The rule in plain words
Output Floor multiplier should be limited to 55, 60, 65, 70, 72.5
In column "Output Floor" (0030) of Own funds requirements (CA2) (OF02.00.01.01): either "Output floor multiplier" (row 0035) equals 0.55, or "Output floor multiplier" (row 0035) equals 0.60, or "Output floor multiplier" (row 0035) equals 0.65, or "Output floor multiplier" (row 0035) equals 0.70, or "Output floor multiplier" (row 0035) equals 0.725.
This is a blocking check. A return that fails it is normally rejected, so fix it before you submit. It runs only when your filing indicators mark OF02.00.01 as reported.
The cells it reads
Own funds requirements (CA2) (OF02.00.01.01)
Row
- R0035Output floor multiplier
Column
- C0030Output Floor
Which returns it applies to
Line4 Check runs it on the own funds (PRA001) return on Bank of England banking taxonomy 4.1.1. The Bank of England applies it to own funds (PRA001) 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 formulaShowHide
The Bank of England's formula. Cells are written as {t: table, r: row, c: column}.
({t: OF02.00.01.01, r: 0035, c: 0030} = 0.55) or ({t: OF02.00.01.01, r: 0035, c: 0030} = 0.60) or ({t: OF02.00.01.01, r: 0035, c: 0030} = 0.65) or ({t: OF02.00.01.01, r: 0035, c: 0030} = 0.70) or ({t: OF02.00.01.01, r: 0035, c: 0030} = 0.725)Other rules on Own funds requirements (CA2) (OF02.00.01.01)
- Own funds requirements (CA2): a conditional check (boe_b0383)
- Own funds requirements (CA2): a conditional check (boe_b0560)Blocking
- Own funds requirements (CA2): a conditional check (boe_b0561)Blocking
- Own funds requirements (CA2): total RWEA should be the same for the relevant exposure class across the templates (boe_b0563)Blocking
- Own funds requirements (CA2): total RWEA should be the same for the relevant exposure class across the templates (boe_b0564)Blocking
- Own funds requirements (CA2): a conditional check (boe_b0565)
- Aggregates provided in OF02.01 and OF02.00 should be consistent (boe_b0615)
- Own funds requirements (CA2): total RWEA should be the same for the relevant exposure class across the templates (boe_b0616)Blocking
Every PRA banking rule on OF02.00.01.01
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.