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

Exposure value post adjustments is the sum of the adjustments and the exposure value pre-conversion factors (OF07.00.01.05, Bank of England check boe_b0708_2)

A blocking check on the credit and counterparty credit risks and free deliveries: standardised approach to capital requirements (CR SA) - Memorandum items - Retail and real estate exposures - subject to the currency mismatch multiplier template (OF07.00.01.05), in the own funds (PRA001) return.

Line4 Check runs it on the own funds (PRA001) return, proven on test files, check by check: the same outcome on all three test files of that return.

Check your file for this ruleWhat to do if it fails

The rule in plain words

Exposure value post adjustments is the sum of the adjustments and the exposure value pre-conversion factors

In row "Retail and real estate exposures - subject to the currency mismatch multiplier" (0380) of Credit and counterparty credit risks and free deliveries: standardised approach to capital requirements (CR SA) - Memorandum items - Retail and real estate exposures - subject to the currency mismatch multiplier (OF07.00.01.05): "Exposure net of value adjustments, provisions and on-balance sheet netting" (column 0040) must equal the sum of "Original exposure pre conversion factors" (column 0010), "(-) Value adjustments and provision associated with the original exposure" (column 0030) and "(-) Adjustment to exposure value due to on-balance sheet netting" (column 0035).

What to do if your return fails it

  1. 01Open the table below and find the cells the rule reads.
  2. 02Add up the parts in your return and compare the result with the total.
  3. 03If they differ, a part is missing, a value sits in the wrong cell, or the total is out of date.
  4. 04The Bank of England allows a small rounding difference, worked out from the decimals each value is reported with.
  5. 05It runs only when your filing indicators mark OF07.00.01 as reported.
  6. 06This is a blocking check. A return that fails it is normally rejected, so fix it before you submit.

The cells it reads

Credit and counterparty credit risks and free deliveries: standardised approach to capital requirements (CR SA) - Memorandum items - Retail and real estate exposures - subject to the currency mismatch multiplier (OF07.00.01.05)

Row

  • R0380Retail and real estate exposures - subject to the currency mismatch multiplier

Columns

  • C0010Original exposure pre conversion factors
  • C0030(-) Value adjustments and provision associated with the original exposure
  • C0035(-) Adjustment to exposure value due to on-balance sheet netting
  • C0040Exposure net of value adjustments, provisions and on-balance sheet netting

Sheets

  • S0001Total (SA exposures)
  • S0009Retail
  • S0010Real estate exposures

A worked example

With simple numbers.

Illustrative values
Original exposure pre conversion factors1,200
(-) Value adjustments and provision associated with the original exposure800
(-) Adjustment to exposure value due to on-balance sheet netting450
Together2,450
What the rule then expects

Exposure net of value adjustments, provisions and on-balance sheet netting must then be 2,450.

2,450Passes
2,550Fails

A file that reports 2,450 passes. One that reports 2,550 fails, by 100.

The numbers are illustrative, reported to the unit, so the rounding tolerance does not change the result.

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 formulaShow

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

{t: OF07.00.01.05, r: 0380, c: 0040} = {t: OF07.00.01.05, r: 0380, c: 0010} + {t: OF07.00.01.05, r: 0380, c: 0030} + {t: OF07.00.01.05, r: 0380, c: 0035}

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

scope({t: OF07.00.01.05, z:0001;0009;0010, f: banking, fv: banking_reporting})

Every PRA banking rule on OF07.00.01.05

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.