Line4

1 min readBlockingBank of England banking taxonomy 4.1.1Updated 11 November 2026

Leverage ratio calculation (LRCalc): a value must not be less than another (LV47.00.00.01, Bank of England check boe_b0010)

A blocking check on the leverage ratio calculation (LRCalc) template (LV47.00.00.01), in the leverage ratio (LVR001) return.

Line4 Check runs it on the leverage ratio (LVR001) return, proven on test files, check by check: the same outcome on all eight test files of that return.

Check your file for this ruleWhat to do if it fails

The rule in plain words

The absolute value of the amount reported in row 0120 must be less than or equal to the derivatives exposure under the original exposure method reported in row 0110 of this column.

In each of "LR Exposure: Reporting reference date" (column 0010) and "Daily/Monthly Average over the reporting quarter (LREQ firms only)" (column 0020) of Leverage ratio calculation (LRCalc) (LV47.00.00.01): "Derogation for derivatives: Original exposure method" (row 0110) must not be less than the size of "(-) Exempted CCP leg of client-cleared trade exposures (original exposure method)" (row 0120) (ignoring its sign).

The headline gives only the template and the kind of check, because the rule is too long to say in a headline. The plain words above say all of it.

What to do if your return fails it

  1. 01Open the table below and find the cells the rule reads.
  2. 02Compare the values in your return. If the first is smaller than it may be, one of them is wrong: check both before you change either.
  3. 03The Bank of England allows a small rounding difference, worked out from the decimals each value is reported with.
  4. 04It runs only when your filing indicators mark LV47.00.00 as reported.
  5. 05This is a blocking check. A return that fails it is normally rejected, so fix it before you submit.

The cells it reads

Leverage ratio calculation (LRCalc) (LV47.00.00.01)

Rows

  • R0110Derogation for derivatives: Original exposure method
  • R0120(-) Exempted CCP leg of client-cleared trade exposures (original exposure method)

Columns

  • C0010LR Exposure: Reporting reference date
  • C0020Daily/Monthly Average over the reporting quarter (LREQ firms only)

Which returns it applies to

Line4 Check runs it on the leverage ratio (LVR001) return on Bank of England banking taxonomy 4.1.1. The Bank of England applies it to leverage ratio (LVR001) returns, as a blocking check.

The Bank’s own words and formula

The first paragraph of the plain words above is the Bank of England’s own, word for word, from its list of validations. The second spells out its formula, with each cell named from its templates.

Show the formulaShow

The Bank of England's formula. Cells are written as {t: table, r: row, c: column}.

{t: LV47.00.00.01, r: 0110} >= abs({t: LV47.00.00.01, r: 0120})

Where it applies, in the Bank's words (its scope):

scope({t: LV47.00.00.01, c:0010;0020, f: banking, fv: leverage_ratio})

Every PRA banking rule on LV47.00.00.01

Checks like this one, run at the point of submission, are the first step to real-time supervision. Line4 builds SupTech software for financial regulators that runs checks like these as each return arrives.