Standard Settlement Instructions
We provide a set of Standard Settlement Instructions to make sure that your collateral settlement instructions are able to pass quickly through Bank of England systems and out to the market. This enables faster processing and timelier collateral settlement, resulting in quicker advances of cash, gilts or Treasury bills (T-bills) to you.
Our securities settlement instructions set out the Standard Settlement Instructions for the following operations:
- settlement of securities collateral in relation to the Sterling Monetary Framework, Funding for Lending Scheme and other official operations and our Term Funding Scheme
- account details for the settlement of:
- cash settlement instructions for sterling and US dollars.
Collateral settlement templates
Operational static data
Participants in our operations must provide us with static data to allow us to process securities and cash transactions and to select certain options for reporting.
We will request this data when you apply to become a new participant or if you are an existing participant applying for a new operation.
Changing your static data
We recognise that your static data may change from time to time. It is important that you notify us of any changes using the data collection form in good time.
All updates will be made as soon as possible, or on the ‘effective date’ if you have specified this on the form. However, please allow up to three days for us to complete updates. We will try to make any amendments required sooner than this on a reasonable endeavours basis.
Please follow the instructions on the data collection form and make sure that it is signed by the correct authorised signatories according to your institution’s authorised signatory list. Email your completed form and your authorised signatory list to firstname.lastname@example.org. The authorised signatory list should include:
- The full name of the participating institution.
- The effective date of the list.
- Certification by the company secretary (or equivalent person able to certify) that the signatures are true and authentic.
- Whether each authorised signatory can act alone or if joint signatories are required.
We will assume that the list you provide is valid and up to date. It is your responsibility to notify us if changes need to be made to your authorised signatory list.
We will update our records based on the most recently submitted, appropriately authorised static data form. It is therefore your responsibility to ensure that any form you submit is accurate. If you fail to submit a correctly completed form in a timely manner to the email address specified, obsolete account details may be used for collateral or payment instructions.
Other Asset Purchase Facility documentation
Corporate Bond Purchase Scheme applicants should complete the operational contacts and settlement information form, and email it to BPFRDMarketSettlement@bankofengland.co.uk.
Gilt Purchases applicants should fill out the gilts data collection form.
We operate a collateral pooling model to manage collateral received to support our official operations. More detail on collateral pooling can be found in our Sterling Monetary Framework operating procedures, the term funding scheme operating procedures or in the following documents:
When we lend through our market operations, either on our own behalf or as agent for the Bank of England Asset Purchase Facility Limited (BEAPFF), we lend against collateral put up by firms. This collateral has to be of good enough quality that we can sell or keep it if a counterparty fails to repay us.
We have high-level eligibility criteria which set a baseline for the credit quality and liquidity of the collateral we’ll accept.
The table below sets out which levels of collateral are eligible for which operation or facility:
|Collateral||Level A||Level B||Level C|
|Operational Standing Facilities||Y||N||N|
|Short-Term Repo OMOs||Y||N||N|
|Indexed Long-Term Repo OMOs||Y||Y||Y|
|Discount Window Facility||Y||Y||Y|
|Contingent Term Repo Facility||Y||Y||Y|
|Funding for Lending Scheme||Y||Y||Y|
|Term Funding Scheme||Y||Y||Y|
More information is available in the Sterling Monetary Framework.