The Financial Services and Markets Act 2000 (Consequential Amendments and Repeals) Order 2001

• (b) the Friendly Societies Regulations 1975 (S.I. 1975/205);

• (c) the Friendly Societies Act 1992 (Consequential Provisions) (No 2) Regulations 1993 (S.I. 1993/1187);

• (d) the Friendly Societies Appeal Tribunal Regulations 1993 (S.I. 1993/2002);

• (e) the Friendly Societies (Qualifications of Actuaries No 2) Regulations 1993 (S.I. 1993/2518);

• (f) the Friendly Societies (Auditors) Order 1994 (S.I. 1994/132)¹⁵⁰;

• (g) the Friendly Societies (Insurance Business) Regulations 1994 (S.I. 1994/1981);

• (h) The Friendly Societies (Authorisation) Regulations 1994 (S.I. 1994/1982);

• (i) the Friendly Societies (Activities of a Subsidiary) Order 1995 (S.I. 1995/3062);

• (j) The Friendly Societies (Insurance Business) (Amendment) Regulations 1996 (S.I. 1996/3008);

• (j) the Friendly Societies (Activities of a Subsidiary) Order 1996 (S.I. 1996/3009);

• (k) the Friendly Societies (Insurance Business) (Amendment) Regulations 1997 (S.I. 1997/966);

• (l) the Friendly Societies (Activities of a Subsidiary) Order 1998 (S.I. 1998/2328);

• (m) the Friendly Societies (Activities of a Subsidiary) (No 2) Order 1998 (S.I. 1998/2696);

• (n) the Friendly Societies (Insurance Business) (Amendment) Regulations 1998 (S.I. 1998/3034);

• (o) the Friendly Societies (Insurance Business) (Amendment) Regulations 2000 (S.I. 2000/1700);

• (p) the Friendly Societies (General Charge and Fees) Regulations 2001 (S.I. 2001/816).

Revocation of references to dissolved bodies, repealed legislation etc.

211

• (1) In the Friendly Societies Act 1992 (Commencement No 3 and Transitional Provisions) Order 1993 (S.I. 1993/16)—

• (a) in article 1(2) (interpretation), the definitions of “assistant registrar”, “Chief Registrar”, “Commission” and “registrar” are revoked; and

• (b) articles 5, 7 and 9 (transitional provisions) are revoked.

• (2) In the Friendly Societies Act 1992 (Transitional and Consequential Provisions and Savings) Regulations 1993 (S.I. 1993/932)—

• (a) in regulation 2 (interpretation), the definitions of “the 1987 Regulations”, “incorporated friendly society” and “registrar” are revoked; and

• (b) regulations 3 to 5 (transitional provisions) are revoked.

• (3) In the Friendly Societies Act 1992 (Commencement No 6 and Transitional Provisions) Order 1993 (S.I. 1993/2213)—

• (a) in article 1(2), the definition of “Industrial Assurance Commissioner” is revoked; and

• (b) article 6 is revoked.

• (4) Article 7 of the Friendly Societies Act 1992 (Commencement No 7 and Transitional Provisions and Savings) Order 1993 (S.I.1993/3226) is revoked.

• (5) In regulation 9 (associated bodies) of, and paragraph 12 of Schedule 3 to, the Friendly Societies (Accounts and Related Provisions) Regulations 1994 (S.I. 1994/1983), for “Commission” substitute “Authority”.

• (6) In the Friendly Societies Act 1992 (Transitional and Consequential Provisions) Regulations 1995 (S.I. 1995/710), regulations 3 and 5 are revoked.

Enactments relating to building societies

Revocation of redundant provisions

212

The following enactments are revoked—

• (a) the Building Societies Appeal Tribunal Regulations 1987 (S.I. 1987/891)¹⁵¹;

• (b) the Building Societies (Designation of Prescribed Regulatory Authorities) Order 1988 (S.I. 1988/630);

• (c) the Building Societies Appeal Tribunal (Amendment) Regulations 1993 (S.I. 1993/983);

• (d) The Building Societies (Auditors) Order 1994 (S.I. 1994/525)¹⁵²;

• (e) The Building Societies (Designation of Prescribed Regulatory Authorities) Order 1997 (S.I. 1997/2302);

• (f) The Building Societies (General Charge and Fees) Regulations 2001 (S.I. 2001/815).

Revocation or amendment of references to dissolved bodies, repealed legislation etc.

213

• (1) In the Building Societies Act 1986 (Rules and Miscellaneous Transitional Provisions) Order 1986 (S.I. 1986/2168), articles 3(4) and (5), 4, 10 and 11 are revoked.

• (2) In the Building Societies Act 1986 (Powers and Miscellaneous Transitional Provisions) Order 1986 (S.I. 1986/2169), the definition of “the registrar” in article 2 and articles 4, 8 and 11 are revoked.

• (3) In regulation 2 of, and paragraph 28 of Part I of Schedule 1 to, and Schedule 3 to, the Building Societies (Transfer of Business) Regulations 1998 (S.I. 1998/212), for “Building Societies Commission” in each place those words appear, substitute “Authority”.

• (4) In regulation 6 of, and Schedule 4 to, the Building Societies (Accounts and Related Provisions) Regulations 1998 (S.I. 1998/504)¹⁵³, for “Commission”, substitute “Authority”.

• (5) In regulation 3 of the Building Societies (Business Names) Regulations 1998 (S.I. 1998/3186) and in the cross-heading before that regulation, for “Commission” substitute “Authority”.

• (6) In regulation 2 of, and the Schedule to, the Building Societies (Merger Notification Statement) Regulations 1999 (S.I. 1999/1215), for “Building Societies Commission” in each place those words appear, substitute “Authority”.

Building Societies (Deferred Shares) Order 1991

214

The Building Societies (Deferred Shares) Order 1991 (S.I. 1991/701) is amended as follows—

• (a) for article 3(2), substitute—

(2) The condition mentioned in paragraph (1) of this article is that— (a) the document containing the issue terms, or where the issue terms are contained in a series of documents, one of those documents, being in either case a document which is furnished to every applicant for the shares (“the issue document”), and every document evidencing title to the shares (“the title document”), contains a prominent statement to the effect that the shares are deferred shares for the purposes of section 119 of the Act; (b) where the issue document was issued before 1st December 2001 or where the title document evidences title obtained before that date, that document contains a prominent statement to the effect that the shares are not protected investments for the purposes of payments out of the Building Societies Investor Protection Fund; and (c) where the issue document was issued on or after 1st December 2001 or where the title document evidences title obtained on or after that date, that document contains a prominent statement stating whether or not the shares are an investment in respect of which a claim may be entertained by the Financial Services Compensation Scheme.

; and

• (b) in the Schedule, for “Commission” substitute “Authority”.

Enactments relating to industrial and provident societies and credit unions

Revocation of redundant provisions

215

The following enactments are revoked—

• (a) the Industrial and Provident Societies (Forms and Procedure) Regulations 1996 (S.I. 1996/3121);

• (b) the Industrial and Provident Societies (Fees) Regulations 2001 (S.I. 2001/813);

• (c) the Industrial and Provident Societies (Credit Unions) Regulations 1979 (S.I. 1979/937);

• (d) the Industrial and Provident Societies (Credit Unions) (Fees) Regulations 2001 (S.I. 2001/814).

PART 7 — ENACTMENTS RELATING TO SCOTLAND

CHAPTER I — primary legislation

Agricultural Credits (Scotland) Act 1929 (19&20 Geo. V c. 13)

Repeal of redundant provision

216

Section 8 of the Agricultural Credits (Scotland) Act 1929 (registration of agricultural charges) is repealed.

Definition of “Bank”

217

In section 9 of the Agricultural Credits (Scotland) Act 1929 (interpretation) for the definition of “Bank”¹⁵⁴ substitute—

• “Bank” means— the Bank of England, a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits, an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to accept deposits, or the Post Office in the exercise of its powers to provide banking services, and the expressions used in paragraphs (b) and (c) of this definition must be read with section 22 of the Financial Services and Markets Act 2000, any relevant order under that section and Schedule 2 to that Act;

Local Government (Scotland) Act 1973 (c. 65)

Meaning of “securities”

218

For subsection (1) of section 42¹⁵⁵ of the Local Government (Scotland) Act 1973 (interpretation of sections 39 and 41) substitute—

(1) In sections 39 and 41 of this Act “securities” has the meaning given by section 92.

Contracts deemed to be insurance policies

219

In section 86(3) of the Local Government (Scotland) Act 1973 (insurance by local authorities against accidents to members) for the words “the Insurance Companies Act 1982”¹⁵⁶ substitute “the Financial Services and Markets Act 2000”.

Meaning of “securities”

220

• (1) Section 92 of the Local Government (Scotland) Act 1973 (transfer of securities on alteration of area etc.) is amended as follows.

• (2) In subsection (2), the definition of “securities”¹⁵⁷ is repealed.

• (3) After that subsection insert—

(3) “Securities” means— (a) shares; (b) instruments creating or acknowledging indebtedness; (c) government and public securities; (d) instruments giving entitlements to investments; (e) certificates representing securities; (f) units in a collective investment scheme; (g) rights to, or interests in, any security of the kind mentioned in paragraphs (a) to (f); (h) rights (whether actual or contingent) to money lent to, or deposited with— (i) a society registered under the Industrial and Provident Societies Act 1965, or (ii) a building society within the meaning of the Building Societies Act 1986. (4) Subsection (3) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

National Health Service (Scotland) Act 1978 (c. 29)

Financial Services and Markets Act 2000 disapplied to certain health service schemes

221

In section 85B(5)¹⁵⁸ of the National Health Service (Scotland) Act 1978 (schemes for meeting losses and liabilities etc. of certain health service bodies), for the words “carrying on insurance business for the purposes of the Insurance Companies Act 1982” substitute “effecting or carrying out contracts of insurance for the purposes of the Financial Services and Markets Act 2000”.

Solicitors (Scotland) Act 1980 (c. 46)

Specification of banks where solicitors may keep accounts

222

• (1) Section 35 of the Solicitors (Scotland) Act 1980 (accounts rules) is amended as follows.

• (2) In subsection (2), for paragraph (e)¹⁵⁹ substitute—

(e) a person (other than a building society) who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; (ea) an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to the Financial Services and Markets Act 2000 which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to accept deposits;

• (3) After subsection (2) of section 35 insert—

(2A) Paragraphs (e) and (ea) of subsection (2) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

Meaning of “authorised insurer”

223

• (1) Section 44 of the Solicitors (Scotland) Act 1980 (professional indemnity) is amended as follows.

• (2) In subsection (5), for the words “authorised insurer” to the end of paragraph (b) substitute—

• an “authorised insurer” is— a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect or carry out contracts of general liability insurance; a person who has permission under Part 4 of that Act to effect or carry out contracts of insurance relating to accident, sickness, credit, suretyship, miscellaneous financial loss and legal expenses; an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act, which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to effect or carry out contracts of general liability insurance; or an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act, which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to effect or carry out contracts relating to accident, sickness, credit, suretyship, miscellaneous financial loss and legal expenses;

• (3) After subsection (5) of section 44 insert—

(6) The definition of “authorised insurer” in subsection (5) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

Bankruptcy (Scotland) Act 1985 (c. 66)

Petitions for sequestration under Financial Services and Markets Act 2000

224

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

Meaning of “appropriate bank or institution”

225

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

Housing (Scotland) Act 1987 (c. 26)

Definition of “bank”

226

• (1) Section 338 of the Housing (Scotland) Act 1987 (interpretation) is amended as follows.

• (2) In subsection (1)—

• (a) in the definition of “bank”, for paragraph (a) substitute—

(a) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits, (ab) an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to accept deposits, or

• (b) for the definition of “insurance company” substitute—

• “insurance company” means— a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect or carry out contracts of insurance, or an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to effect or carry out contracts of insurance;

• (3) After subsection (1) insert—

(1A) The definitions of “bank” and “insurance company” in subsection (1) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

Local authority indemnity for building societies: consultation requirements

227

In section 229(4) of the Housing (Scotland) Act 1987 (local authority indemnity for building societies: consultation requirements) for “Building Societies Commission” substitute “Financial Services Authority”.

The Criminal Justice (Scotland) Act 1987 (c. 41)

Competent authorities for receipt of information

228

For paragraphs (e) to (l) of section 54(5) of the Criminal Justice (Scotland) Act 1987 (competent authorities for the purposes of disclosure of information obtained in relation to serious or complex fraud) substitute—

(e) a person appointed under— (i) section 167 of the Financial Services and Markets Act 2000 (general investigations), (ii) section 168 of that Act (investigations in particular cases), (iii) section 169(1)(b) of that Act (investigation in support of overseas regulator), (iv) section 284 of that Act (investigations into affairs of certain collective investment schemes), or (v) regulations made as a result of section 262(2)(k) of that Act (investigations into open-ended investment companies), to conduct an investigation; (f) a body corporate established in accordance with section 212(1) of the Financial Services and Markets Act 2000 (compensation scheme manager);

Self-Governing Schools etc. (Scotland) Act 1989 (c. 39)

Specification of banks and investments

229

• (1) Section 53 of the Self-Governing Schools etc. (Scotland) Act 1989 (disposal of surplus money on winding up) is amended as follows.

• (2) In subsection (1)(a), for the words “any bank” to the end substitute—

any person who has permission under the Financial Services and Markets Act 2000 to accept deposits); and

• (3) For subsection (4) substitute—

(4) This section applies to any investment which is a security.

• (4) For subsection (5) substitute—

(5) The references to accepting deposits in subsection (1)(a) and to an investment being a security in subsection (4) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

Enterprise and New Towns (Scotland) Act 1990 (c. 35)

Exclusion from financial promotion restriction

230

For section 31(2) of the Enterprise and New Towns (Scotland) Act 1990 (application and disapplication of certain provisions) substitute—

(2) Section 21 of the Financial Services and Markets Act 2000 (restrictions on financial promotion) shall not apply to any invitation or inducement (within the meaning of that section) which Scottish Enterprise communicates in the discharge of its functions.

Law Reform (Miscellaneous Provisions) (Scotland) Act 1990 (c. 40)

Definition of “relevant institution”

231

For section 12(13)(a) of the Law Reform (Miscellaneous Provisions) (Scotland) Act 1990 (dormant accounts of charities in banks, etc.) substitute—

(a) a “relevant institution” is— (i) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; (ii) an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to accept deposits; (iii) such other person or class of persons as the Secretary of State may by regulations made under this section, prescribe;

Definition of “recognised financial institution”

232

• (1) Section 19 of the Law Reform (Miscellaneous Provisions) (Scotland) Act 1990 (executry services by recognised financial institutions) is amended as follows.

• (2) For subsection (2) substitute—

(2) In this section “recognised financial institution” means— (a) any person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; (b) an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to accept deposits; (c) any subsidiary (as defined by section 736(1) of the Companies Act 1985) of a body falling within paragraph (a) or (b) above whose business or any part of whose business consists of the provision of executry services.

• (3) After subsection (2) insert—

(2A) The definition of “recognised financial institution” in subsection (2) above must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

• (4) In subsection (6), for the words from “section 16” to the end, substitute “rules made under section 141(1) of the Financial Services and Markets Act 2000 (which may restrict insurers to carrying on insurance business).”.

Meaning of “executry services”

233

In section 23 of the Law Reform (Miscellaneous Provisions) (Scotland) Act 1990 (interpretation of sections 16 to 22), in the definition of “executry services” for the words “investment business within the meaning of the Financial Services Act 1986” substitute “carrying on a regulated activity within the meaning of the Financial Services and Markets Act 2000”.

Criminal Law (Consolidation) (Scotland) Act 1995 (c. 39)

Competent authorities for the receipt of information

234

For paragraphs (e) to (l) of section 30(5) of the Criminal Law (Consolidation) (Scotland) Act 1995 (disclosure of information) substitute—

(e) a person appointed under— (i) section 167 of the Financial Services and Markets Act 2000 (general investigations), (ii) section 168 of that Act (investigations in particular cases), (iii) section 169(1)(b) of that Act (investigation in support of overseas regulator), (iv) section 284 of that Act (investigations into affairs of certain collective investment schemes), or (v) regulations made as a result of section 262(2)(k) of that Act (investigations into open-ended investment companies), to conduct an investigation; (f) a body corporate established in accordance with section 212(1) of the Financial Services and Markets Act 2000 (compensation scheme manager);

Adults with Incapacity (Scotland) Act 2000 (asp 4)

Persons capable of giving “proper advice”

235

• (1) Schedule 2 to the Adults with Incapacity (Scotland) Act 2000 (management of estate of adult) is amended as follows.

• (2) In paragraph 5(2), for the words “authorised to carry on investment business in the United Kingdom for the purposes of the Financial Services Act 1986 (c. 60)” substitute “who has permission for the purposes of the Financial Services and Markets Act 2000 to advise on investments”.

• (3) After paragraph 5(2) insert—

(2A) Sub-paragraph (2) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

CHAPTER II — secondary legislation

The Banking Appeal Tribunal (Scottish Appeals)

Revocation of instruments made under the Banking Act 1987

236

The following instruments are revoked—

• (a) The Banking Appeal Tribunal (Scottish Appeals) Regulations 1987 (S.I. 1987/1336 (S.95));

• (b) The Banking Appeal Tribunal (Scottish Appeals) Amendment Regulations 1993 (S.I. 1993/1061 (S.150)).

Local Government Superannuation (Scotland) Regulations 1987 (S.I. 1987/1850)

Actionable loss arising from pension mis-selling

237

In regulation B4B(4)(b) of the Local Government Superannuation (Scotland) Regulations 1987(rejoining pensionable employment)¹⁶⁰—

• (a) after the words “section 62 of the Financial Services Act 1986” insert “or section 150 of the Financial Services and Markets Act 2000”; and

• (b) the words “made under the Act” are revoked.

Use and investment of superannuation funds' moneys

238

• (1) Regulation P6 of the Local Government Superannuation (Scotland) Regulations 1987 (use and investment of superannuation funds' moneys) is amended as follows.

• (2) In paragraph (7A)¹⁶¹ for the words “the provisions of” to the end of sub-paragraph (b) substitute—

the provisions of CIS 5.14.4R and CIS 5.14.6R of the rules made by the Financial Services Authority under Part 10 of the Financial Services and Markets Act 2000.

• (3) In paragraph (10), for the definition of “investment manager”¹⁶² substitute—

• “investment manager” means a person who has permission for the purposes of the Financial Services and Markets Act 2000 to manage investments which are held for the purposes of an occupational pension scheme and who is reasonably believed by the administrating authority to be suitably qualified to make investment decisions on their behalf, but who is not an employee of that authority;

• (4) After paragraph (10) insert—

(11) The definition of “investment manager” in paragraph (10) must be read with— (a) sections 22 and 419 of the Financial Services and Markets Act 2000; (b) any relevant order under those sections; (c) Schedule 2 to that Act.

The Teachers' Superannuation (Scotland) Regulations 1992 (S.I. 1992/280)

Meaning of “reference banks”

239

• (1) The Teachers' Superannuation (Scotland) Regulations 1992 are amended as follows.

• (2) For paragraph (5)(b) of regulation E31A (interest on late payment of certain benefits)¹⁶³ substitute—

(b) “the reference banks” means the four largest persons for the time being who— (i) have permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; (ii) are incorporated in and carrying on in the United Kingdom a regulated activity of accepting deposits; and (iii) quote a base rate applicable to sterling deposits, and in this definition the reference to accepting deposits must be read with section 22 of the Financial Services and Markets Act 2000, any relevant order under that section and Schedule 2 to that Act;

The Brechin and Bridge of Dun Light Railway Order 1992 (S.I. 1992/1267)

Meaning of “insurer”

240

• (1) Article 10 of the Brechin and Bridge of Dun Light Railway Order 1992 (public liability insurance) is amended as follows.

• (2) In paragraph (1), for the definition of “insurer” substitute—

• “insurer” means— any person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect or carry out contracts of insurance of a relevant class, or an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act, which has permission under paragraph 15 (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to effect or carry out contracts of insurance of a relevant class;

• (3) After paragraph (1) insert—

(1A) The definition of “insurer” in paragraph (1) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

The Non-Domestic Rating (Payment of Interest) (Scotland) Regulations 1992 (S.I. 1992/2184 (S. 218))

Definition of “reference banks”

241

• (1) Regulation 4 of the Non-Domestic Rating (Payment of Interest) (Scotland) Regulations 1992 (calculation of interest—repayment on or after 1st October 1992) is amended as follows.

• (2) In paragraph (3)—

• (a) for the words from “seven” to “United Kingdom” substitute—

seven largest persons who— (a) have permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; and (b) are incorporated in the United Kingdom and carrying on there a regulated activity of accepting deposits;

; and

• (b) for the words “an institution” substitute “a person”; for the words “that institution” substitute “that person” and for the word “its” substitute “the”.

• (3) After paragraph (3) insert—

(4) Paragraph (3) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

The Registered Housing Associations (Accounting Requirements) (Scotland) Order 1993 (S.I. 1993/487 (S. 52))

Meaning of “listed investment”

242

In paragraph 15 of Schedule 2 to the Registered Housing Associations (Accounting Requirements) (Scotland) Order 1993 (investments)—

• (a) in sub-paragraph (1)(b) for the words “the Financial Services Act 1986” substitute “the Financial Services and Markets Act 2000”;

• (b) in sub-paragraph (3) for the words “the Financial Services Act 1986” substitute “the Financial Services and Markets Act 2000”.

The Criminal Justice (Scotland) Act 1987 (Crown Servants and Regulators etc.) Regulations 1994 (S.I. 1994/1808) (S.80))

Exemption from obligation to disclose knowledge or suspicion of money laundering

243

In regulation 4(1) of the Criminal Justice (Scotland) Act 1987 (Crown Servants and Regulators etc.) Regulations 1994 (designation of persons appearing to the Secretary of State to be performing regulatory etc. functions)—

• (a) for sub-paragraph (c) substitute—

(c) the Financial Services Authority;

• (b) sub-paragraphs (b), (d) to (g) and (i) to (m) are revoked.

The National Health Service Superannuation Scheme (Scotland) Regulations 1995 (S.I. 1995/365)

Actionable loss arising from pension mis-selling

244

In paragraph (1)(c) of regulation B6¹⁶⁴ of the National Health Service Superannuation Scheme (Scotland) Regulations 1995 (opting into the scheme: mis-sold pensions), after the words “section 62 of the Financial Services Act 1986” add “or section 150 of the Financial Services and Markets Act 2000”.

The Charities (Dormant Accounts) (Scotland) Regulations 1995 (S.I. 1995/2056)

Prescribed “relevant institutions”

245

In regulation 2A of the Charities (Dormant Accounts) (Scotland) Regulations 1995¹⁶⁵ for the words “(being institutions mentioned in Schedule 2 to the Banking Act 1987)” substitute “that is to say a company which was, immediately before the repeal of the Banking Act 1987, exempted from the prohibition in section 3 of that Act by virtue of section 4(1) of, and paragraph 4 of Schedule 2 to, that Act”.

The Acquisition of Land (Rate of Interest After Entry) (Scotland) Regulations 1995 (S.I. 1995/2791) (S.206))

Definition of reference banks

246

• (1) Regulation 2 of the Acquisition of Land (Rate of Interest after Entry) (Scotland) Regulations 1995 (rate of interest) is amended as follows.

• (2) In paragraph (5)(a) for the words from “seven” to “United Kingdom,” substitute—

seven largest persons who— (a) have permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; and (b) are incorporated in the United Kingdom and carrying on there a regulated activity of accepting deposits,

• (3) In paragraphs (5)(b) and (6) for the words “an institution” (in both places) substitute “a person”; for the words “that institution” substitute “that person” and for “its” (wherever it appears) substitute “his”.

• (4) After paragraph (5) insert—

(5A) Paragraph (5) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

The Teachers' Superannuation (Additional Voluntary Contributions) (Scotland) Regulations 1995 (S.I. 1995/2814)

Meaning of “insurer”

247

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

The Fossil Fuel Levy (Scotland) Regulations 1996 (S.I. 1996/293)

Investment of sums collected

248

• (1) Regulation 25 of the Fossil Fuel Levy (Scotland) Regulations 1996 (investment of sums collected) is amended as follows.

• (2) In paragraph (3) for the words from “an institution” to “Regulations 1992”¹⁶⁶ substitute—

a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits and an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule to accept deposits as a result of satisfying the establishment conditions within the meaning of that Schedule

• (3) After paragraph (3) insert—

(4) Paragraph (3) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

The Independent Qualified Conveyancers (Scotland) Regulations 1997 (S.I. 1997/316) ( S.20))

Meaning of “banks” and “recognised financial institution”

249

• (1) Regulation 2 of the Independent Qualified Conveyancers (Scotland) Regulations 1997 (interpretation) is amended as follows.

• (2) In paragraph (1)—

• (a) for the definition of “Bank” substitute—

• “Bank” means— a person (other than a building society) who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; or an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule to accept deposits as a result of satisfying the establishment conditions within the meaning of that Schedule;

; and

• (b) for the definition of “recognised financial institution” substitute—

• “recognised financial institution” means— any person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to accept deposits; any subsidiary (as defined by section 736(1) of the Companies Act 1985) of a body falling within paragraph (a) or (b) above whose business or any part of whose business consists of the provision of executry services.

• (3) After paragraph (1) insert—

(1A) The definitions of “bank” and “recognised financial institution” in paragraph (1) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

The Executry Practitioners (Scotland) Regulations 1997 (S.I. 1997/317) (S.21))

Meaning of “bank” and “recognised financial institution”

250

• (1) Regulation 2 of the Executry Practitioners (Scotland) Regulations 1997 (interpretation) is amended as follows.

• (2) In paragraph (1) for the definition of “bank” substitute—

• “Bank” means— a person (other than a building society) who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; or an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule to accept deposits as a result of satisfying the establishment conditions within the meaning of that Schedule;

• (3) In paragraph (1) for the definition of “recognised financial institution” substitute—

• “recognised financial institution” means— any person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to accept deposits; any subsidiary (as defined by section 736(1) of the Companies Act 1985) of a body falling within paragraph (a) or (b) above whose business or any part of whose business consists of the provision of executry services.

• (4) After paragraph (1) insert—

(1A) The definitions of “bank” and “recognised financial institution” in paragraph (1) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

The Local Government Pension Scheme (Scotland) Regulations 1998 (S.I. 1998/366)

Meaning of “authorised insurer” and “relevant institution”

251

• (1) Regulation 4(16)¹⁶⁷ of the Local Government Pension Scheme (Scotland) Regulations 1998 (agreements to enable employees of non-Scheme employers to be members (“admission agreements”) is amended as follows.

• (2) For sub-paragraph (a) substitute—

(a) “authorised insurer” means— (i) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect or carry out contracts of general insurance; or (b) an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act, which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to effect or carry out contracts of general insurance, and the expressions used in this definition must be read with section 22 of the Financial Services and Markets Act 2000, any relevant order under that section and Schedule 2 to that Act.

• (3) For sub-paragraph (e) substitute—

(e) “relevant institution” means— (i) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 accept deposits; (ii) a person who is exempt from the general prohibition in respect of accepting deposits as a result of an exemption order made under section 38(1) of that Act; (iii) an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule to accept deposits as a result of satisfying the establishment conditions within the meaning of that Schedule, and the expressions used in this definition must be read with section 22 of the Financial Services and Markets Act 2000, any relevant order under that section and Schedule 2 to that Act.

Actionable loss arising from pensions mis-selling

252

In regulation 6(9) of the Local Government Pension Scheme (Scotland) Regulations 1998 (joining the Scheme), after the words “section 62 of the Financial Services Act 1986” add “or section 150 of the Financial Services and Markets Act 2000”.

Appropriate annuity contracts etc.

253

• (1) Regulation 145¹⁶⁸ of the Local Government Pension Scheme (Scotland) Regulations 1998 (qualifying arrangements) is amended as follows.

• (2) In paragraph (2), for sub-paragraph (a) substitute—

(a) effects or carries out contracts of long-term insurance in the United Kingdom or any other member State; and

• (3) For paragraph (3) substitute—

(3) Paragraph (2)(a) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order made under that section; and (c) Schedule 2 to that Act.

Definition of terms

254

• (1) Schedule 1 to the Local Government Pension Scheme (Scotland) Regulations 1998 (interpretation) is amended as follows.

• (2) In the definition of “AVC insurance company”—

• (a) for paragraphs (a) and (b) substitute—

(a) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect or carry out contracts of long-term insurance; (b) an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act, which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to effect or carry out contracts of long-term insurance; or

• (b) for the words after the end of paragraph (c) substitute—

and paragraphs (a) and (b) of this definition must be read with section 22 of the Financial Services and Markets Act 2000, any relevant order under that section and Schedule 2 to that Act.

• (3) In the definition of “the Reference banks”—

• (a) for the words from “seven largest institutions” to the end of the definition substitute—

seven largest persons for the time being who— 1. have permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; 2. are incorporated in and carrying on in the United Kingdom a regulated activity of accepting deposits; and 3. quote a base rate in sterling, and in this definition— - the size of a person at any time is to be determined by reference to the gross assets denominated in sterling of that person, together with any subsidiary (as defined in section 736 of the Companies Act 1985), as shown in the audited end-of-year accounts last published before that time; and - the reference to accepting deposits must be read with section 22 of the Financial Services and Markets Act 2000, any relevant order under that section and Schedule 2 to that Act;

• (4) In the definition of “open ended investment company”¹⁶⁹ for the words “section 75(8) of the Financial Services Act 1986” substitute “section 236 of the Financial Services and Markets Act 2000”.

The National Health Service Superannuation Scheme (Scotland) (Additional Voluntary Contributions) Regulations 1998 (S.I. 1998/1451) (S.75))

Meaning of “insurance company”

255

• (1) Regulation 2 of the National Health Service Superannuation Scheme (Scotland) (Additional Voluntary Contributions) Regulations 1998 (interpretation) is amended as follows.

• (2) In paragraph (1) for the definition of “insurance company” substitute—

• “insurance company” means— a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect or carry out contracts of long-term insurance; or an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule to effect or carry out contracts of long-term insurance as a result of satisfying the establishment conditions within the meaning of that Schedule;

• (3) After paragraph (1) insert—

(1A) The definition of “insurance company” in paragraph (1) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

The Local Government Pension Scheme (Management and Investment of Funds) (Scotland) Regulations 1998 (S.I. 1998/2888) (S.168))

Definitions of terms

256

• (1) In regulation 2 of the Local Government Pension Scheme (Management and Investment of Funds) (Scotland) Regulations 1998 (general definitions)¹⁷⁰—

• (a) the existing provision becomes paragraph (1);

• (b) the definitions of “European authorised institution” and “European institution” are revoked;

• (c) the definition of “home-regulated investment business” is revoked;

• (d) for the definition of “relevant institution” substitute—

• “relevant institution” means— a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12(1) of that Schedule) to accept deposits; or a person who is an exempt person in respect of accepting deposits as a result of an order made under section 38(1) of that Act;

• (e) after paragraph (1) insert—

(2) The definition of “relevant institution” in paragraph (1), together with regulations 3(5) to (6A) and 4(2) and paragraph 4 of Part I of Schedule 1, must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

Meaning of “investment”

257

• (1) In regulation 3 of the Local Government Pension Scheme (Management and Investment of Funds) (Scotland) Regulations 1998 (definition of “investment”), for paragraphs (5) and (6) substitute—

(5) A contract of insurance is an investment if and only if it is a contract of a relevant class, and is entered into with a person within paragraph (6) for whom entering into the contract constitutes the carrying on of a regulated activity (within the meaning of the Financial Services and Markets Act 2000). (6) The persons within this paragraph are— (a) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect or carry out contracts of insurance of a relevant class; (b) an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act, which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to effect or carry out contracts of insurance of a relevant class; or (c) a person who does not fall within sub-paragraph (a) or (b) and who, because he has his head office in an EEA State (within the meaning of that Act) other than the United Kingdom, is permitted by the law of that State to effect or carry out contracts of insurance of a relevant class. (6A) A contract of insurance is of a relevant class for the purposes of paragraphs (5) and (6) if it is— (a) a contract of insurance on human life or a contract to pay an annuity on human life where the benefits are wholly or partly to be determined by reference to the value of, or the income from, property of any description (whether or not specified in the contract) or by reference to fluctuations in, or in an index of, the value of property of any description (whether or not so specified); or (b) a contract to manage the investments of pension funds, whether or not combined with contracts of insurance covering either conservation of capital or payment of a minimum interest.

• (2) For paragraphs (7) and (8) substitute—

(7) A stock lending arrangement is an investment if, and only if, in respect of it, the conditions in rules 5.14.4R and 5.14.6R in the Collective Investment Scheme Sourcebook are complied with. (8) For the purposes of paragraph (7)— (a) the references in rules 5.14.4R and 5.14.6R to the trustee must be read as if they were references to the administering authority; and (b) the “Collective Investment Scheme Sourcebook” means the Collective Investment Scheme Sourcebook made by the Financial Services Authority under Part 10 of the Financial Services and Markets Act 2000.

Meaning of “investment manager”

258

• (1) Regulation 4 of the Local Government Pension Scheme (Management and Investment of Funds) (Scotland) Regulations 1998 (definition of “investment manager”), for paragraphs (2) to (4) substitute—

(2) A person is an investment manager if— (a) he has permission under Part 4 of the Financial Services and Markets Act 2000 to manage the assets of occupational pension schemes; (b) he is an EEA firm of the kind mentioned in paragraph 5(a) or (b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to manage the assets of occupational pension schemes; or (c) he is a person— (i) who does not carry on regulated activities (within the meaning of that Act) from a permanent place of business maintained by him in the United Kingdom; (ii) whose head office is situated in an EEA State (within the meaning of that Act) other than the United Kingdom; (iii) who is recognised by the law of that EEA State as a national of that or another EEA State; (iv) who is authorised under that law to carry on one or more regulated activities (within the meaning of that Act); and (v) who is not prevented by that law from managing the assets of occupational pension schemes or assets belonging to another person.

Limits on investments and other definitions

259

• (1) Schedule 1 to the Local Government Pension Scheme (Management and Investment of Funds) (Scotland) Regulations 1998 (limits on investments) is amended as follows.

• (2) For paragraph 4 of Part I of that Schedule (limits on investments) substitute—

(4) All deposits with— (a) any local authority, or (b) any body with power to issue a precept or requisition to a local authority, or to the expenses of which a local authority can be required to contribute, which is an exempt person (within the meaning of the Financial Services and Markets Act 2000) in respect of accepting deposits as a result of an order made under section 38(1) of that Act, and all loans (but see paragraph 12).

• (3) In paragraph 15—

• (a) in the definition of “collective investment scheme” for the words “section 75 of the Financial Services Act 1986” substitute “section 235 of the Financial Services and Markets Act 2000”; and

• (b) in the definition of “open-ended investment company” for the words “Open-ended Investment Companies (Investment Companies with Variable Capital) Regulations 1996” substitute “Open-Ended Investment Companies Regulations 2001”.

The Registered Housing Associations (Accounting Requirements) (Scotland) Order 1999 (S.I. 1999/1073)

Listed investments shown on balance sheet

260

In paragraph 28 of the Schedule to the Registered Housing Associations (Accounting Requirements) (Scotland) Order 1999, for the words from “granted a listing” to the end, substitute—

granted a listing on— (a) a recognised investment exchange other than an overseas investment exchange within the meaning of the Financial Services and Markets Act 2000; or (b) any stock exchange of repute outside Great Britain.

The Scotland Act 1998 (Transitory and Transitional Provisions) (Scottish Parliamentary Pension Scheme) Order 1999 (S.I. 1999/1082)

Additional voluntary contributions

261

• (1) Schedule 6 to the Scotland Act 1998 (Transitory and Transitional Provisions) (Scottish Parliamentary Pension Scheme) Order 1999 (additional voluntary contributions) is amended as follows.

• (2) After sub-paragraph (2) of paragraph 1 (interpretation) insert—

(3) In this Schedule, paragraphs 5(2) and 8(2) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

• (3) For sub-paragraphs (a) and (b) of paragraph 5(2) (investment of contributions) substitute—

(a) in an insurance policy or policies taken out with an office or branch in the United Kingdom of— (i) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect or carry out contracts of long-term insurance; or (ii) an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act, which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12(1) of that Schedule) to effect or carry out contracts of long-term insurance; (b) in a deposit account or accounts with a building society (within the meaning of the Building Societies Act 1986) which has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits.

• (4) In paragraph 8(2) (purchase of pensions), for the words from “being either” to the end of sub-paragraph (b) substitute—

being a United Kingdom branch or office of— (a) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect or carry out contracts of long-term insurance; or (b) an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule to effect or carry out contracts of long-term insurance as a result of satisfying the establishment conditions within the meaning of that Schedule;

The Scotland Act 1998 (Functions Exercisable in or as Regards Scotland) Order 1999 (S.I. 1999/1748)

Revocation of redundant provision

262

In Schedule 1 to the Scotland Act 1998 (Functions Exercisable in or as Regards Scotland) Order 1999—

• (a) paragraphs 8 and 23 (which relate to the tribunal established under section 47 of the Building Societies Act 1986¹⁷¹), and

• (b) paragraph 9 (which relates to the Financial Services Tribunal),

are revoked.

The European Communities (Lawyer’s Practice) (Scotland) Regulations 2000 (S.I. 2000/121)

Application of Part 20 of the Financial Services and Markets Act 2000 to European lawyers

263

• (1) Schedule 2 to the European Communities (Lawyer’s Practice) (Scotland) Regulations (application, extension and modification of enactments to registered European lawyers) is amended as follows.

• (2) For paragraph 3 of Part II substitute—

(3) For the purposes of Part 20 of the Financial Services and Markets Act 2000 (provision of financial services by members of the professions), a registered European lawyer and any partner shall be treated as— (a) a member of the profession in relation to which the Law Society of Scotland¹⁷² is established; and (b) as subject to the rules of the Law Society of Scotland.

• (3) Paragraph 5 of Part II is revoked.

PART 8 — MISCELLANEOUS AMENDMENTS TO PRIMARY LEGISLATION

Lloyd’s Act 1871 (c. 21)

Functions to be exercised by the Authority

264

• (1) The Lloyd’s Act 1871 is amended as follows.

• (2) In section 35 (salvage operations as to wreck of Lutine) for “the Treasury”¹⁷³ substitute “the Financial Services Authority”.

• (3) In section 39 (agreements for incorporation of other Societies, &c) for “the Treasury”¹⁷⁴ substitute “the Financial Services Authority”.

Bankers' Books Evidence Act 1879 (c. 11)

Meaning of “bank” etc.

265

• (1) Section 9 of the Bankers' Books Evidence Act 1879 (meaning of “bank” etc.) is amended as follows.

• (2) In subsection (1)¹⁷⁵, for paragraphs (a) and (aa) substitute—

(a) a deposit-taker;

• (3) After that subsection, insert—

(1A) “Deposit taker” means— (a) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; or (b) an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12(1) of that Schedule) to accept deposits or other repayable funds from the public. (1B) But a person is not a deposit-taker if he has permission to accept deposits only for the purpose of carrying on another regulated activity in accordance with that permission. (1C) Subsections (1A) and (1B) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

Meaning of “legal proceedings”

266

In section 10 of the Bankers' Books Evidence Act 1879 (interpretation), in the definition of “legal proceedings”, for paragraph (c)¹⁷⁶ substitute—

(c) an investigation, consideration or determination of a complaint by a member of the panel of ombudsmen for the purposes of the ombudsman scheme within the meaning of the Financial Services and Markets Act 2000.

Agricultural Credits Act 1928 (c. 43)

Agricultural charges on farming stock and assets

267

• (1) In subsection (7)¹⁷⁷ of section 5 of the Agricultural Credits Act 1928 (agricultural charges on farming stock and assets: defined terms), for the definition of “Bank” substitute—

• “Bank” means— the Bank of England; a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits; an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12(1) of that Schedule) to accept deposits or other repayable funds from the public;

• (2) After that subsection, insert—

(7A) Paragraphs (b) and (c) of the definition of “Bank” in subsection (7) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

Trustee Investments Act 1961 (c. 62)

Power of Treasury to give directions in relation to local authority investment schemes

268

In section 11(3)¹⁷⁸ of the Trustee Investments Act 1961 (power of Treasury to give directions in relation to approved schemes for investment by local authorities), for “Financial Services Act 1986” substitute “Financial Services and Markets Act 2000”.

Manner of investment

269

• (1) Schedule 1¹⁷⁹ to the Trustee Investments Act 1961 (manner of investment) is amended as follows.

• (2) In Part 2, for paragraph 10A¹⁸⁰ substitute—

(10A) In any units of a gilt unit trust scheme. A gilt unit trust scheme is an authorised unit trust scheme, or a recognised scheme, the objective of which is— (a) to invest at least 90% of the property of the scheme in loan stock, bonds or other instruments creating indebtedness which— (i) are transferable; and (ii) are issued or guaranteed by the government of the United Kingdom or of any other country or territory, by a local authority in the United Kingdom or in a relevant state, or by an international organisation the members of which include the United Kingdom or a relevant state; (b) to invest the remainder of the property of the scheme in shares, debentures or other instruments creating or acknowledging indebtedness, certificates representing securities or units in a collective investment scheme. Sub-paragraphs (a) and (b) must be read with— (i) section 22 of the Financial Services and Markets Act 2000; (ii) any relevant order under that section; and (iii) Schedule 2 to that Act.

• (3) In Part 3, in paragraph 3¹⁸¹, the words “within the meaning of the Financial Services Act 1986” are repealed.

• (4) In that Part, for paragraph 6¹⁸² substitute—

(6) In any units of a recognised scheme which does not fall within Part 2 of this Schedule.

• (5) In Part 4¹⁸³, in paragraphs 2 and 2A, the words “within the meaning of the Financial Services Act 1986” are repealed.

• (6) In that Part, after paragraph 4 insert—

(4A) In this Schedule— - “authorised unit trust scheme” and “recognised scheme” have the meaning given by section 237(3) of the Financial Services and Markets Act 2000; - “collective investment scheme” has the meaning given by section 235 of that Act; and - “recognised investment exchange” has the meaning given by section 285 of that Act.

• (7) Paragraph 6A¹⁸⁴ is repealed.

Stock Transfer Act 1963 (c. 18)

Registered securities to which section 1 of the Act applies

270

In section 1(4) of the Stock Transfer Act 1963 (registered securities which may be transferred by simplified form) in paragraph (e)¹⁸⁵, for “the Financial Services Act 1986” substitute “Part 17 of the Financial Services and Markets Act 2000”.

Meaning of “securities”: units of a collective investment scheme

271

In section 4(1)¹⁸⁶ of the Stock Transfer Act 1963 (interpretation), in the definition of “securities”, for “Financial Services Act 1986” substitute “Financial Services and Markets Act 2000”.

Stock Transfer Act (Northern Ireland) 1963 (c. 24)

Registered securities to which section 1 of the Act applies

272

In section 1(4) of the Stock Transfer Act (Northern Ireland) 1963 (registered securities which may be transferred by simplified form) in paragraph (e)¹⁸⁷, for “the Financial Services Act 1986” substitute “Part 17 of the Financial Services and Markets Act 2000”.

Meaning of “securities”: units of a collective investment scheme

273

In section 4(1)¹⁸⁸ of the Stock Transfer Act (Northern Ireland) 1963 (interpretation), in the definition of “securities”, for “Financial Services Act 1986” substitute “Financial Services and Markets Act 2000”.

Parliamentary Commissioner Act 1967 (c. 13)

Bodies no longer subject to investigation

274

In Schedule 2¹⁸⁹ to the Parliamentary Commissioner Act 1967, the entries in relation to the following are repealed—

• the Building Societies Commission;

• the Friendly Societies Commission; and

• the Registry of Friendly Societies (and Note 2, which relates to that entry is also repealed).

Functions of administrative staff of certain tribunals subject to investigation by Commissioner

275

In Schedule 4¹⁹⁰ to the Parliamentary Commissioner Act 1967 (relevant tribunals for the purposes of section 5(7)), before the entry relating to the Financial Services Tribunal¹⁹¹ insert—

• Financial Services and Markets Tribunal constituted under section 132 of the Financial Services and Markets Act 2000.

Local Authorities' Mutual Investment Trust Act 1968 (c. 25)

Meaning of “securities”

276

In section 1(2)¹⁹² of the Local Authorities' Mutual Investment Trust Act 1968 (extension of Company’s power to invest: meaning of securities), the words “within the meaning of the Financial Services Act 1986” are repealed.

Interpretation

277

• (1) Section 2 of the Local Authorities' Mutual Investment Trust Act 1968 (interpretation) is amended as follows.

• (2) After the definition of “participation certificate” insert—

• “recognised investment exchange” has the meaning given by section 285(1) of the Financial Services and Markets Act 2000;

• (3) For the definition of “unit trust scheme”¹⁹³ substitute—

• “unit trust scheme” has the meaning given by section 237(1) of the Financial Services and Markets Act 2000;

Theft Act 1968 (c. 60)

Obtaining a money transfer by deception: interpretation

278

• (1) Section 15B¹⁹⁴ of the Theft Act 1968 (obtaining a money transfer by deception: interpretation) is amended as follows.

• (2) In subsection (4), the words after paragraph (b) are repealed.

• (3) After that subsection insert—

(4A) References in subsection (4) 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; and (c) Schedule 2 to that Act, but any restriction on the meaning of deposit which arises from the identity of the person making it is to be disregarded.

Theft Act (Northern Ireland) 1969 (c. 16)

Obtaining a money transfer by deception: interpretation

279

• (1) Section 15B¹⁹⁵ of the Theft Act (Northern Ireland) 1969 (obtaining a money transfer by deception: interpretation) is amended as follows.

• (2) In subsection (4), the words after paragraph (b) are repealed.

• (3) After that subsection insert—

(4A) References in subsection (4) 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; and (c) Schedule 2 to that Act, but any restriction on the meaning of deposit which arises from the identity of the person making it is to be disregarded.

Employers' Liability (Compulsory Insurance) Act 1969 (c. 57)

Insurance against liability for employees: meaning of authorised insurer

280

• (1) Section 1 of the Employers' Liability (Compulsory Insurance) Act 1969 (insurance against liability for employees) is amended as follows.

• (2) In subsection (3), for paragraph (b)¹⁹⁶ substitute—

(b) “authorised insurer” means— (i) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect and carry out contracts of insurance of a kind required by this Act and regulations made under this Act, or (ii) an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to the Financial Services and Markets Act 2000, which has permission under paragraph 15 of that Schedule to effect and carry out contracts of insurance of a kind required by this Act and regulations made under this Act;

• (3) After that subsection insert—

(3A) Subsection (3)(b) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

Local Government Act 1972 (c. 70)

Restrictions on voting: interpretation

281

For subsection (1) of section 98¹⁹⁷ of the Local Government Act 1972 (restrictions on voting: interpretation) substitute—

(1) In sections 95 and 97 “securities” means— (a) shares; (b) instruments creating or acknowledging indebtedness; (c) instruments giving entitlements to investments; (d) certificates representing securities; (e) units in a collective investment scheme; (f) rights to, or interests in, any security of the kind mentioned in paragraphs (a) to (e); (g) rights (whether actual or contingent) to money lent to, or deposited with— (i) a society registered under the Industrial and Provident Societies Act 1965, or (ii) a building society within the meaning of the Building Societies Act 1986, and the definition of securities must be read with section 22 of the Financial Services and Markets Act 2000, any relevant order under that section and Schedule 2 to that Act.

Insurance by local authorities against accidents to members

282

• (1) Section 140 of the Local Government Act 1972 (insurance by local authorities against accidents to members) is amended as follows.

• (2) In subsection (1)¹⁹⁸ for the words from “insurance” to “1982” substitute “accident insurance”.

• (3) After subsection (3), insert—

(3A) References to accident insurance must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

Insurance against accidents to voluntary assistants

283

• (1) Section 140C¹⁹⁹ of the Local Government Act 1972 (insurance against accidents to voluntary assistants: supplementary) is amended as follows.

• (2) In subsection (1) for paragraphs (a) and (b) substitute—

(a) contracts of permanent health insurance; and (b) contracts of accident insurance.

• (3) After that subsection, insert—

(1A) Subsection (1) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

Fair Trading Act 1973 (c. 41)

Exclusions from Part 11 of the Fair Trading Act 1973

284

• (1) Section 118²⁰⁰ of the Fair Trading Act 1973 (trading schemes to which Part XI applies) is amended as follows.

• (2) In subsection (6), for paragraph (a) substitute—

(a) under which the promoter or any of the promoters or participants is to carry on, or to purport to carry on, a relevant regulated activity;

• (3) After subsection (6) insert—

(6A) For the purposes of subsection (6)(a), “relevant regulated activity” means— (a) dealing in investments as principal or agent; (b) arranging deals in investments; (c) managing investments; (d) safeguarding and administering investments; (e) sending dematerialised instructions; (f) establishing etc. a collective investment scheme; (g) advising on investments, and paragraphs (a) to (g) must be read with section 22 of the Financial Services and Markets Act 2000, any relevant order under that section, and Schedule 2 to that Act.

Restrictions on disclosure of information

285

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

Solicitors Act 1974 (c. 47)

Meaning of “authorised insurer”

286

• (1) Section 87 of the Solicitors Act 1974 (interpretation) is amended as follows.

• (2) In subsection (1), the definition of “authorised insurer”²⁰¹ is repealed.

• (3) In subsection (1) for the definition of “bank”²⁰² substitute—

• “bank” means the Bank of England, a person (other than a building society) who has permission under Part 4 of the Financial Services and Markets Act 2000 to accept deposits or an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to accept deposits;

• (4) After that subsection, insert—

(1A) In this Act “authorised insurer” means— (a) a person who has permission under Part 4 of the Financial Services and Markets Act 2000 to effect or carry out contracts of insurance of a relevant class; (b) a person who carries on an insurance market activity, within the meaning of section 316(3) of that Act; (c) an EEA firm of the kind mentioned in paragraph 5(d) of Schedule 3 to that Act, which has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to effect or carry out contracts of insurance of a relevant class; or (d) a person who does not fall within paragraph (a), (b) or (c) and who may lawfully effect or carry out contracts of insurance of a relevant class in a member state other than the United Kingdom. (1B) A contract of insurance is of a relevant class for the purposes of subsection (1A) if it insures against risks arising from— (a) accident; (b) credit; (c) legal expenses; (d) general liability to third parties; (e) sickness; (f) suretyship; (g) miscellaneous financial loss. (1C) The definition of “bank” in subsection (1) and subsections (1A) and (1B) must be read with— (a) section 22 of the Financial Services and Markets Act 2000; (b) any relevant order under that section; and (c) Schedule 2 to that Act.

House of Commons Disqualification Act 1975 (c. 24)

Repeal of spent disqualifications

287