Information for applicants

Useful information for firms seeking to apply to our facilities

In this section

Apply to take part in Covid Corporate Financing Facility (CCFF) operations

The Bank will purchase commercial paper that meets the eligible securities criteria outlined in the CCFF Operating Procedures. This can be issued in the primary market from dealers that have been admitted to the CCFF, acting as principal on behalf of eligible issuers. The Bank may also purchase CP in the secondary market from dealers that have been admitted to the CCFF.

The Bank will also provide a standing offer, on request, to sell back CP to the original issuer in advance of its agreed maturity date. Please refer to the Market Notice and Operating Procedures for more information on the process to be followed and the price at which the Bank would expect to sell CP.

Information for companies (issuers of Commercial Paper)

If you have spoken to you finance provider, this section is for you. If you have not spoken to your finance provider, please follow the steps in the CCFF Q&A.

After speaking with your bank, if you are unsure whether you are eligible, please contact us at CCFF-Applications@bankofengland.co.uk.

If, after speaking with your bank, you believe you are eligible then you will need to complete the following documents.

The CCFF will close to new applications from issuers looking to become eligible on 31 December 2020. At this time, applicants must have submitted all relevant documentation to the application, including executed CP programme documents.

If you are required to provide a guarantee, such guarantee must be provided in a form and substance satisfactory to the Bank. The Bank will generally accept:

  • in respect of CP programmes established prior to the announcement of the CCFF on 17 March 2020 and for which a guarantee was already existing, a market standard CP programme guarantee which is governed by English law and subject to the jurisdiction of English courts, together with accompanying capacity and enforceability legal opinions and reliance letters on those legal opinions in favour of the Bank, CCFFL and HMT; and
  • in all other cases, a guarantee and accompanying legal opinion in the Bank’s standard form as follows:

You will also need to provide evidence of authority to sign on behalf of your company.

Please send the completed documentation to CCFF-Applications@bankofengland.co.uk.

On 19 May 2020, HM Treasury announced that issuers participating in the CCFF may be required to commit to restraint on their capital distributions and on senior pay. Issuers will be required to provide a letter of commitment in relation to this if:

  • an increase in an issuer’s CCFF limit, over and above that suggested by the issuer’s investment rating, is requested and approved; and/or
  • a CCFF transaction is entered which involves CP maturing on or after 19 May 2021.

HM Treasury reserves the right to publish this letter, should HM Treasury become aware that the terms of the letter have not been complied with.  Please see the CCFF guidance on the Bank’s website for further details.

The deadline for submitting a letter of commitment to the Bank for HM Treasury’s review is 31 December 2020.

Information for dealers

In order to be able to take part in the CCFF, in either the primary or secondary market, dealers will need to be appropriately authorised for the purposes of the Financial Services and Markets Act 200 (FSMA). 

In order to apply, dealers must complete the CCFF Application Form. The form includes a section for Authorised Signatory Evidence (on page 6); guidance on completing this part of the form is provided below.

If you are admitted into the CCFF you will be asked to sign an Admission Letter agreeing to the CCFF Terms & Conditions. A copy of the CCFF terms and conditions can be found below.

If you wish to offer the bank commercial paper on the secondary market, you will also be required to complete an Issuer Eligibility Form for this commercial paper.

The CCFF will close to new applications from counterparties looking to become eligible on 31 December 2020. 

This page provides details for firms seeking to apply for access to our facilities. Legal documentation can be found on the Documentation page.

Apply to participate in the Sterling Monetary Framework

The following types of institution can apply to take part in the Sterling Monetary Framework (SMF):

  • banks and building societies that are authorised to take deposits in the UK
  • investment firms designated for prudential supervision by our Prudential Regulation Authority (referred to as ‘broker-dealers’)
  • central counterparties operating in UK markets, which are authorised under the European Market Infrastructure Regulation (EMIR) or recognised by the European Securities and Markets Authority (ESMA).

More information is available in the following document:

We also have guidance for new banks on access to the Sterling Monetary Framework. 

Each applicant for SMF facilities should complete the following application form, and provide the additional information requested on page one.

PDFSterling Monetary Framework application form

Applicants will need to provide a completed authorised signatory evidence form along with the application form – included in the application form on page 17. If you need to make a change to your existing form, then see the SMF Authorised Signatory Evidence Form section on the Information for participants page. We have prepared guidance for applicants on the evidence required to support your authorised signatory evidence form. 

We may need you to provide a capacity opinion or a capacity and country opinion in connection with your application:

If the applicant is not the primary entity in its group, we may require a guarantee and an associated legal opinion to be provided:

The legal documentation governing participation in our operations under the Sterling Monetary Framework also includes:

  • The Admission Letter we send to participants as part of the application process, containing details of information that you need to send us.
  • The Commencement Letter we send to participants once we have accepted them into the SMF.
  • Any relevant Market Notice, which we publish from time to time.

For queries on applying to participate in the Sterling Monetary Framework, contact the applications team via email applications@bankofengland.co.uk.

Apply to take part in Term Funding Scheme with additional incentives for SMEs (TFSME)

To take part in the TFSME, you must be:

  • A bank/building society that is an existing participant in the Bank of England’s Sterling Monetary Framework (SMF); and,
  • signed up to access the Discount Window Facility (DWF).

SMF participants that are not already signed up to the DWF can apply for access to this, alongside applying to use the TFSME. Institutions that are not currently SMF participants can apply to join, subject to the Bank’s usual eligibility criteria. 

More information is available in the TFSME Terms and Conditions and TFSME Operating Procedures.

Each applicant for TFSME should complete the following application form, and provide the additional information requested on page one. 

PDFTFSME application form

Applicants will need to provide a completed authorised signatory evidence form along with their application form – included in the application form on page six.

We may need you to provide a capacity opinion or a capacity and country opinion in connection with your application:

If the applicant is not the primary entity in its group, we may require you to provide a guarantee and an associated legal opinion:

The legal documentation governing participation in our operations under the Sterling Monetary Framework also includes:

  • The Scheme Letter we send to participants as part of the application process, containing details of information that you need to send us.
  • Any relevant Market Notice, which we will publish from time to time.

To submit an application or for queries on applying to participate in the TFSME, contact the applications team via email applications@bankofengland.co.uk.

Apply to participate in APF Gilt Purchase operations

To take part in the competitive auctions, you must be:

  • a Gilt-edged Market Maker
  • a participant in our Sterling Monetary Framework

To take part in competitive auctions, you must be a GEMM and also a participant in our SMF as a gilt-purchase OMO participant.

To take part in the non-competitive element of the auction you cannot be a gilt-purchase OMO participant, but you must still be a GEMM and appropriately authorised under the Financial Services and Markets Act (or equivalent regulation)

Only one firm within a group can take part in the auctions, unless you undertake different kinds of activity, for example banking and asset management.

To apply, complete the application form and email to applications@bankofengland.co.uk.

Apply to take part in APF Corporate Bond Purchase Scheme operations

To take part in the Corporate Bond Purchase Scheme, we must be satisfied that you are a market maker in investment-grade sterling denominated corporate bonds. You must also be a participant in the Sterling Monetary Framework for open market operations.

To apply, complete the expression of interest form and email it to applications@bankofengland.co.uk.

You also need to complete the operation contacts and settlement information form and send it to BPIMarketSettlement@bankofengland.co.uk.

If your application is successful, you will have to sign an Admission Letter agreeing to the terms and conditions.

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This page was last updated 09 October 2020
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