SMF Application Form -
for applicants wishing to become participants in the Bank of
England’s Sterling Monetary Framework facilities
Notes for applicants on the application process
1. Applicants should be aware that there are a number of defined steps required to meet the Bank’s Eligibility
Criteria and become a participant in the Sterling Monetary Framework (SMF). Many of these steps involve
action by the applicant and the application process will vary depending on your particular circumstances,
operational readiness and the outcome of the Bank’s risk assessment so the time taken for each application
will be different. Admission is at the sole discretion of the Bank, and any work undertaken or expense
incurred is at the applicant’s own risk and does not guarantee entry. The Bank will provide a key contact
name in managing the application process and encourages a regular dialogue throughout.
2. The Bank may require other entities within the applicant’s group to provide a guarantee in respect of the
applicant’s obligations to the Bank. Such a guarantee must conform with the pro forma guarantee published
by the Bank on its website:
Bank may seek a legal opinion in respect of the guarantee which must conform with the pro forma legal
opinion on the guarantee published by the Bank on its website.
3. The Bank will require applicants incorporated outside of the UK to provide a legal opinion from a suitably
qualified and experienced in-house or external lawyer on its constitutional capacity to be a Participant; and
the Bank may require the provision by the applicant of a legal opinion on the enforceability of the SMF
Documentation under its home country law by a suitably qualified and experienced external lawyer. The
Bank will notify the applicant when it requires these legal opinions to be provided and these must conform
with the pro forma legal opinions published by the Bank on its website.
4. The Bank strongly encourages SMF applicants and Participants to adhere to the UK Money Markets Code
and any other guidelines, such as the FX Global Code, which are relevant to the Participant’s activities.
5. Institutions that are not required to place Cash Ratio Deposits with the Bank, will be required to pay a fee
every six months as a condition of their participation in the SMF facilities, as set out in the SMF Operating
Procedures Section 2.
Please provide the following information together with this Application Form:
a group structure chart of the applicant’s group including all main holding companies and subsidiaries
of the applicant company, and fellow subsidiaries;
an organisation chart, including individual names and job titles, which shows all lines of reporting
applicable to the relevant sections of the applicant; and
a copy of the latest annual report and accounts of the applicant and of its holding company/group and
of any company which does or will guarantee the obligations of the applicant. (It is acceptable to refer to
the location of such information on a website)