Member

First, it is important to draw a distinction between what is necessary to achieve resolution in the public interest and what may minimise costs for the Financial Services Compensation Scheme. The risk is that this amendment could lead the Bank of England to consider drawing down less than may be appropriate to sustain market confidence in the firm in resolution and meet the other special resolution objectives. Further, adding this objective may make it more challenging to meet the resolution conditions when using the new mechanism, which could deter use of the mechanism in the first place, even where it was justified and in the public interest.