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

Memorandum Items (CA4): a total must equal the sum of its parts (CP04.00.04.01, Bank of England check v0238-1_m)

A blocking check on the memorandum Items (CA4) template (CP04.00.04.01), in the capital+ actuals and forecasts (PRA112) return.

Line4 Check runs it on the capital+ actuals and forecasts (PRA112) 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 reporting month" (0010) of Memorandum Items (CA4) (CP04.00.04.01): "Synthetic holdings of T2 capital of financial sector entities where the institution does not have a significant investment" (row 0431) must equal the sum of "Gross synthetic holdings of T2 capital of financial sector entities where the institution does not have a significant investment" (row 0432) and "(-) Permitted offsetting short positions in relation to the synthetic gross holdings included above" (row 0433).

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. 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  3. 03If they differ, a part is missing, a value sits in the wrong cell, or the total is out of date.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 CP04.00.04 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

Memorandum Items (CA4) (CP04.00.04.01)

Rows

  • R0431Synthetic holdings of T2 capital of financial sector entities where the institution does not have a significant investment
  • R0432Gross synthetic holdings of T2 capital of financial sector entities where the institution does not have a significant investment
  • R0433(-) Permitted offsetting short positions in relation to the synthetic gross holdings included above

Column

  • C0010Current reporting month

A worked example

With simple numbers.

Illustrative values
Gross synthetic holdings of T2 capital of financial sector entities where the institution does not have a significant investment1,200
(-) Permitted offsetting short positions in relation to the synthetic gross holdings included above800
Together2,000
What the rule then expects

Synthetic holdings of T2 capital of financial sector entities where the institution does not have a significant investment must then be 2,000.

2,000Passes
2,100Fails

A file that reports 2,000 passes. One that reports 2,100 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 capital+ actuals and forecasts (PRA112) return on Bank of England banking taxonomy 4.1.1. The Bank of England applies it to capital+ actuals and forecasts (PRA112) returns, as a blocking check.

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:

[v0238-1_m];[{t: CP04.00.04.01, r: 0431, c: 0010} = {t: CP04.00.04.01, r: 0432, c: 0010} + {t: CP04.00.04.01, r: 0433, c: 0010}]
Show the formulaShow

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

{t: CP04.00.04.01, r: 0431, c: 0010} = {t: CP04.00.04.01, r: 0432, c: 0010} + {t: CP04.00.04.01, r: 0433, c: 0010}

Every PRA banking rule on CP04.00.04.01

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.