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

"Transactions to hedge changes in any index of price of shares" must not be less than "Of which: Derivatives" (SR808.01.08.04, Bank of England check boe_b1081_m)

A warning on the excluded activities and prohibitions Risk management transactions Part 4: Exposure to Financial Institutions - for hedging risk (articles 14(2), 14(3) and 14(5)) template (SR808.01.08.04), in the excluded activities and prohibitions (RFB008) return.

Line4 Check runs it on the excluded activities and prohibitions (RFB008) 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

In column "Current period" (column 010) of Excluded activities and prohibitions Risk management transactions Part 4: Exposure to Financial Institutions - for hedging risk (articles 14(2), 14(3) and 14(5)) (SR808.01.08.04): "Transactions to hedge changes in any index of price of shares" (row 370) must not be less than "Of which: Derivatives" (row 380).

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. 03It runs only when your filing indicators mark SR808.01.08 as reported.
  4. 04This is a warning. It does not stop the return on its own, but your supervisor may ask you to explain it.

The cells it reads

Excluded activities and prohibitions Risk management transactions Part 4: Exposure to Financial Institutions - for hedging risk (articles 14(2), 14(3) and 14(5)) (SR808.01.08.04)

Rows

  • R370Transactions to hedge changes in any index of price of shares
  • R380Of which: Derivatives

Column

  • C010Current period

Which returns it applies to

Line4 Check runs it on the excluded activities and prohibitions (RFB008) return on Bank of England banking taxonomy 4.1.1. The Bank of England applies it to excluded activities and prohibitions (RFB008) returns, as a warning.

The Bank’s own words and formula

The plain words above spell out the Bank’s formula, with each cell named from its templates. In the Bank of England’s list of validations, word for word:

boe_b1081_m: T1: SR808.01.08.04; columns: {SR808.01.08.04, c010}; Expression: {SR808.01.08.04, r370} >= {SR808.01.08.04, r380}
Show the formulaShow

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

{t: SR808.01.08.04, r: 370} >= {t: SR808.01.08.04, r: 380}

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

scope({t: SR808.01.08.04, c: 010, seq: False, f: banking, fv: structural_reform})

Every PRA banking rule on SR808.01.08.04

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.