Friendly Societies Act 1974

In section 2(5) of the said Act, after the words “1929”there shall be inserted the words “ or by any registered friendly society in exercise of any power conferred by Paragraph (2)(d) of Schedule I to the Friendly Societies Act 1974 or Paragraph 2 of Schedule 6 to that Act ”.

8

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

9

In section 10 of the said Act, in subsection (1) as originally enacted, for the words “one shilling”there shall be substituted the words “ ten pence ”.

10

• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) In section 11 (2) of the said Act, after the words “this Act”there shall be inserted the words “ and of the said Act of 1974 ”.

11

In section 12(2) of the said Act, the words “A collecting society and”shall be omitted and at the end of the subsection there shall be inserted the words “ and a collecting society shall cause to be set out, in every premium receipt book provided by them after the coming into operation of the Friendly Societies Act 1974 for use in respect of policies of industrial assurance the matters specified in that Schedule relating to the provisions mentioned in that Schedule of the Act of 1923, of this Act, of the said Act of 1974 and of regulations made for the purposes of the said section 8 ”.

12

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

13

In section 23(1)(a) of the said Act, for the words “section eight of the Act of 1896”there shall be substituted the words “ Schedule I to the Friendly Societies Act 1974 ”, and after the words “that Act”there shall be inserted the words “ or the Friendly Societies Act 1896 ”.

14

In Schedule I to the said Act—

• (a) in paragraph 3, for the words “such society or company”and the words in sub-paragraph (b) “society or company”there shall be substituted the words “ company or by a registered friendly society ”;

• (b) for paragraph 4 there shall be substituted the following paragraph—

(4) The provisions of paragraphs 4, 5, 8, 9 and I0 of Schedule 5 to the Friendly Societies Act 1974 shall apply in relation to certificates of death for the purposes of this Schedule and the issue of duplicates thereof

and

• (c) in paragraph 6 for the words “as mentioned in the last preceding paragraph, the society or company”there shall be substituted the words “ in accordance with regulations under paragraph 5 of Schedule 5 to the Friendly Societies Act 1974, the company ”.

15

In Schedule 3 to the said Act—

• (a) in paragraph (b), after the words “section 2”there shall be inserted the words “ (in the case of industrial assurance companies only) ”;

• (b) in paragraph (c), at the beginning there shall be inserted the words “ In the case of industrial assurance companies only ”, and at the end there shall be inserted the following paragraph—

(d) In the case of collecting societies only, as to the following provisions of the Friendly Societies Act 1974, a statement which in the opinion of the Commissioner sufficiently sets forth the effect thereof—

Section 71(1) to (4) and Schedule 6 paragraph 3	Payments on deaths of children under 10 years of age.
Sections 72 and 73(2	Insurances on life of parent or grandparent; limit on amount and prohibition of assignment or charge.
Schedule 5	Death certificates in connection with payments referred to in section 72 of that Act.

The Friendly Societies Act 1955 (4 & 5 Eliz. 2. c. 19)

16

In section 9 of the Friendly Societies Act 1955, in subsections (1) and (2) as originally enacted, and in the provision substituted for the said subsection (2) by paragraph 17 of Schedule 27 to the Social Security Act 1973, for the words “friendly society”and “society”in each place where they occur, there shall be substituted the words, “ trade union ”, and subsection (3) shall be omitted.

The Mental Health (Scotland) Act 1960 (c. 61)

17

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Industrial and Provident Societies Act 1965 (c. 12)

18

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Administration of Estates (Small Payments) Act 1965 (c. 32)

19

In section 5(1) of the Administration of Estates (Small Payments) Act 1965, after the words “of this Act”there shall be inserted the words “ or to section 66(1) and (2), 67 or 68 of the Friendly Societies Act 1974 ”.

20

In section 6 of the said Act of 1965—

• (a) in subsection (1) in paragraph (b) the word “and”where first occurring, shall be omitted, after the words “Parliamentary and other Pensions Act 1972”there shall be inserted the words “ and section 68 of the Friendly Societies Act 1974 ”and after paragraph (d) there shall be inserted the words ;

and (e) sections 66 and 67 of the said Act of 1974 (which contain provisions similar to the enactments to which section 2 of this Act relates but subject to a limit of £500)

;

• (b) in subsection (2), at the end thereof there shall be inserted the words “ and that any such order made by virtue of subsection (1)(e) of this section shall apply in relation to any nomination delivered at or sent to the appropriate office, or made in the appropriate book, after the expiration of a period of one month beginning with the date on which the order comes into force ”.

The Public Expenditure and Receipts Act 1968 (c. 14)

21

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Friendly and Industrial and Provident Societies Act 1968 (c. 55)

22

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Income and Corporation Taxes Act 1970 (c. 10)

23

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 10

1

In so far as any regulation, order, application, nomination or reference made, registration effected, acknowledgement issued, notice, report or other document given or sent or other thing done, under or by virtue of an enactment repealed by this Act could have been made, effected, issued, given, sent or done under or by virtue of the corresponding provision of this Act, it shall not be invalidated by the repeal effected by section 116(4) of this Act but shall have effect as if made, effected, issued, given, sent or done under or by virtue of that corresponding provision.

2

Without prejudice to section 116(1) of, and Schedule 9 to, this Act, where any enactment or document refers, either expressly or by implication, to an enactment repealed by this Act, the reference shall, except where the context otherwise requires, be construed as, or as including, a reference to the corresponding provision of this Act.

3

Where a period of time specified in an enactment repealed by this Act is current at the commencement of this Act, this Act shall have effect as if the corresponding provision thereof had been in force when that period began to run.

4

A conviction of an offence under an enactment repealed by this Act shall be treated for the purposes of this Act as a conviction of an offence under the corresponding provision of this Act.

5

If the rules of a registered society in force at the commencement of this Act were in force on 1st January 1909 and provide for the admission as members of persons from the minimum age authorised by the Friendly Societies Act 1896, the rules shall be construed as providing for the admission as members of persons from birth.

6

• (1) Any endowment policy issued before 1st January 1924 which would have been in force on that date if the Industrial Assurance and Friendly Societies Act 1929 had been in operation on and from the date on which the policy was issued shall be deemed for the purposes of section 75 of this Act to have been in force on 1st January 1924 and, in the case of a policy of the description mentioned in paragraph 2 of Schedule 6 to this Act, to have been issued in accordance with section 1 of the said Act of 1929, and as respects any endowment policy in force on, or issued since, 1st January 1924 and before 10th May 1929, the said Act of 1929 shall be deemed to have been in operation on and from the date on which the policy was issued.

In this sub-paragraph “endowment policy” and “policy” have the same meanings respectively as in section 75 of this Act.

• (2) This paragraph in its application to collecting societies shall be construed as one with the Industrial Assurance Acts 1923 to 1968.

7

If, immediately before the passing of this Act—

• (a) the Friendly Societies Act 1896 applied to any society or branch by virtue only of subsection (1) of section 101 of that Act, or

• (b) any provision of the rules of a friendly society or branch was valid by virtue only of subsection (2) of that section,

then, on and after the commencement of this Act, this Act shall apply to that society or branch or, as the case may require, that provision of the rules of the friendly society or branch shall continue to be valid, notwithstanding any provision of this Act to the contrary.

8

The repeal by this Act of section 2(1) of the Friendly Societies Act 1896 shall not affect the construction of any reference in any enactment passed before that Act to the barrister appointed to certify the rules of savings banks.

9

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

10

The repeal by this Act of sections 103 and 104 of the Friendly Societies Act 1896 shall not extend to those sections as they apply by virtue of section 45(3) of the Industrial Assurance Act 1923 or section 108 of the Companies Act 1967.

11

Until such time as a form for the purposes is prescribed by regulations under section 109 of this Act, for the purpose of each of the acknowledgements specified in Parts I and II of Schedule 2 to the Friendly Societies Act 1896 the appropriate form set out in those Parts of that Schedule shall be used.

12

Nothing in section 66 or section 67 of this Act shall affect the total amount payable by a registered society or branch in pursuance of a nomination which was before 5th September 1965 delivered at or sent to the registered office of the society or branch or made on a book kept at that office, and in the case of any such nomination, the said amount shall continue to be limited to £100, or, where section 5(1) of the Friendly Societies Act 1955 applied in relation to the nomination, £200.

13

Nothing in this Act shall prejudice any insurance effected before the passing of this Act in exercise of the powers conferred on registered friendly societies and branches, before the coming into force of section 1 of the Industrial Assurance and Friendly Societies Act 1948, by section 8(1)(b) of the Friendly Societies Act 1896 or section 1 of the Industrial Assurance and Friendly Societies Act 1929.

14

Nothing in this Act shall affect the continued operation, in relation to registered societies and branches, of the following provisions (which relate to the making, within limited periods, of amendments in the rules of registered societies and branches consequential on the provisions of certain enactments) namely—

• (a) section 15(2) of the Industrial Assurance and Friendly Societies Act 1948; and

• (b) section 12 of the Friendly and Industrial and Provident Societies Act 1968.

SCHEDULE 11

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

15A

• (1) On being satisfied that a branch has complied with the provisions of this Act as to registration, the FCA shall issue to that branch an acknowledgement of registration.

• (2) An acknowledgement under subsection (1) above shall be conclusive evidence that the branch in question is duly registered under this Act, unless it is proved that the registration of the society of which it is a branch has been suspended or cancelled.

• (3) An acknowledgement under subsection (1) above shall also constitute an acknowledgement, and be conclusive evidence, of the rules of the branch in force at the date of its registration.

Special provisions which may be included in rules.

30A

• (1) A registered society or branch shall not publish any revenue account or balance sheet unless it has been signed by the secretary of the society or branch and by two members of its committee acting on the committee’s behalf.

• (2) Where at the end of a registered society’s or branch’s year of account no disapplication under section 32A(1) below is in force in relation to the year, the society or branch shall not publish a year end revenue account or balance sheet unless—

• (a) it has been previously audited by the auditor or auditors last appointed to audit the accounts and balance sheet of the society or branch, and

• (b) it incorporates a report by the auditor or auditors stating whether in their opinion it complies with subsection (1), (4) or, as the case may be, (5) of section 30 above.

• (3) Where at the end of a registered society’s or branch’s year of account a disapplication under section 32A(1) below is in force in relation to the year and the society’s or branch’s turnover in the preceding year of account exceeded £90,000, the society or branch shall not publish a year end revenue account or balance sheet unless—

• (a) it is one on which the society or branch has obtained from a person appointed under subsection (2) of section 39A below a report which meets the requirements of subsection (3) of that section, and

• (b) it incorporates so much of the report as relates to it.

• (4) Where at the beginning of a year of account (in this subsection referred to as “the current year of account” a registered society or branch is subject to subsection (2) above in relation to the publication of a year end revenue account or balance sheet for the preceding year of account, it shall not publish any interim revenue account or balance sheet for the current year of account—

• (a) if a disapplication under section 32A(1) below is in force in relation to that year, unless it incorporates a report by an appropriate person stating whether in his opinion it complies with subsection (1), (3) or, as the case may be, (5) of section 30 above, and

• (b) if no disapplication under section 32A(1) below is in force in relation to that year, unless paragraphs (a) and (b) of subsection (2) above are met in relation to it.

• (5) Where at the beginning of a year of account (in this subsection referred to as “the current year of account”) a registered society or branch is subject to subsection (3) above in relation to the publication of a year end revenue account or balance sheet for the preceding year of account, it shall not publish any interim revenue account or balance sheet for the current year of account unless it incorporates a report by an appropriate person stating—

• (a) whether, in his opinion, the revenue account, or, as the case may be, the balance sheet, is in agreement with the books of account kept by the society or branch under section 29 above, and

• (b) whether, in his opinion, on the basis of the information contained in those books of account, the revenue account or, as the case may be, the balance sheet complies with the requirements of this Act.

• (6) Where a registered society’s or branch’s year of account is one in relation to which a direction under section 39C below has effect, the society or branch shall not publish any year end or interim revenue account or balance sheet, unless it incorporates a report by the auditor or auditors appointed in pursuance of the direction stating whether in their opinion it complies with subsection (1), (3) or, as the case may be, (5) of section 30 above.

• (7) Subsection (3) above shall cease to apply in relation to a year of account if a direction under section 39C below is made in relation to it.

• (8) Section 39B below shall apply in relation to a person appointed for the purposes of subsection (4) or (5) above as it applies in relation to a person appointed under section 39A(2) below.

• (9) In subsection (4) above, references to a disapplication under section 32A(1) below being in force in relation to a year of account shall, where the year of account has ended, be construed as references to a disapplication under that provision being in force at the end of the year.

• (10) Subject to subsection (11) below, in subsections (4) and (5) above, references to an appropriate person are to a person who is—

• (a) a qualified auditor for the purposes of this Act, and

• (b) not ineligible by virtue of section 37(1) below to be appointed as auditor of the society or branch.

• (11) In relation to the application of subsection (4) above to a registered society or branch which—

• (a) was an exempt society or an exempt branch in respect of the preceding year of account, and

• (b) appointed persons who were not qualified auditors to audit its accounts and balance sheet for that year,

subsection (10) above shall, if the year is not one in relation to which the appropriate authority has given a direction under section 32(2) below, have effect with the omission of paragraph (a).

• (12) In this section—

“ interim balance sheet ”, in relation to a year of account, means a balance sheet relating to the position at a time in the year other than the end;

“ interim revenue account ”, in relation to a year of account, means a revenue account for any period falling within the year of account, other than one ending at the end of the year;

“turnover” has the same meaning as in section 32A below;

“ year end balance sheet ”, in relation to a year of account, means a balance sheet relating to the position at the end of the year; and

“ year end revenue account ”, in relation to a year of account, means a revenue account for the year or for any period falling within the year of account and ending at the end of the year.

32A

• (1) Subject to subsections (3) and (4) below, a registered society or branch may disapply section 31 above in relation to a year of account beginning on or after the day on which the Deregulation (Industrial and Provident Societies) Order 1996 comes into force if—

• (a) the value of its assets at the end of the preceding year of account did not in the aggregate exceed £1,400,000, and

• (b) its turnover for that year did not exceed £350,000.

• (2) The power conferred by subsection (1) above shall be exercisable by resolution passed at a general meeting of the society or branch at which—

• (a) less than 20 per cent. of the total votes cast are cast against the resolution, and

• (b) less than 10 per cent. of the members of the society or branch for the time being entitled under the body’s rules to vote cast their votes against the resolution.

• (3) Subsection (1) above shall not apply to a society or branch which holds, or has, at any time since the end of the preceding year of account, held, a deposit . . ..

• (3A) In subsection (3) the reference to a deposit must be read with—

• (a) section 22 of the Financial Services and Markets Act 2000;

• (b) any relevant order under that section;

• (c) Schedule 2 to that Act.

• (4) The appropriate authority may by notice to a society or branch disapply subsection (1) above in relation to the year of account of the society or branch in which the notice is given.

• (5) Where a society or branch exercises the power conferred by subsection (1) above, the disapplication shall cease to have effect if at any time before the end of the year of account to which it relates—

• (a) the society or branch becomes one to which subsection (3) above applies, or

• (b) the appropriate authority gives to the society or branch notice under subsection (4) above.

• (6) In the case of a society or branch which is a charity as defined by section 1(1) of the Charities Act 2011, a recognised body as defined by section 1(7) of the Law Reform (Miscellaneous Provisions) (Scotland) Act 1990 or a charity within the meaning of the Charities Act (Northern Ireland) 1964 subsection (1) above shall have effect with the substitution for paragraph (b) of—

(b) its gross income for that year did not exceed £250,000.

• (7) For a period which is a society’s or branch’s year of account, but not in fact a year, the maximum figure in subsection (1)(b) above (including that provision as it has effect by virtue of subsection(6) above) shall be proportionately adjusted.

• (8) In this section, “ turnover ”, in relation to a society or branch, means the amounts derived from the provision of goods and services falling within the society’s or branch’s activities, after deduction of—

• (a) trade discounts,

• (b) value added tax, and

• (c) any other taxes based on the amounts so derived.

Notice of resolutions relating to appointment and removal of auditors.

39A

• (1) Subsection (2) below applies where—

• (a) at the end of a registered society’s or branch’s year of account a disapplication under section 32A(1) above is in force in relation to the year, and

• (b) the society’s or branch’s turnover in the preceding year of account exceeded £90,000.

• (2) The society or branch shall, before the end of the period of 28 days beginning immediately after the end of the year of account, appoint an appropriate person to make—

• (a) a report on its accounts and balance sheet for the year which meets the requirements of subsection (3) below, and

• (b) a report relating to the preceding year of account which meets the requirement of subsection (4) below.

• (3) A report for the purposes of subsection (2)(a) above shall—

• (a) state whether, in the opinion of the person making the report, the revenue account or accounts, the other accounts (if any) to which the report relates, and the balance sheet are in agreement with the books of account kept by the society or branch under section 29 above, and

• (b) state whether, in that person’s opinion, on the basis of the information contained in those books of account, the revenue account or accounts and the balance sheet comply with the requirements of this Act.

• (4) A report for the purposes of subsection (2)(b) above shall state whether in the opinion of the person making the report the financial criteria for the exercise of the power conferred by section 32A(1) above were met in relation to the year.

• (5) In subsection (2) above, the reference to an appropriate person is to a person who is—

• (a) a qualified auditor for the purposes of this Act, and

• (b) not ineligible by virtue of section 37(1) above to be appointed as auditor of the society or branch.

• (6) In this section, “turnover” has the same meaning as in section 32A above.

39B

• (1) A person appointed under section 39A(2) above shall, for the purposes of his appointment—

• (a) have a right of access at all times to the books, deeds and accounts of the relevant society or branch, and to all other documents relating to its affairs, and

• (b) be entitled to require from the officers of the relevant society or branch such information and explanations as that person thinks necessary.

• (2) If a person appointed under section 39A(2) above fails to obtain all the information and explanations which, to the best of that person’s knowledge and belief, are necessary for purposes of doing what he has been appointed to do, that fact shall be stated in his report.

• (3) A person appointed under section 39A(2) above shall be entitled—

• (a) to receive notice of, and attend, any general meeting of the relevant society or branch at which any relevant matter is discussed, and

• (b) to be heard at any such general meeting which he attends on any part of the business of the meeting which relates to any relevant matter.

• (4) For the purposes of subsection (3) above, the following are relevant matters, namely—

• (a) any report of the person appointed under subsection (2) of section 39A above, and

• (b) any matter which is relevant to what that person has been appointed under that subsection to do.

• (5) In this section, references to the relevant society or branch, in relation to a person appointed under section 39A(2) above, are to the society or branch responsible for his appointment under that provision.

39C

• (1) The appropriate authority may give a direction to a registered society or branch in respect of any relevant year of account of the society or branch before the year of account in which the direction is given—

• (a) requiring it to appoint a qualified auditor or qualified auditors to audit its accounts and balance sheet for that year, and

• (b) where it has sent to the FCA and, if the registered society or branch is a PRA-authorised person, the PRA its annual return for that year before the date of the direction, requiring it, after its accounts and balance sheet have been audited by a qualified auditor, to send the FCA and, if the registered society or branch is a PRA-authorised person, the PRA within three months from receipt of the direction a further annual return complying with the requirements of this Act (other than that as to time of sending).

• (2) A failure by a registered society or branch to comply with any direction given by the appropriate authority under subsection (1) above shall be an offence under this Act.

• (3) For the purposes of subsection (1) above, a year of account of a registered society or branch is relevant year of account if it is one at the end of which there is in force in relation to it a disapplication under section 32A(1) above.

Investment of funds.

57A

• (1) Where, in the case of any mortgage to a registered society or branch of any property, a receipt in full for any moneys secured thereby on that property is endorsed on or annexed to the mortgage, being a receipt—

• (a) signed by the trustees of the society or branch and counter-signed by the secretary thereof; and

• (b) in the form set out in Schedule 4 to this Act or in any other form specified in the rules of the society or branch or any schedule thereto,

that receipt shall be fully effective to vacate the mortgage and vest in the mortgagor the estate of and in the property comprised in the mortgage.

• (2) If the mortgage is registered in accordance with the Registration of Deeds Act (Northern Ireland) 1970 the registrar under that Act shall—

• (a) on production of the receipt mentioned in subsection (1) above make a note in the Abstract Book against the entry relating to the mortgage that the mortgage is satisfied; and

• (b) grant a certificate, either on the mortgage or separately, that the mortgage is satisfied.

• (3) The certificate granted under subsection (2)(b) above shall—

• (a) be received in all courts and proceedings without further proof; and

• (b) have the effect of clearing the register of the mortgage.

• (4) In this section “mortgage” includes a further charge and “mortgagor”, in relation to a mortgage, means the person for the time being entitled to the equity of redemption.

• (5) This section extends to Northern Ireland only.

63A

• (1) Every registered friendly society shall maintain a register of the names and addresses of the members of the society.

• (1A) Where a member has notified to the society an electronic address for the purpose of receiving notices or documents under this Act, the requirement under subsection (1) includes a requirement to secure that the register shows—

• (a) that electronic address; and

• (b) the purposes for which it has been notified.

• (2) The register shall be kept at the registered office of the society or at such other place or places as the committee of management thinks fit.

• (3) A society need not enter in the register the address of a member who became a member before the commencement of this section while it has no address for him and his whereabouts are unknown.

• (4) Where it appears to a society that the address shown in the register for a member is no longer current, the society—

• (a) may remove that address from the register; and

• (b) need not enter in the register an address for that member while it has no address for him and his whereabouts are unknown.

• (4A) Where it appears to a society that an electronic address shown on the register pursuant to subsection (1) is no longer current, the society may remove that address from the register.

• (5) If a society contravenes subsection (1) above, it shall be guilty of an offence and liable on summary conviction to a fine not exceeding level 4 on the standard scale.

• (6) In this section, “electronic address” has the meaning it has in the 1992 Act.

65A

• (1) If the rules of a registered friendly society expressly so direct, the society may carry on any group insurance business.

• (2) In this Act “ group insurance business ” means business (carried on in accordance with the society’s rules and subject to any regulations under section 11 of the 1992 Act) which—

• (a) is of a description falling within Head A, or class 2 of Head B, of Schedule 2 to the 1992 Act; and

• (b) is carried on as the business of providing benefits, in pursuance of a contract with a qualifying person, for or in respect of the members of a group scheme.

• (3) For the purposes of this section—

• “ group scheme ” means a scheme or other arrangement under which benefits are to be provided for or in respect of persons who are members of the scheme and who qualify for membership by virtue of— being employees of a particular employer; orbeing members of some other group of persons of a description specified in regulations under section 11 of the 1992 Act;

• “ qualifying person ” means a person who has established or is otherwise responsible for the operation of a group scheme or a trustee of such a scheme;

and “ member ”, in relation to a group scheme, includes any person for or in respect of whom benefits are to be provided under the scheme, whatever the terms in which such persons are described in the scheme.

• (4) Group insurance business may be carried on by a registered friendly society whether or not members of the group scheme are, or are required by the society to be, members of the society.

• (5) Where a registered friendly society carries on any group insurance business and the rules of the society so provide, any qualifying person with whom the society contracts (or his nominee) may be accorded the rights of a member of the society (including any right to vote) for the purpose of participating in the affairs of the society in the interests of the members of the group scheme with which he is concerned.

• (6) The rules of an incorporated friendly society may not prevent a person from being a member of the society in his private capacity by reason only of the fact that he has been accorded the rights of a member by virtue of subsection (5) above.

• (7) A person who is accorded the rights of a member of a society by virtue of subsection (5) above shall, for the purposes of any power which is conferred on the FCA or the PRA by this Act or the 1992 Act and is exercisable in the interests of members of the society, be treated as if he were a member of the society.

• (8) The Treasury may make regulations under section 11(7) of the 1992 Act which apply to group insurance business carried on by registered friendly societies.

65B

• (1) The terms on which a registered friendly society provides any benefit shall be—

• (a) specified in its rules; or

• (b) determined in a manner specified in its rules.

• (2) If they are not specified in the society’s rules, the society—

• (a) shall make copies of them available free of charge to members of the society at every office of the society; and

• (b) shall send, free of charge, copies of them to any member of the society who demands them.

• (3) If, on demand made of it under subsection (2) above, a society fails, in accordance with that subsection, to make available or, as the case may be within 7 days of the demand, to send to a person a copy of the terms on which a benefit is to be provided, the society shall be guilty of an offence and liable on summary conviction to a fine not exceeding level 3 on the standard scale.

Statement of case and discovery, etc., of documents.

84A

• (1) A registered society other than a registered friendly society may apply for registration under the Co-operative and Community Benefit Societies Act 2014 if the proposal to apply for registration has been submitted to the members of the society for their consent by the procedure required for a proposal to amend the rules of the society and consent has been obtained in accordance with that procedure.

• (2) On the registration under the Co-operative and Community Benefit Societies Act 2014 of a registered society all property held immediately before that registration by any person in trust for the society or any branch of the society (whether or not a registered branch) shall become by virtue of this subsection property of the industrial and provident society.

• (3) After its registration under that Act, the society shall continue to be entitled to all rights and subject to all liabilities to which it was entitled or subject immediately before registration.

• (4) It is hereby declared for the avoidance of doubt that—

• (a) the reference in subsection (2)(a) above to property includes a reference to property situated outside the United Kingdom; and

• (b) the reference to rights and liabilities of such a society or branch includes a reference and liabilities under the law of any country or territory outside the United Kingdom.

• (5) Not later than the end of the period of 90 days beginning with the day on which a registered society is registered under the Co-operative and Community Benefit Societies Act 2014—

• (a) the trustees of the society shall deliver to the registered office of the industrial and provident society any property of the registered society or any branch of the registered society held by them and any documents relating to the property, rights and liabilities of the registered society or to its financial affairs;

• (b) the trustees of any branch of the registered society shall deliver to that office any property of the branch or any other branch of the society held by them and any documents relating to the property, rights and liabilities of the branch or to its financial affairs; and

• (c) if he holds property on trust for the society or any branch of the society, the Public Trustee shall deliver to that office the property so held by him and any documents relating to it;

but nothing in this Act shall have effect to relieve the trustees of a registered society or branch or the Public Trustee from any liability arising from acts or omissions before that registration.

• (6) If a registered society is registered under the Co-operative and Community Benefit Societies Act 2014, the registration of that society under this Act shall thereupon become void and shall be cancelled by the FCA .

• (7) Schedule 6A to this Act shall have effect to supplement this section.

• (8) In the application of this section to Northern Ireland, references in this section and Schedule 6A to the Co-operative and Community Benefit Societies Act 2014 shall be construed as references to the Industrial and Provident Societies Act (Northern Ireland) 1969.

95A

• (1) Subject to subsection (2) below, if upon an investigation under section 65 of the 1992 Act it appears to the appropriate authority—

• (a) that the funds of a registered friendly society or of a registered branch of such a society are insufficient to meet the existing claims on them, or

• (b) that the rates of contribution fixed in the rules of the society or branch are insufficient to cover the benefits assured to be given by the society or branch,

the appropriate authority may, if it considers it expedient to do so, award that the society or branch be dissolved and its affairs wound up; and where such an award is made the appropriate authority shall direct in what manner the assets of the society or branch shall be divided or appropriated.

• (1A) The PRA must consult the FCA before making an award or a direction under subsection (1).

• (2) Where the appropriate authority makes an award under this section, it may suspend the operation thereof for such period as it may deem necessary to enable the society or branch to make such alterations and adjustments of contributions and benefits as will in its judgment prevent the necessity of the award of dissolution coming into operation; and where within that period the alterations and adjustments are made, the appropriate authority may cancel the award.

• (3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (4) Within twenty-one days after the making of an award under this section, the appropriate authority shall cause notice of the award to be advertised in the Gazette and in some newspaper in general circulation in the neighbourhood of the registered office of the society or branch; and unless—

• (a) within three months from the date on which that advertisement appears, a member or other person interested or having any claim on the funds of the society or branch commences proceedings to set aside the dissolution of the society or branch consequent upon the award, and

• (b) the dissolution is set aside accordingly,

the society or branch shall be legally dissolved from the date of the advertisement.

• (5) The expenses of every award, and of advertising every notice, under this section shall be paid out of the funds of the society or branch before any other appropriation thereof is made.

Fees for inspection or copying of documents.

104A

Before the FCA allows any person to inspect any document held by it in connection with this Act, or provides any person with a copy of any such document (or part of such document), it may charge that person a reasonable fee.

105A

• (1) A land transaction effected by or in consequence of—

• (a) an amalgamation together of two or more registered societies under section 82; or

• (b) a transfer of engagements under that section,

is exempt from charge for the purposes of stamp duty land tax.

• (2) Relief under this section must be claimed in a land transaction return or an amendment of such a return.

• (3) In this section—

• “land transaction” has the meaning given by section 43(1) of the Finance Act 2003;

• “land transaction return” has the meaning given by section 76(1) of that Act.

General provisions

Audit of exempt societies and branches.

Channel Islands.

. . .

. . .

Signed [Signatures of Trustees]

SCHEDULE 6A

1

This Schedule has effect in relation to any registered society (“ the society ”) which is registered under the Co-operative and Community Benefit Societies Act 2014 and, in this Schedule, “ registration ” means registration under that Act.

2

• (1) On the registration of the society any appointment as trustee of the society or any branch of it shall determine.

• (2) All officers of the society other than its trustees shall upon its registration become officers of the society registered under the Co-operative and Community Benefit Societies Act 2014 (the “new society”) holding corresponding offices in that society.

3

Any agreement made, transaction effected or other thing done by, to or in relation to the society or any branch of it (whether registered or not) which is in force or effective immediately before its registration shall have effect as if made, effected or done by, to or in relation to the new society, in all respects, as if the new society were the same person as the society or branch and accordingly references to the society or branch—

• (a) in any agreement (whether or not in writing) and in any deed, bond or instrument;

• (b) in any process or other document issued, prepared or employed for the purposes of any proceeding before any court or other tribunal or authority; and

• (c) in any other document whatsoever (other than an enactment) relating to or affecting any property, right or liability of the registered society or branch,

shall be taken as referring to the new society.

4

• (1) Any agreement made by the society or any branch of it which is in force immediately before the society’s registration shall have effect as if—

• (a) for references to members of the society or branch there were substituted references to members of the new society;

• (b) for references to officers of the society or branch other than its trustees there were substituted references to the corresponding officers of the new society; and

• (c) for references to the trustees of the registered society or branch there were substituted references to the new society.

• (2) References in sub-paragraph (1) above to an agreement include references to a deed, bond or other instrument.

• (3) It is hereby declared for the avoidance of doubt that—

• (a) the effect of section 84A of this Act in relation to any contract of employment with the society or any of its branches in force immediately before the society’s registration is merely to modify the contract by substituting the new society as the employer (and not to terminate the contract or vary it in any other way); and

• (b) that section is effective to vest the rights and liabilities of the society or branch under any agreement or arrangement for the payment of pensions, allowances or gratuities in the new society along with all other rights and liabilities of the society or branch;

and accordingly any period of employment with the society or branch shall count for all purposes as a period of employment with the new society.

107

• (1) Subject to any exceptions or conditions prescribed by regulations of the Secretary of State, the Secretary of State shall at the request of any person claiming benefit from a registered friendly society or branch provide the society or branch for the purposes of the claim with a copy or abstract of any medical certificate relating to that person and supplied by him to the Secretary of State for purposes of the Insurance Acts.

In this section “the Insurance Acts” means the National Insurance Acts 1965 to 1974 and the National Insurance (Industrial Injuries) Acts 1965 to 1974.

• (2) Where the Secretary of State furnishes a registered friendly society or branch, in connection with a claim for benefit from the society or branch, with information relating to a claim or award under the Insurance Acts, the expenses incurred in connection therewith by the Secretary of State or any other government department shall be treated as expenses in carrying into effect either the National Insurance Act 1965 or the National Insurance (Industrial Injuries) Act 1965, as the Secretary of State thinks appropriate.

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Editorial notes