The Secretary of State may by regulations provide that the general law of insolvency has effect in relation to charges of such descriptions as may be specified in the regulations, and action taken in enforcing them, subject to such provisions as may be specified in the regulations.
The regulations may specify any description of charge granted in favour of—
for the purpose of securing debts or liabilities arising in connection with or as a result of the settlement of contracts or the transfer of assets, rights or interests on a financial market.
The regulations may specify any description of charge granted for that purpose in favour of any other person in connection with exchange facilities or clearing services or settlement arrangements provided by a recognised investment exchange or recognised clearing house or by any such body, person, authority or organisation as is mentioned in subsection (2) , or in connection with authorised central securities depository services (see section 155(3D)) provided by a recognised CSD.
Where a charge is granted partly for the purpose specified in subsection (2) and partly for other purposes, the power conferred by this section is exercisable in relation to the charge so far as it has effect for that purpose.
The regulations may—
Before making regulations under this section relating to a description of charges defined by reference to their being granted in favour of a person included in the list maintained by the . . . Bank of England for the purposes of section 301 of the Financial Services and Markets Act 2000, or in connection with exchange facilities or clearing services or settlement arrangements provided by a person included in that list, the Secretary of State and the Treasury shall consult the FCA and the Bank of England.
Before making regulations under this section relating to a description of charges defined by reference to their being granted in favour of the Bank of England, or in connection with settlement arrangements provided by the Bank, the Secretary of State and the Treasury shall consult the Bank.
Regulations under this section may provide that they apply or do not apply to a charge if or to the extent that it secures obligations of a specified description, is a charge over property of a specified description or contains provisions of a specified description.
For the purposes of subsection (2)(d), "relevant regulated activity" means—
Subsection (8) must be read with—