Interest Payments Discretionary

The Issuer shall be entitled at its full discretion to cancel (in whole or in part) any amounts of interest otherwise payable in respect of the Securities on any date. Unless otherwise specified, references in these Conditions to a payment of interest being "cancelled" (and similar references) shall include cancellation by reason of it not being due in accordance with Condition 2(b) (Subordination – conditions to payment), the cancellation of such payment of interest (or relevant part thereof) in accordance with Condition 5(b) (Restrictions on Interest Payments) or 9(g) (Accrued Interest following Capital Adequacy Trigger) or, as appropriate, the Issuer's exercise of its discretion otherwise to cancel such payment of interest (or relevant part thereof) in accordance with this Condition 5(a).

If the Issuer does not make any such payment of interest (or any part thereof) on the relevant date for payment, such non-payment shall evidence the non-payment and cancellation of such payment of interest (or relevant part thereof) and accordingly such interest shall not in any such case be due and payable.

Non-cumulative

Any payment of interest (or relevant part thereof) which is cancelled shall not become due and shall not accumulate or be payable at any time after its cancellation, and Securityholders shall have no rights in respect thereof and any such cancellation or non-payment (in whole or in part) shall not constitute a default or event of default on the part of the Issuer for any purpose.

Restrictions on Interest Payments

Without prejudice to (1) Condition 5(a) (Interest Payments Discretionary) above or (2) the prohibition contained in Chapter 4 of the "CRR Firms – Capital Buffers" Part of the PRA Rulebook (or any succeeding provision(s) amending or replacing such chapter) ("Chapter 4") on the making of payments on the Securities before the Maximum Distributable Amount has been calculated, if and to the extent that on any date on which interest is payable in respect of the Securities:

(i) the amount of Relevant Distributions relating to such date exceeds the amount of Distributable Items; or
(ii) the aggregate of (A) the relevant interest amount payable in respect of the Securities and (B) the amounts of any distributions of the kind referred to in Rule 4.3(2) of Chapter 4 (or any succeeding provision amending or replacing such rule) exceeds the Maximum Distributable Amount (if any) applicable to the Issuer as of such date; or
(iii) the Lead Regulator applicable to the Issuer orders the Issuer to cancel (in whole or in part) the interest otherwise payable on such date, the Issuer shall cancel (in whole or, as the case may be, in part) the interest otherwise payable on such date.

Redemption at the Option of the Issuer

Subject to Condition 2(b) (Subordination – conditions to payments), Condition 6(g) (Capital Adequacy Trigger Notice) and Condition 6(i) (Supervisory Consent), where this Condition 6(c) is stated to be applicable in the relevant Pricing Supplement, Securities shall be redeemable at the option of the Issuer. In such case, the Issuer may, on any Call Option Date(s) specified in the relevant Pricing Supplement, on giving (in accordance with Condition 14 (Notices)) not less than 30 nor more than 60 days' notice to the Securityholders (or such other period specified in the relevant Pricing Supplement) (which notice shall, subject to Conditions 2(b) (Subordination – conditions to payment) and 6(g) (Capital Adequacy Trigger Notice), be irrevocable) specifying the date fixed for such redemption, subject to Conditions 2(b) (Subordination – conditions to payment) and 6(g) (Capital Adequacy Trigger Notice), redeem all of such Securities (or, if so specified in the relevant Pricing Supplement and subject as therein specified, some only of the Securities) at their Early Redemption Amount (Call) or such other redemption amount as set out in the relevant Pricing Supplement together with (to the extent not cancelled pursuant to these Conditions) interest accrued and unpaid thereon, if any, to the date fixed for redemption.

Call Option Date(s): Any Business Day during the periods commencing on (and including) the date falling six months prior to each of: (i) the First Reset Date, (ii) the Second Reset Date and (iii) any Subsequent Reset Date, and ending on (and including) such reset date.

First Reset Date: The Resettable Security Interest Payment Date falling on 14 December 2029

Second Reset Date: The Resettable Security Interest Payment Date falling on 14 December 2034

Subsequent Reset Dates: The Resettable Security Interest Payment Date falling on 14 December 2039 and thereafter each Resettable Security Interest Payment Date falling on 14 December in each year falling 5 years after the immediately preceding Subsequent Reset Date