Commentary Control of business transfers
262.Part 7 of FSMA sets a court process which enables insurance business, banking business or reclaim fund business to be transferred from one person to another without requiring the approval of all those who may be affected by the transfer (e.g. the consent of all relevant policyholders or account holders). The process is compulsory for insurance business transfer schemes (section 104 (control of business transfers)) but remains optional in the case of banking business transfer schemes and reclaim fund business transfer schemes (the different types of “scheme” are defined in sections 105, 106 and 106A respectively) as a result of the partial commencement of section 104.