Market Link Guide – UK debt securities
Key features
CSD link as defined under CSDRa | Yes |
Type of link | Direct |
a. CSD Regulation (EU) No 909/2014, Article 2(29).
CSD | |
Name | Euroclear UK and International Ltd (EUI) |
FATCA GIIN | IWVIDJ.99999.SL.826 |
LEI | 549300M5MYAD51WHJD55 |
Country of incorporation | UK |
Account type | Omnibus account |
Legal account name/holder | Clearstream Banking S.A. |
Operational arrangements
| Yes/No | Remarks | |
| Settlement in T2S | No | |
| Settlement free of payment | Yes | |
| Settlement against payment | Yes | Eligible settlement currency: British Pound (GBP) and Euro (EUR). |
| Settlement against payment in central bank money account of CBL/CBL customer | No | Against payment settlement in GBP and EUR takes place on the cash account of Barclays Bank at the Bank of England. |
| Bridge settlement | Yes | |
| Shaping facility | No | |
| Partial settlement | Yes | See Settlement services. |
| Settlement penalty fees | Yes | See Settlement services. |
| Pre-matching | Yes | Delivery instructions only. |
| Back-to-back processing | No | |
| Allegements | No | |
| Automatic compensation | Yes | |
| Registered securities | Yes | |
| Multi Market Securities | No | |
| Lending and borrowing | Yes | Only UK gilts (except partly paid gilts). |
| Proxy voting | No | |
| Investment Funds | No | |
| Liquidity Hub Connect | No | |
| Sale and purchase of rights | No | |
| Repo services | Yes | |
| Market restrictions | No | |
| FTT | No | |
| Miscellaneous | Yes | Gilts physical deposits possible; Decimals possible. |
| Daily reconciliation | Yes | |
| Link eligible for use in Eurosystem credit operations | No |
Moment of entry of instructions | The moment a transfer order enters CREST is when the CREST settlement instruction is received by the CREST system |
Irrevocability of instructions | The moment when the transfer order becomes irrevocable is the point at which the CREST transaction is no longer capable of being amended or deleted by a single party to the transaction (once the CREST transaction is matched). |
Finality of instructions | A transfer of securities takes place when the transferor's account is debited and the transferee's account is credited with securities (this transfer might be without payment or against a payment that occurs in the relevant CREST cash accounts of each party). At the same time transferee's account has been credited, legal title passes and can be said to be final. |
Legal arrangements
The below section is based on the legal opinion obtained by CBL that was issued on 29 June 2023. The information is provided for guidance only and should not be considered in isolation or as constituting a complete or definitive legal advice on any specific matter.
No insolvency proceedings against the CSD | Confirmed |
Liability for negligence | Confirmed |
Book-entry regime with in rem rights | Confirmed |
Recognition as direct CSD account-holder | Confirmed |
Recognition of nominee concept | Confirmed |
No right of retention for the CSD | Confirmed |
Segregation of assets at the CSD | Confirmed |
No right of use | Not applicable, as no such restriction applies. EUI does not act as a custodian but as an operator of a CSD and such obligation on EUI would be inappropriate in light of its role. |
No upper-tier attachments | As long as the substantive law applicable to the relevant securities remains English law, then an upper tier attachment should not occur but is subject to the discretion of the English court. |
Insolvency of CSD with no impact on CBL's rights | Confirmed |
Shortfall pro-rated among holders | Shortfalls cannot arise at the level of accounts maintained in CREST. If a shortfall arises as the result of the CSD’s negligence, wilful default or fraud and CBL suffers loss, the CSD will be liable to CBL. |
Settlement finality in case of insolvency | Confirmed |
Record keeping period of at least 10 years | EUI is currently not subject to such obligation and will be under such obligation once having obtained its authorisation under CSDR. |