on other entities in the group.
	Paragraph 2(4) outlines that the Bank must consult the relevant authorities and consider the impact on the CCP or entity in question, the financial markets and the financial stability of the UK before giving directions.
	Paragraph 2(6) outlines the form directions can or must take if being issued by the Bank.
	Paragraph 2(7) clarifies that nothing in this section limits the powers of the Bank under section 296A of, or paragraph 9B of Schedule 17A to, FSMA 2000.