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2 min readBlockingBank of England taxonomy 2.2.0Updated 11 November 2026

Minimum capital requirement - both life and non-life activity: a total must equal the sum of its parts (IR.28.02, Bank of England rule IR_bv0865)

A blocking check on the minimum capital requirement - both life and non-life activity template (IR.28.02), in the annual solo (ARS) return.

Check your file for this ruleWhat to do if it fails

The rule in plain words

The Notional linear MCR (Life) reported in Minimum Capital Requirement (IR.28.02) - Both life and non-life insurance activity should be calculated in accordance with Article 252 (9) of Delegated Regulation (EU) 2015/35

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 tables 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  3. 03If they differ, a part is missing, a value sits in the wrong cell, or the total is out of date.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 IR.28.02 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

Minimum capital requirement - both life and non-life activity - MCR components (IR.28.02.01.01)

Row

  • R0010Linear formula component for non-life insurance and reinsurance obligations

Column

  • C0020MCR(NL, L)Result

Minimum capital requirement - both life and non-life activity - linear formula component for life insurance and reinsurance obligations (IR.28.02.01.03)

Row

  • R0200Linear formula component for life insurance and reinsurance obligations

Column

  • C0080MCR(L, L) Result

Minimum capital requirement - both life and non-life activity - notional non-life and life MCR calculation (IR.28.02.01.06)

Row

  • R0500Notional linear MCR

Column

  • C0150Life activities

A worked example

With simple numbers.

Illustrative values
Linear formula component for non-life insurance and reinsurance obligations, MCR(NL, L)Result1,200
Linear formula component for life insurance and reinsurance obligations, MCR(L, L) Result800
Together2,000
What the rule then expects

Notional linear MCR, Life activities 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 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 Notional linear MCR (Life) reported in IR.28.02 - Minimum Capital Requirement - Both life and non-life insurance activity should be calculated in accordance with Article 252 (9) of Delegated Regulation (EU) 2015/35.
Show the formulaShow

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

{t: IR.28.02.01.06, r: R0500, c: C0150, z: Z0001} = {t: IR.28.02.01.01, r: R0010, c: C0020} + {t: IR.28.02.01.03, r: R0200, c: C0080}

Every Solvency UK rule on IR.28.02

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.