Section 140

Objective 2 is to— rescue the residual bank as a going concern (“Objective 2(a)”), or achieve a better result for the residual bank's creditors as a whole than would be likely if the residual bank were wound up without first being in bank administration (“Objective 2(b)”). In pursuing Objective 2 a bank administrator must aim to achieve Objective 2(a) unless of the opinion either— that it is not reasonably practicable to achieve it, or that Objective 2(b) would achieve a better result for the residual bank's creditors as a whole. In pursuing Objective 2(b) in bank administration following transfer to a resolution company, the bank administrator may not realise any asset unless— the asset is on a list of realisable assets agreed between the bank administrator and the Bank of England, or the Bank of England has given an Objective 1 Achievement Notice.

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Source: legislation.gov.uk · retrieved 2026-09-04