The cessation of compliance with the conditions outlined in Article 63 for a Tier 2 instrument triggers immediate consequences. Firstly, the instrument will no longer retain its status as a Tier 2 item, which implies a shift in its regulatory standing and implications for capital adequacy.

Furthermore, any corresponding portion of the share premium accounts associated with the non-compliant instrument will also lose its classification as a Tier 2 asset. These developments underscore the importance of continual monitoring and adherence to regulatory requirements to sustain compliance and capital integrity.