Part 2: Benchmarks Section 11: Assessment of representativeness of critical benchmarks
This section introduces new definitions and provisions in the BMR. Subsection (1) introduces new definitions to Article 3. Subsection (2) introduces two new provisions: Article 22A and Article 22B, which relate to the assessments of critical benchmarks conducted by the administrator and the FCA respectively.
	Article 3 provides definitions for the purpose of the BMR. This includes the definition of a ‘supervised entity’. Subsection (1) of this section introduces two new definitions, ‘supervised third country contributor’ and ‘supervised third country entity’. These definitions capture specified kinds of third country contributors and entities. They are then brought within the scope of certain BMR provisions.
	Subsection (2) of this section introduces new Article 22A. This sets out requirements which apply to administrators to assess the representativeness of certain kinds of critical benchmarks (which are not Article 23A benchmarks as provided for in section 14 in certain circumstances as specified in Article 22A).
	Article 23 of the BMR contains provisions relating to the assessment of the representativeness of critical benchmarks by administrators and the FCA. Article 23 applies to critical benchmarks which are based on submissions from contributors, the majority of which are supervised entities. New Article 22A largely replicates Article 23 (with some amendments) and introduces new provisions. It requires the administrator of a critical benchmark based on contributions from supervised entities or supervised third country entities (and which is not an Article 23A benchmark) to conduct an assessment of the representativeness of the benchmark at least biennially; upon written notice from the FCA (where the FCA have concerns with the representativeness of the benchmark); and where a supervised contributor or a supervised third country contributor gives notice of its intention to cease contributing input data. The period between a contributor providing notice and ceasing to contribute input data should be no less than 15 weeks. The administrator will need to submit its assessment to the FCA within a time period specified in Article 22A, if the assessment is triggered by a contributor’s notice to cease contribution.
	Article 22A(9) requires that during the assessment period (as defined), the administrator must not change the market or economic reality intended to be measured by the benchmark, unless the FCA gives its written permission to do so.
	Subsection (2) of this section also introduces new Article 22B, which sets out requirements which apply to the FCA, to assess the representativeness of critical benchmarks in the circumstances specified in this Article.
	Article 22B replicates and amends relevant provisions in Article 23 as well as introducing new provisions. It requires the FCA to conduct its own assessment upon receiving the administrator’s assessment under Article 22A and to issue a written notice to the administrator setting out the outcome of its assessment. The FCA may conduct its own assessment if it does not receive the administrator’s assessment within the time period specified under Article 22A. In the circumstances where a supervised contributor gives notice of its intention to cease contributing input data under Article 22A, the FCA must complete its assessment, and issue a notice to the administrator within a time period specified under Article 22B(4).