(1) This article applies in relation to a relevant group.

(2) The Bank may waive the application of Chapter 4 in relation to a UK parent institution where it -

(a) complies with the minimum consolidated requirement determined in accordance with Chapter 2; and

(b) benefits from the exercise of the discretion laid down in Article 7.3 of the capital requirements regulation.

(3) The Bank may waive the application of Chapter 4 in relation to a group institution which is a group subsidiary where -

(a) both the institution and its parent undertaking are UK authorised persons;

(b) the supervision of the institution by the PRA or FCA ("the regulator") is part of the supervision on a consolidated basis of the parent undertaking in accordance with the capital requirements regulation and CRR rules;