SCHEDULE 4 continued PART 1 continued
Co-operative and Community Benefit Societies BillPage 90
(2) For subsections (1) and (2) substitute—
“(1)
The following provisions of the 2014 Act do not apply in relation to
registration as a credit union—
(a) section 2 (societies that may be registered);
(b)
5section 4(2) (taking of certain deposits not to be regarded as
carrying on the business of banking);
(c) section 14 (content of a society’s rules).
(2)
Section 3(2) of the 2014 Act (registration) applies to registration as a
credit union as if the reference to compliance with the requirements
10of that Act were, subject to subsection (1) of this section, to
compliance with the provisions as to registration of that Act and this
Act.”
(3) In subsection (3) for “the 1965 Act” substitute “the 2014 Act”.
4 (1) Section 3 (use of name “credit union” etc) is amended as follows.
(2) 15In subsection (3D)(b)(ii) for “the 1965 Act” substitute “the 2014 Act”.
(3)
In subsection (4) for “section 5(5) of the 1965 Act” substitute “section 10(3)
and (4) of the 2014 Act”.
5 (1) Section 4 (rules) is amended as follows.
(2) For subsection (3) substitute—
“(3)
20In section 16(4) of the 2014 Act (registration of amendment of rules
where not contrary to that Act) as it applies to credit unions, the
reference to that Act is to be read as a reference to that Act and this
Act.”
(3) For subsection (5) substitute—
“(5)
25Section 21 and paragraph 5 of Schedule 3 of the 2014 Act (rules as to
fund for purchase of government securities) do not apply to credit
unions.”
6 (1) Section 6 (minimum number of members) is amended as follows.
(2) In subsection (1), omit the words from “and, accordingly” to the end.
(3) 30After that subsection insert—
“(1A)
Accordingly, references in the following provisions to 3 members are
to be read as 21 members—
(a)
section 3(1)(a)(i) of the 2014 Act as it applies to an application
for registration as a credit union;
(b)
35section 5(3)(b) of that Act as it applies to the cancellation of a
credit union’s registration;
(c)
section 115(2) as it applies to the conversion of a company
into a credit union.”
7
In section 7(3) (shares) for “section 24(1) of the 1965 Act” substitute “section
4039(2) of the 2014 Act”.
8 (1) Section 7A (power to issue interest-bearing shares) is amended as follows.
Co-operative and Community Benefit Societies BillPage 91
(2)
In subsection (1)(c), for “section 9 of the Friendly and Industrial and
Provident Societies Act 1968” substitute “section 87 of the 2014 Act”.
(3)
In subsection (5) for “section 3A of the Friendly and Industrial and Provident
Societies Act 1968” substitute “section 82 of the 2014 Act”.
9
(1)
5Section 18 (power to appoint inspector and call meeting) is amended as
follows.
(2) In subsection (1)—
(a)
for “section 49 of the 1965 Act” substitute “section 106 of the 2014
Act”;
(b)
10for “the 1965 Act” (in the second place where it occurs) substitute
“the 2014 Act”.
(3)
In subsection (3) for “Subsections (5) and (6) of the said section 49” substitute
“Section 107 of the 2014 Act”.
10
(1)
Section 20 (cancellation or suspension of registration etc) is amended as
15follows.
(2) For subsections (1) and (1A) substitute—
“(1)
Section 5 of the 2014 Act (grounds for cancellation of registration)
applies in relation to a credit union as if it were modified as specified
in subsections (1ZA) to (1ZD).
(1ZA)
20Subsection (1) applies as if for “any of conditions A to E” there were
substituted “any of conditions A to F”.
(1ZB)
Subsection (4)(b) (condition C) applies as if after “this Act” there
were inserted “or the Credit Unions Act 1979”.
(1ZC)
The section applies as if for subsection (5) (condition D) there were
25substituted—
“(5)
Condition D is that it appears to the FCA that the credit
union’s rules provide for one or more common bonds
involving a connection with a locality and the requirements
of section 1B of the Credit Unions Act 1979 are no longer
30met.”
(1ZD) The section applies as if after subsection (6) there were inserted—
“(7)
Condition F is that the credit union’s permission under Part
4A of the Financial Services and Markets Act 2000 has been
cancelled or the credit union has received a warning notice
35under section 55Z of that Act.””
(3)
In subsection (1B) for “under section 16 of the 1965 Act by virtue of
subsection (1A)” substitute “by virtue of condition F in section 5 of the 2014
Act”.
(4) For subsections (1C) and (1D) substitute—
“(1C)
40Section 7 of the 2014 Act (cancellation of registration: additional
procedure in certain cases) applies in relation to credit unions as if
references to condition D included condition F.
Co-operative and Community Benefit Societies BillPage 92
(1D)
Section 9 of the 2014 Act (appeals) applies in relation to credit unions
as if the reference to condition D included condition F (accordingly,
no appeal may be made against a decision to cancel a credit union’s
registration on the ground that condition F is met).”
(5)
5In subsection (1E) for “by virtue of subsection (1A)” substitute “by virtue of
condition F in section 5 of the 2014 Act”.
(6)
In subsection (2)(b) for “the Industrial and Provident Societies Acts 1965 to
1978” substitute “the 2014 Act”.
11
(1)
Section 21 (amalgamations and transfers of engagements) is amended as
10follows.
(2)
In subsection (1) for “sections 50 and 51 of the 1965 Act” substitute “sections
109 to 111 of the 2014 Act”.
(3) In subsection (3)—
(a)
for “section 50 or section 51 of the 1965 Act” substitute “section 109
15or 110 of the 2014 Act”;
(b)
in paragraph (a) for “of the Industrial and Provident Societies Acts
1965 to 1978” substitute “the 2014 Act”.
(4)
In subsection (3A)(a) for “section 50 or section 51 of the 1965 Act” substitute
“section 109 or 110 of the 2014 Act”.
12
20In section 22 (no conversion of credit union into company etc) for “Section
52 of the 1965 Act” substitute “Sections 112 to 114 of the 2014 Act”.
13 (1) Section 23 (conversion of company into credit union) is amended as follows.
(2) Omit subsections (1) and (2).
(3)
In subsection (3) for “that section” substitute “section 115 of the 2014 Act
25(conversion of company into a registered society)”.
(4) After subsection (4) insert—
“(5)
Section 116 of the 2014 Act (member’s shareholding in company
exceeds maximum permitted amount) does not apply in relation to
the conversion of a company into a credit union.”
14
30In section 26 (prohibition on subsidiaries) for the words from “section 15” to
the end substitute “Part 7 of the 2014 Act”.
15 (1) Section 28 (provisions as to offences) is amended as follows.
(2) For subsection (1) substitute—
“(1)
In Part 10 of the 2014 Act (offences) as it applies to credit unions,
35references to that Act include this Act.”
(3) In subsection (3)—
(a) for “the 1965 Act” substitute “the 2014 Act”;
(b) for “section 66(2) of that Act” substitute “section 132(4) of that Act”.
(4)
In subsection (4) for “section 62 of the 1965 Act” substitute “section 128 of the
402014 Act”.
16 (1) Section 31 (interpretation etc) is amended as follows.
Co-operative and Community Benefit Societies BillPage 93
(2) In subsection (1)—
(a) insert (as the first definition)—
““the 2014 Act” means the Co-operative and
Community Benefit Societies Act 2014;”;
(b)
5in the definition of “credit union” for “the 1965 Act” insert “the 2014
Act”.
(3)
In subsection (2) for the words from the beginning to “the 1965 Act”
substitute “Sections 141, 143 to 146, 148 and 149 of the 2014 Act”.
(4) In subsection (3)—
(a) 10for “the 1965 Act” substitute “the 2014 Act”;
(b)
for “sections 6, 12, 19, 21, 30 and 31.” substitute “sections 22, 24, 26,
27, 32, 33 and 34 and paragraph 6 of Schedule 3.”
(5) In subsection (4)—
(a)
for the words from the beginning to “the 1965 Act” substitute “The
15following provisions of the 2014 Act”;
(b) at the end insert “—
(a)
section 67(1) (society with withdrawable share capital
not to carry on the business of banking);
(b) sections 77 and 78 (year of account);
(c) 20section 81 (duty to display latest balance sheet);
(d) section 89 (annual returns);
(e) section 90 (duty to provide copy of annual return).”
17 (1) Section 32 (Northern Ireland) is amended as follows.
(2)
In subsection (1) for “section 76 of the 1965 Act” substitute “section 142 of the
252014 Act”.
(3)
In subsection (2) for “the Industrial and Provident Societies Acts 1965 to
1978” (in both places) substitute “the 2014 Act”.
18 (1) Schedule 1 (rules) is amended as follows.
(2)
In paragraph 1 for “subsections (1) and (2) of section 5 of the 1965 Act”
30substitute “section 10(1) and (2) of the 2014 Act”.
(3) For paragraph 11 substitute—
“11
Provision for the audit of accounts in accordance with Part 7 of the
2014 Act.”
19
(1)
Section 3 of the Forged Transfers Act 1891 (application to industrial societies
etc) is amended as follows.
(2) In the existing provision (which becomes subsection (1))—
(a) 40omit “industrial, provident,”;
(b) after “Parliament” insert “, and to any registered society,”.
Co-operative and Community Benefit Societies BillPage 94
(3) After that subsection insert—
“(2) Registered society” means—
(a)
a registered society within the meaning of the Co-operative
and Community Benefit Societies Act 2014, or
(b)
5a society registered or deemed to be registered under the
Industrial and Provident Societies Act (Northern Ireland)
1969.”
20
In section 3 of the Libraries Offences Act 1898 (application of Act) for
10“registered under the Industrial and Provident Societies Act 1893, or”
substitute “that is a registered society within the meaning of the Co-
operative and Community Benefit Societies Act 2014, or is registered”.
21
In section 1(4) of the Stock Transfer Act 1963 (simplified transfer of
15securities) for “a society registered under the Industrial and Provident
Societies Act 1893” substitute “a registered society within the meaning of the
Co-operative and Community Benefit Societies Act 2014”.
22
In section 10B(6)(b) of the Transport Act 1968 (boundaries of power under
20section 10A) for the words from the beginning to “1965 or” substitute “a
registered society within the meaning of the Co-operative and Community
Benefit Societies Act 2014 or a society registered or deemed to be registered
under”.
23
25In section 16 of the National Savings Bank Act 1971 (deposits by charities etc)
for “section 31 of the Industrial and Provident Societies Act 1965” substitute
“section 27 of the Co-operative and Community Benefit Societies Act 2014”.
24
(1)
Schedule 12A to the Local Government Act 1972 (access to information:
30exempt information) is amended as follows.
(2) In paragraph 8 for sub-paragraph (d) substitute—
“(d)
the Co-operative and Community Benefit Societies Act
2014;”.
(3) In paragraph 19 for sub-paragraph (d) substitute—
“(d)
35the Co-operative and Community Benefit Societies Act
2014;”.
25 The Friendly Societies Act 1974 is amended as follows.
26
In section 40 (remuneration of qualified auditors), in subsections (1) and (3),
40for “section 10 of the Friendly and Industrial and Provident Societies Act
Co-operative and Community Benefit Societies BillPage 95
1968” substitute “section 97 of the Co-operative and Community Benefit
Societies Act 2014”.
27
In section 82(9) (amalgamation and transfer of engagements) for the words
from “registered or” to “1965 or” substitute “that is a registered society
5within the meaning of the Co-operative and Community Benefit Societies
Act 2014, or is a society registered or deemed to be registered under”.
28
In section 84A (conversion of registered societies into industrial and
provident societies) for “Industrial and Provident Societies Act 1965” in each
place substitute “Co-operative and Community Benefit Societies Act 2014”.
29
10In section 109(1) (regulations) for “Industrial and Provident Societies Act
1965” substitute “Co-operative and Community Benefit Societies Act 2014”.
30
(1)
Schedule 6A (conversion of registered societies into industrial and
provident societies: supplementary) is amended as follows.
(2)
In paragraph 1 for “Industrial and Provident Societies Act 1965” substitute
15“Co-operative and Community Benefit Societies Act 2014”.
(3)
In paragraph 2(2) for “industrial and provident society” substitute “society
registered under the Co-operative and Community Benefit Societies Act
2014 (the “new society”)”.
(4)
In paragraphs 3 and 4, for “industrial and provident” in each place substitute
20“new”.
31
In section 2(1)(a) of the Industrial Common Ownership Act 1976 (common
ownership enterprises and co-operative enterprises) for sub-paragraph (ii)
(not including the “and” at the end of it) substitute—
“(ii)
25a registered society within the meaning of the Co-
operative and Community Benefit Societies Act
2014;”.
32 The Housing Act 1985 is amended as follows.
33
30In section 5(2) (housing associations: “fully mutual”) for “society registered
under the Industrial and Provident Societies Act 1965” substitute “registered
society within the meaning of the Co-operative and Community Benefit
Societies Act 2014”.
34
In section 6A (the Corporation) for “society registered under the Industrial
35and Provident Societies Act 1965” in each place substitute “registered society
within the meaning of the Co-operative and Community Benefit Societies
Act 2014”.
35
In section 27AB (management agreements with tenant management
organisations), in the definition of “registered” in subsection (8), for “the
40Industrial and Provident Societies Act 1965” substitute “the Co-operative
and Community Benefit Societies Act 2014”.
Co-operative and Community Benefit Societies BillPage 96
36
In section 1(2) of the Housing Association Act 1985 (housing associations:
“fully mutual”) for “society registered under the Industrial and Provident
Societies Act 1965” substitute “registered society within the meaning of the
5Co-operative and Community Benefit Societies Act 2014”.
37
In section 24(5) of the Finance Act 1986 (approved profit sharing schemes:
workers’ co-operatives)—
(a) omit paragraph (a);
(b) 10for “each of those Acts” substitute “that Act”;
(c) for “those Acts” (in the second place it occurs) substitute “that Act”.
38
(1)
Section 22E of the Company Directors Disqualification Act 1986 (application
of Act to registered societies) is amended as follows.
(2) 15For subsection (1) substitute—
“(1)
In this section “registered society” has the same meaning as in the
Co-operative and Community Benefit Societies Act 2014 (“the 2014
Act”).”
(3)
In subsection (3) for “the 1965 Act: see section 74(1) of that Act” substitute
20“the 2014 Act: see section 149 of that Act”.
(4) In subsection (4)—
(a) in paragraph (a) for “the 1965 Act” substitute “the 2014 Act”;
(b)
in paragraph (c)(i) for “section 47 or 49(1) of the 1965 Act” substitute
“section 105 or 106 of the 2014 Act”.
(5) 25For subsection (6) substitute—
“(6)
The legislation relating to registered societies” means the Credit
Unions Act 1979 and the Co-operative and Community Benefit
Societies Act 2014.”
(6) For the heading substitute “Application of Act to registered societies”.
39
In section 300(1)(b) of the Housing (Scotland) Act 1987 (“co-operative
housing association”) for “society registered under the Industrial and
Provident Societies Act 1965” substitute “registered society within the
meaning of the Co-operative and Community Benefit Societies Act 2014”.
40
In section 187(10) of the Income and Corporation Taxes Act 1988
(interpretation of sections 185 and 186 and Schedules 9 and 10)—
(a)
for “registered industrial and provident society” substitute
“registered society”;
Co-operative and Community Benefit Societies BillPage 97
(b)
for “section 1 of the Industrial and Provident Societies Act 1965”
substitute “section 2 of the Co-operative and Community Benefit
Societies Act 2014”;
(c) after “case may be,” insert “section 1 of”.
41 The Local Government and Housing Act 1989 is amended as follows.
42 In section 67(1) (application of, and orders under, Part 5)—
(a) at the end of paragraph (d) (before the “and”) insert—
“(da)
a registered society within the meaning of the Co-
10operative and Community Benefit Societies Act
2014;”;
(b)
in paragraph (e) omit “under the Industrial and Provident Societies
Act 1965 or”.
43
In section 69(8) (companies subject to local authority influence) for “an
15industrial and provident society” substitute “a registered society within the
meaning of the Co-operative and Community Benefit Societies Act 2014”.
44
In section 9(2)(d)(i) of the Opticians Act 1989 (list of bodies corporate
carrying on business as opticians) for “a society registered under the
20Industrial and Provident Societies Act 1965 or” substitute “a registered
society within the meaning of the Co-operative and Community Benefit
Societies Act 2014 or a society registered under”.
45
In section 8(1)(m) of the Enterprise and New Towns (Scotland) Act 1990
25(general and specific powers) for “the Industrial and Provident Societies Act
1965” substitute “the Co-operative and Community Benefit Societies Act
2014”.
46 The Taxation of Chargeable Gains Act 1992 is amended as follows.
47
(1)
30Section 140E (merger leaving assets within UK tax charge) is amended as
follows.
(2)
In subsection (1)(b) for “society registered under the Industrial and
Provident Societies Act 1965” substitute “registered society within the
meaning of the Co-operative and Community Benefit Societies Act 2014”.
(3)
35In subsection (9)(a) for “society registered under the Industrial and
Provident Societies Act 1965” substitute “registered society within the
meaning of the Co-operative and Community Benefit Societies Act 2014”.
48
In section 140F(1)(b) (merger: assets outside UK tax charge) for “society
registered under the Industrial and Provident Societies Act 1965” substitute
40“registered society within the meaning of the Co-operative and Community
Benefit Societies Act 2014”.
Co-operative and Community Benefit Societies BillPage 98
49
In section 140G(1)(b) (treatment of securities issued on merger) for “society
registered under the Industrial and Provident Societies Act 1965” substitute
“registered society within the meaning of the Co-operative and Community
Benefit Societies Act 2014”.
50 (1) 5Section 170 (interpretation of sections 171 to 181) is amended as follows.
(2)
In subsection (2)(c) for “registered industrial and provident society”
substitute “registered society within the meaning of the Co-operative and
Community Benefit Societies Act 2014”.
(3)
In subsection (9)(c) for “registered industrial and provident society”
10substitute “registered society within the meaning of the Co-operative and
Community Benefit Societies Act 2014”.
51
In the heading before section 217D for “Industrial and provident societies”
substitute “Registered societies”.
52
In section 217D(3)(a) (disposal of assets on union, amalgamation or transfer
15of engagements) for paragraph (a) substitute—
“(a)
a registered society within the meaning of the Co-operative
and Community Benefit Societies Act 2014 or a society
registered or treated as registered under the Industrial and
Provident Societies Act (Northern Ireland) 1969,”.
53
20In Schedule 7AC (exemptions for disposals by companies with substantial
shareholdings) in paragraph 26(4) for “registered industrial and provident
society” substitute “registered society within the meaning of the Co-
operative and Community Benefit Societies Act 2014”.
54
25In section 10(3)(b) of the Trade Union and Labour Relations (Consolidation)
Act 1992 (quasi-corporate status of trade unions) for “the Industrial and
Provident Societies Act 1965” substitute “the Co-operative and Community
Benefit Societies Act 2014”.
55 30The Housing Act 1996 is amended as follows.
56
For “an industrial and provident society” (in each place except in section 1A)
substitute “a registered society”.
57
In section 1A (Welsh bodies) for paragraph (b) (not including the “or” at the
end of it) substitute—
“(b)
35a registered society within the meaning of the Co-operative
and Community Benefit Societies Act 2014 (in this Part, a
“registered society”) whose registered office for the purposes
of that Act is in Wales,”.
58
In section 2(1)(b) (eligibility for registration) for the words from “a society”
40to “1965” substitute “a registered society”.
59
(1)
Section 48(2) (powers of the manager: transfer of engagements) is amended
as follows.
Co-operative and Community Benefit Societies BillPage 99
(2)
For “section 51 or 52 of the Industrial and Provident Societies Act 1965”
substitute “section 110 or 112 of the Co-operative and Community Benefit
Societies Act 2014”.
(3) For the second sentence substitute—
5“In particular, it does not prejudice any right of a creditor of the
society.”
60
In section 57 (definitions relating to industrial and provident societies) in the
heading for “industrial and provident societies” substitute “registered
societies”.
61
10In section 59(1)(b) (meaning of “officer” of registered social landlord) for
“section 74 of the Industrial and Provident Societies Act 1965” substitute
“section 149 of the Co-operative and Community Benefit Societies Act 2014”.
62
In section 60(1)(c) (meaning of “subsidiary”) for “the Friendly and Industrial
and Provident Societies Act 1968” substitute “Part 7 of the Co-operative and
15Community Benefit Societies Act 2014”.
63
In section 61(2) (meaning of “associate”) for “the Friendly and Industrial and
Provident Societies Act 1968” substitute “Part 7 of the Co-operative and
Community Benefit Societies Act 2014”.
64 (1) Section 64 (index of defined expressions: Part 1) is amended as follows.
(2)
20In the entry for “co-opted member” for “industrial and provident society”
substitute “registered society”.
(3) Omit the entry for “industrial and provident society”.
(4) In the appropriate place insert—
| “registered society | section 1A.” |
65 (1) 25Schedule 1 (regulation of registered social landlords) is amended as follows.
(2)
In the heading before paragraph 8 for “Industrial and provident society”
substitute “Registered society”.
(3)
In the heading before paragraph 9 for “industrial and provident society”
substitute “registered society”.
(4) 30In paragraph 9—
(a)
in sub-paragraph (4) for the words from “section” to “1965”
substitute “section 16 of the Co-operative and Community Benefit
Societies Act 2014 (“the 2014 Act”)”;
(b) in sub-paragraph (5)—
(i)
35for “The Industrial and Provident Societies Act 1965”
substitute “The 2014 Act”;
(ii) for “section 10” substitute “section 16”.
(5)
In the heading before paragraph 12 for “industrial and provident society”
substitute “registered society”.
(6) 40In paragraph 12—