(1) Subject to any rules made by the FCA or the PRA under the Act, a ring-fenced body may incur a financial institution exposure where the exposure concerned -

(a) arises in any of the circumstances set out in paragraphs (2) to (5), or

(b) is permitted under paragraph (6).

(2) The exposure arises in consequence of the provision -

(a) by the ring-fenced body of payment services to its customers in the United Kingdom or any other country;

(b) by the ring-fenced body to the relevant financial institution of -

(i) operational services, including in particular information technology, human resources or payment services,

(ii) services as a trustee or agent in connection with a syndicated loan to an undertaking which is not a relevant financial institution;

(iii) services as a trustee or agent in connection with a syndicated invoice discounting or factoring arrangement pursuant to which payment is advanced to any entity which is not a relevant financial institution, or