Schedule 11: Central counterparties Part 5 – Special resolution action Compensation scheme
Paragraph 87 outlines that HM Treasury may, by making regulations, make provision for protecting the financial interests of persons in connection with the making of a relevant instrument. The regulations may provide for a scheme which may, for example, determine whether compensation is required, pay compensation, and under which specified relevant persons become entitled to the proceeds of the disposal of things transferred under a share transfer/property transfer instrument.
	Sub-paragraph (3) ensures HM Treasury must have regard to the desirability of ensuring a person is not worse off under a relevant instrument than they would have been if the CCP had entered insolvency immediately before the relevant instrument was made and all the relevant rules of the CCP had been applied in the period leading up to insolvency.
	Sub-paragraph (6) notes that regulations may provide for compensation either by HM Treasury or any other specified person.