Statistical Notices to Reporting Banks 2007/03
Statistical Notices should be received by all those responsible for the completion of Bank of England returns. To amend the circulation list please contact Stuart Watson (Tel. 020 7601 5574).
- Rolling review of statistical reporting forms(effective from end-October 2007 reporting)
- Form BT (revised thresholds effective from end-March 2007 reporting, form changes effective from end-October 2007 reporting)
- Form BE (revised thresholds effective from end-March 2007 reporting, form changes effective from end-October 2007 reporting)
- Form AD and AL (revised thresholds effective from end-March 2007 reporting, form changes effective from end-December 2007 reporting)
- Discontinuation and replacement of Form Q1(D) by new Forms IS, IC and IO (effective from end-October 2007 reporting)
- Forms CA, CC and CL (revised thresholds effective immediately, form changes effective from end-December 2007 reporting)
- Discontinuation and replacement of Form QX by new Forms CX, WO and HF (effective from end-December 2007 reporting)
- Form DQ (effective from end-December 2007 reporting)
- Form DM (information)
- Forms HI and HO (information)
- Form PL and Form ER (information)
1. Rolling review of statistical reporting forms (effective from end-October 2007 reporting)
In April 2004, the Bank issued a new Statistical Code of Practice outlining its approach to collecting, compiling and publishing statistical data. The Code includes an aim to balance the needs of users against the demands placed on suppliers. In late 2004, a project was launched to develop cost-benefit analysis tools that cold achieve this balance.
As part of this a rolling review of all statistical returns was initiated, the results of which to date have been announced in various Statistical Notices. This Notice summarises the results of the latest reviews for several “core” statistical returns and outlines the implementation timetable for these changes, all of which have been agreed with the British Bankers’ Association (BBA).
A new page has been created on our website where all of the new versions of the forms, definitions and validations can be downloaded. If you require paper copies of these documents, please contact Antony Ford (Tel. 020 7601 3119). The software houses have also been notified of these changes and an updated version of the BEERS Technical Specification has been published and is available from our website. If you have any queries about electronic reporting, please contact Leslie Lambert (Tel. 020 7601 4544).
As part of the reviews, reporting thresholds for the statistical forms have been revised and an updated reporting panel has been issued. The majority of these thresholds have been introduced with immediate effect and reporting institutions affected will have been informed.
The Bank will write to all reporting institutions within the next couple of months confirming their statistical reporting requirements with effect from end-October 2007 reporting, whether these have changed for an individual reporter or not. In the meantime should you have any questions or require any clarification please contact either the individual form analyst as outlined below, or Leslie Lambert as above.
2. Form BT (revised thresholds effective from end-March 2007 reporting, form changes effective from end-October 2007 reporting)
Reporting Threshold (effective from end-March 2007 reporting)
The threshold for monthly reporting of Form BT has been set at eligible liabilities (BT£46) in excess of £400mn (positive or negative), or private sector holdings (BT items £2H + £3H or £29D) in excess of £1bn. These thresholds have been introduced with effect from end-March 2007 reporting, and all affected reporting institutions have been notified individually.
Form Changes (effective from end-October 2007 reporting)
1) Removals
i. The split between interest-bearing and non-interest bearing deposits has been removed from item 2.
ii. The identification of interest-bearing sight deposits and the interest-bearing element of retail deposits (BT47A) have been removed from the BT. The latter item has now been added to the BE return (see below).
iii. The distinction between gilt and non-gilt repos and reverse repos has been removed. Items previously recorded under Item BT7 have been merged with BT6 and items previously
recorded as BT31 have been merged with BT30.
iv. Various other boxes have been removed: BT3HA (TESSAs); BT26BA (Eligible local authority bills); BT26DA (eligible bills accepted by UK banks); BT26H and BTAK (Bank of England euro bills); BT28 (lending under DTI special shipbuilding scheme - merged with BT29D); and BTAG (holdings of commercial paper lodged by non-residents, issued by non-residents).
2) Additions
i. As a result of discontinuing Form QX (see below) items QX19BL, QX19CD1, QX19CD2, QX19CD3, QX19CD4, QX19CD5 have been moved to the Form BT. The definitions for these boxes are unchanged. Additionally the quoted and un-quoted splits for holdings of investments in UK banks (previously QX32A1A, QX32A1B, QX32A2A and QX32A2B) have been moved to the BT: to achieve this the BT items BT32AA, BT32AB and BT32AC have been broken down into separate items (BT32AA1, BT32AA2, BT32AB1, BT32AB2, BT32AC1, BT32AC2) for the quoted and un-quoted components.
ii. A new box BT19CDA has been added, where reporting institutions are asked to report their levels of inward investment. Capturing this information on Form BT will allow the Bank to measure the level of inward investment for Form HI population monitoring purposes.
iii. New boxes BT2BG, BT3BG, BT6BG, BT23DG and BT30BG have been added, which aim to capture business between banking institutions within the same banking group.
iv. In Market Notices published in December 2006 and February 2007, the Bank announced details of how it will change the way it finances its foreign exchange reserves. The previous euro note programme is to be replaced with the annual issuance of medium-term securities. The first issue will be a US dollar transaction, the issue of which is currently expected for the week beginning 12 March 2007. To accommodate this change in financing, the coverage of balance sheet items BT32L and BTAL will be broadened to cover all Bank of England securities, whether issued in euro or other currencies (these items previously covered Bank of England euro notes only). The item will therefore be renamed to “Bank of England securities” and an “other currencies” box will be introduced.
3) Other changes
i. Section B (items BA, BB, BC) in the appendix will be reported on a levels basis as opposed to a transactions basis.
Implementation
The first “new” Form BT should be submitted for end-October 2007 data for monthly reporters, and end-December 2007 data for quarterly reporters.
For clarity, we have taken this opportunity to redraft some of the definitions for Form BT. Therefore, any actual definitional changes have been highlighted in the usual way but some additional or revised wording has not.
Contact details
Stephen Burgess (Tel. 020 7601 5356).
3. Form BE (revised thresholds effective from end-March 2007 reporting, form changes effective from end-October 2007 reporting)
Reporting Threshold (effective from end-March 2007 reporting)
The threshold has been set to match that of the Form BT; eligible liabilities (BT£46) in excess of £400mn (positive or negative), or private sector holdings (BT items £2H + £3H or £29D) in excess of £1bn. These thresholds have been introduced with effect from end-March 2007 reporting, and all affected reporting institutions have been notified individually.
Form Changes (effective from end-October 2007 reporting)
1) Removals
i. The distinction between gilt and non-gilt repos and reverse repos has been removed. Items previously recorded under Item BE7H have been merged with BE6H and items previously recorded as BE31H have been merged with BE30H.
2) Additions
i. As a result of discontinuing Form QX (see below); overdrafts for financial corporations, non-financial corporations, individuals and individual trusts, unincorporated businesses other than unlimited liability partnerships, and non-profit institutions serving households (previously Form QX section 1) have been moved to the Form BE resulting in all items within item BE29D being re-numbered. Overdrafts are shown first, labelled as BE29DA1, BE29DA2 etc for each of the sectors and Other loans and advances are labelled as BE29DB1, BE29DB2 etc. The re-numbering provides consistency with other sections of the form, with respect to sectors.
ii. Also as a result of discontinuing Form QX, the breakdown of securities (including shares and other equity issued by other UK residents) has been moved to the Form BE; item BE32HA will identify quoted shares, item BE32HB will identify unquoted shares and item BE32HC will identify all other securities.
3) Other changes
i. Within the deposits section of the form (BE2H sight deposits, BE2HA interest-bearing sight deposits and BE3H time deposits), the category previously classified ‘Households and individual trusts’ has been expanded into two separate categories; ‘Individuals and individual trusts’ and ‘Unincorporated businesses other than unlimited liability partnerships’.
ii. To be consistent, the current sector title of ‘Households and individual trusts’ elsewhere on the form has been changed to “Individuals, individual trusts and unincorporated businesses other than unlimited liability partnerships”. There is no definitional change in the content of these items, just a title change for improved clarity.
iii. Item BE29D4A (loans and advances to housing associations secured on residential property) has been renamed BE29D2A to reflect it being a component of BE29DA2 or BE29DB2 (non-financial corporations other than public corporations). The item has been shown as an addendum at the bottom of item BE29D, as it comprises overdrafts, other loans and advances.
iv. Following the removal of the interest-bearing breakdown of sight deposits on the BT form, the interest-bearing component of the retail deposits item (previously BT47A) has been moved to the BE form (BE47A).
Implementation
The first “new” Form BE should be submitted for end-October 2007 data.
Contact details
Alex Golledge (Tel. 020 7601 3882).
4.Forms AD and AL (revised thresholds effective from end-March 2007 reporting, form changes effective from end-December 2007 reporting)
Reporting Threshold (effective from end-March 2007 reporting)
The threshold has been set to match that of the Forms BT and BE; eligible liabilities (BT£46) in excess of £400mn (positive or negative), or private sector holdings (BT items £2H + £3H or £29D) in excess of £1bn. These thresholds have been introduced with effect from end-March 2007 reporting, and all affected reporting institutions have been notified individually.
Form Changes (effective from end-December 2007 reporting)
Form AD is retaining its existing structure and as a result there are no changes to the definitions or internal validations. However, amendments to cross-form validations with Forms BT and BE have been made as a result of the merger of Items 6 and 7 on these forms and the renumbering of item 29D on the Form BE.
1) Removals (for Form AL)
Data on acceptances and commercial paper will no longer be required and the sections have been removed from the Form.
2) Additions (for Form AL)
DTI special scheme lending for shipbuilding for UK ownership (current BT item 28) will be included in AL item 4F “Machinery and equipment not elsewhere classified, and transport equipment”.
Implementation
The first "new" Form AD and AL should be submitted for end-December 2007 data.
Contact details
Alex Golledge (Tel. 020 7601 3882).
5 .Discontinuation and replacement of Form Q1(D) by new Forms IS, IC and IO (effective from end-October 2007 reporting)
The Form Q1(D) as it currently stands will be discontinued with effect from October 2007, and will be split into 3 new forms:
These new forms will cover a majority of the data collected via the Q1(D) with the following exceptions:
1) Removals
i. Bridging loans (formerly Item QDXFKA)
ii. Overdrafts (formerly Item QDXFKC)
iii. Item QDXFKF3 "Amounts outstanding on loans covered by items QDXFKF1 - gross lending".
iv. The data currently collected in Section D of Form Q1(D), "Other loans to individuals secured on residential property" will no longer be required.
2) Additions
i. Two new items have been added in each of the new forms; one to measure "amount outstanding of transferred/securitised balances held by entities resident in the UK" and one to measure "amount outstanding of transferred/securitised balances held by entities resident outside the UK". These new items will help the Bank to improve its data on total amounts outstanding in loans to individuals.
ii. Three new items have been added in the Form IS to identify secured lending via offset mortgages. These items will help to improve the Bank's data on total amounts outstanding in secured loans to individuals and on deposits held by 'other UK residents'. Item ISXFKBJ1 measures "Amount outstanding excluding the effects of offsetting deposit balances", item ISXFKBJA measures net "amount outstanding in 'multiple account' offset arrangements (ie. where lending balances are offset by deposit balances for interest calculation only)" and item ISXFKBJB measures "Amount outstanding in 'single account' offset products" (ie. where lending and deposits are netted as a single balance).
Reporting Thresholds
The reporting thresholds for the new forms will mirror those of the current sections of the Q1(D). These are outstanding loans secured on residential property greater than £1,500mn for Form IS, outstanding credit card balance greater than £100mn for Form IC and outstanding overdraft, loans and advances balances greater than £100mn for Form IO.
Implementation
The last Form Q1(D) should be submitted for end-September 2007, with the three new forms being introduced from end-October 2007 reporting.
Contact details
Matt Davies (Tel. 020 7601 4166).
6. Forms CA, CC and CL (revised thresholds effective immediately, form changes effective from end-December 2007 reporting)
Reporting Threshold (effective immediately)
These thresholds have been introduced with immediate effect, and all affected reporting institutions have been notified individually.
Form Changes (effective from end-December 2007 reporting)
1) Removals (for Form CA)
i. Currency breakdown for Euro removed.
ii. Currency breakdown for Australian dollars, Canadian dollars, Danish kroner, Saudi riyals, Swedish kroner, SDRs and Gold have been combined into Other Currencies.
iii. Portfolio investments issued by non-residents (items CAC9 + CAC10) have been included in “other assets”.
1a) Removals (for Form CC)
i. Section A items “revaluation of claims” and “write-offs”.
ii. Section B item “claims on non-resident CMIs”.
1b) Removals (for Form CL)
i. Section B “British Government Stocks held on behalf of non-residents”.
2) Additions (for Form CC)
Market loans to non-residents data, currently reporting on Form QX Section 1 (items XC, XC1, XC2 and XC3) have been added to Form CC; as has direct investment in non-residents, currently reported on Form QX (items 32KA, 32KB and 32KC).
2a) Additions (for Form CL)
i. Breakdown of deposit and repo liabilities to non-residents data currently reported on Form QX Section 1 (items XB1 and XB2) has been added to Form CL.
No additions have been made to Form CA.
Implementation
The first “new” Forms CA, CC and CL should be submitted for end-December 2007 data.
Contact details
Joe Foster (Tel. 020 7601 5482).
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. Discontinuation and replacement of Form QX by new Forms CX, WO and HF (effective from end-December 2007 reporting)
The Form QX as it currently stands will be discontinued. Some of the data have been moved across to Forms BT, BE, CC and CL as outlined above and some have been restructured as three new forms:
Some additional information will be required on these forms, as outlined below:
1) Differences between Form QX (Sections 1 and 6) and Form CXi. The QX categories "ships" and "vehicles and aircraft" have been merged on CX, meaning that the old QXXLD and QXXLF both map to the new CX4, and the old QXXLE and QXXLG map to the new CX5.
ii. Additional items have been added within "Plant and machinery" (QXXLH & QXXLJ / CX6 & CX7). These require reporting institutions to record their acquisitions and disposals of “computers and other processing equipment”, and their acquisitions of computer software. Additionally, the computer software acquisitions need to be reported as “developed in-house”, “purchased under licence payments” or “purchased outright”. These additional items have been added to improve the ONS’s measurement of investment in information technology.
iii. The QX categories QXXFDB (finance leases to UK financial corporations other than monetary financial corporations) and QXXFEB (finance leases to UK financial unlimited liability partnerships) have been combined on Form CX, as have QXXFFB (finance leases to UK non-financial corporations) and QXXFGB (finance leases to UK non-financial unlimited liability partnerships).
2) Differences between Form QX (Sections 4 and 5) and Form WO
i. Unlike section five of the Form QX which is reported in a different way in the fourth quarter of each year, the Form WO will be reported in a consistent way every quarter (ie. relating to write-offs made in the quarter).
ii. Item WO1HA (formerly QXXKJA) has been renamed “real-estate” to bring the item into line with Forms AD and AL.
iii. The "unlimited liability partnership" items on the old QX section five have been removed: hence the old boxes QXXKG (financial corporations other than monetary financial institutions) and QXXKH (financial unlimited liability partnerships) have been merged to form the new WO1G; similarly the old QXXKJ (all non-financial corporations (excluding unlimited liability partnerships) other than public corporations and QXXKK (non-financial unlimited liability partnerships) have merged to form WO1H.
3) Differences between Form QX (Section 7) and Form HF
The basis of reporting has been changed to an “immediate investor” basis. In cases where the country of ultimate investor is different from the immediate investor, equivalent details are required.
The separate reporting of preference shares and bonds & other capital is no longer required.
Reporting Thresholds
Implementation
The new Forms CX and HF should be submitted from end-December 2007 reporting. But Form QX sections 4 and 5 will need to be submitted in the existing manner (section 5 is currently an annual return) for end-December 2007, with the new Form WO being submitted for the first time for end-March 2008 reporting.
Reporting institutions required to report these new forms will be notified individually in due course.
Contact details
Stephen Burgess(Tel. 020 7601 5356) for Forms CX and WO.
Ryan Baigent (Tel. 020 7601 4881) for Form HF.
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. Form DQ (effective from end-December 2007 reporting)
Reporting Threshold
The threshold for quarterly reporting of Form DQ has been set to total gross liabilities under contracts in financial derivatives (BT19BL) in excess of £5bn. It is discretionary - derivatives positions are
volatile and so reporting institutions will not be recruited to the reporting panel until they report consistently large positions. In contrast to the forms discussed above, this threshold will not be effective until the end-December 2007 reporting date.
The Bank will shortly be notifying those reporting institutions affected by this change in threshold.
Removals
Sections 3, 4 and 6 of the Form DQ have already been removed; see Statistical Notices 2004/04 and 2007/02 for details.
Other Changes
i. The treatment of interest rate swaps undertaken between reporting institutions and the SwapClear facility operated by LCH.Clearnet Limited (formerly known as London Clearing House) has been clarified. These should be reported in accordance with the sectoral classification of LCH.Clearnet Limited, that is, "UK financial institutions other than monetary financial institutions".
ii. The definition of credit derivatives captured by the return has been extended to include all credit derivative instruments. Credit default products, such as credit default swaps, which have previously been excluded, should be reported on the form.
iii. Section Five, which captures cross border positions by country, will be renamed Section Three.
Implementation
These changes come into effect on the return for end-December 2007 reporting. For clarity, the Bank is taking this opportunity to reorganise the definitions for Form DQ and these will be available on the Internet.
Contact details
Pat O'Connor (Tel. 020 7601 4450).
The Bank has formally removed the Form DM (a monthly derivatives return developed in 1997) from the Yellow Folder as a monthly requirement is no longer envisaged.
10. Forms HI and HO (information)
Reporting Thresholds (effective immediately)
These thresholds have been introduced with immediate effect, and all affected reporting institutions have been notified individually.
Form Changes
No changes have been made to the structure of Forms HI and HO, however the submission deadline has been extended by four weeks to sixteen weeks with immediate effect.
Contact details
Ryan Baigent (Tel. 020 7601 4881).
11. Form PL and Form ER (information)
Given they are relatively new forms the PL and ER forms have not undergone a full review and there are no changes to the content or definitions of these forms. An extensive reporting panel review has however been undertaken for Form PL, the initial outcome of which is a move away from PL being reported by all institutions. This also affects the reporting panel of form BG.
Reporting Thresholds (effective immediately)
i. A new threshold for annual reporting of the PL and the BG has therefore been set. This is discretionary based on total assets as reported on the BT (BT40) but any entity with less than £250 million of total assets will be released from reporting the PL and the BG. All affected reporting institutions will be notified shortly.ii. The threshold for quarterly reporting of the PL remains at around £1 billion of total assets as reported on the BT for the time being. A review of this threshold is ongoing; with a view to reducing the quarterly reporting panel for 2008 reporting.
iii. The threshold for quarterly reporting of the BG remains discretionary depending on the level of non-resident business. Generally banks reporting the PL quarterly and with a significant amount of non-resident business are asked to report the BG. This threshold is currently under review in conjunction with the PL quarterly review.
Contact details
Abigail Hughes (Tel. 020 7601 4174).
Bank of England
Monetary & Financial Statistics Division
8 March 2007
