(1) This regulation applies if -

(a) either condition A, B or C is satisfied; and

(b) condition D is satisfied.

(2) Condition A is that the PRA proposes to exercise the power in regulation 3 to modify an EU Regulation specified in Part 4 of the Schedule, and the PRA -

(a) proposes, in modifying the EU Regulation, to make separate provision for -

(i) PRA-authorised persons (within the meaning of section 2B(5) of the Financial Services and Markets Act 2000);

(ii) persons connected to them; or

(iii) a specified category of persons within paragraph (i) or (ii), or

(b) considers that the EU Regulation may need to be modified to make such provision in future (whether under the power in regulation 3 or otherwise).

(3) Condition B is that the Bank of England proposes to exercise the power in regulation 3 to modify an EU Regulation specified in Part 5 of the Schedule, and the Bank of England -

(a) proposes, in modifying the EU Regulation, to make separate provision for -