The Xenopus U2 gene PSE is a single, compact, element required for transcription initiation and 3' end formation.

The proximal sequence element (PSE) of a Xenopus U2 snRNA gene has been analysed by extensive local mutagenesis. The PSE is compact, lying between -61 and -50 bp upstream of the transcription start site and is involved in signalling both transcription initiation and 3' end formation. No PSE mutants were found in which these two activities were differentially affected. Analysis of U2 gene promoters mutant in both the PSE and DSE failed to reveal any evidence for multiple signals involved in 3' end formation, leading to the conclusion that the PSE is the only promoter element required for this function. The U2 and U6 PSEs, which direct either pol II or both pol II and pol III transcription respectively, are shown to be functionally interchangeable. Apparent differences in human and Xenopus U2 gene PSE structure are discussed.