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2 min readBlockingBank of England taxonomy 2.2.0Updated 11 November 2026

Own funds: a total must equal the sum of its parts (IR.23.01, Bank of England rule IR_bv2037)

A blocking check on the own funds template (IR.23.01), in the quarterly solo (QRS) and annual solo (ARS) returns.

Check your file for this ruleWhat to do if it fails

The rule in plain words

The item "Tier 3" value of the "Total basic own funds after deductions" reported in Own funds (IR.23.01.01.01) should be equal to the sum of the items reported above

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  3. 03If they differ, a part is missing, a value sits in the wrong cell, or the total is out of date.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 IR.23.01 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

Own funds (IR.23.01.01.01)

Rows

  • R0050Subordinated mutual member accounts
  • R0090Preference shares
  • R0110Share premium account related to preference shares
  • R0140Equity- and liability-accounted subordinated instruments
  • R0160An amount equal to the value of net deferred tax assets
  • R0180Other own fund items approved by the supervisory authority as basic own funds not specified above
  • R0290Total basic own funds

Column

  • C0050Tier 3

A worked example

With simple numbers.

Illustrative values
Subordinated mutual member accounts1,200
Preference shares800
Share premium account related to preference shares450
Equity- and liability-accounted subordinated instruments300
An amount equal to the value of net deferred tax assets150
Other own fund items approved by the supervisory authority as basic own funds not specified above100
Together3,000
What the rule then expects

Total basic own funds must then be 3,000.

3,000Passes
3,100Fails

A file that reports 3,000 passes. One that reports 3,100 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 quarterly solo (QRS) and annual solo (ARS) returns on Bank of England taxonomy 2.2.0. The Bank of England applies it to quarterly solo (QRS) and 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 item "Tier 3" value of the "Total basic own funds after deductions" reported in IR.23.01.01.01 - Own funds should be equal to the sum of the items reported above.
Show the formulaShow

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

{t: IR.23.01.01.01, r: R0290, c: C0050, z: Z0001} = {t: IR.23.01.01.01, r: R0050, c: C0050, z: Z0001} + {t: IR.23.01.01.01, r: R0090, c: C0050, z: Z0001} + {t: IR.23.01.01.01, r: R0110, c: C0050, z: Z0001} + {t: IR.23.01.01.01, r: R0140, c: C0050, z: Z0001} + {t: IR.23.01.01.01, r: R0160, c: C0050, z: Z0001} + {t: IR.23.01.01.01, r: R0180, c: C0050, z: Z0001}

Every Solvency UK rule on IR.23.01

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.