Balance sheet and own funds: values must agree (IR.02.01, IR.23.01, Bank of England rule IR_bv0836)

The rule in plain words

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.

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 IR.02.01 and IR.23.01 as reported.

The cells it reads

Which returns it applies to

Line4 Check runs it on annual solo (ARS) return on Bank of England taxonomy 2.2.0. The Bank of England applies it to annual solo (ARS) returns, as a blocking check.

The Bank’s own words and formula

In the Bank of England’s list of validations, word for word:

The "Total" value of "Reconciliation Reserve/Other basic own fund items" figure reported into the template IR.23.01 - Own funds should be equal to the sum of item "Ordinary share capital (gross of own shares)", "Share premium account related to ordinary share capital"," Initial funds, members' contributions or the equivalent basic own funds item for mutual and mutual type undertakings", "Subordinated mutual members accounts", "Surplus funds", "Preference shares", "Share premium account related to preference shares", "Equity- and liability-accounted subordinated instruments", "An amount equal to the value of net deferred tax assets" and "Other own fund items approved by the supervisory authority as basic own funds not specified above", minus "Subordinated liabilities in Basic Own Funds" as reported into IR.02.01.

Other rules on Balance sheet (IR.02.01)

Every Solvency UK rule on IR.02.01

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.