Explanatory Notes

Financial Services Act 2010

2010 CHAPTER 28

8 April 2010

Commentary on Sections and Schedules

Director of Savings

Section 22: Administration of court funds by Director of Savings

240.This section provides for the Director of Savings to undertake functions on behalf of the Accountant General for England and Wales where appointed to do so under court funds rules. The rules in question are the court funds rules made under section 38(7) of the Administration of Justice Act 1982.

241.Subsection (1) defines the term “relevant function” for the purposes of this section as being a function of the Accountant General of the Senior Courts under court funds rules. Subsection (4) defines what is meant by the term “court funds rules”. For these purposes, court funds rules are the rules as to the administration and management of funds in court made under section 38(7) of the Administration of Justice Act 1982. (The court funds rules currently in force are the Court Funds Rules 1987.)

242.Subsection (2) provides that the Director of Savings (“the Director”) may carry out a relevant function if appointed by the Accountant General under court funds rules to do so. Section 38(8)(a) of the Administration of Justice Act 1982 provides that the court funds rules may enable the Accountant General to appoint a person or persons to discharge functions conferred on the Accountant General under the rules (i.e. functions relating to the administration and management of funds in court). This provision, therefore, enables the Director to carry out functions relating to the administration and management of funds in court where the Accountant General appoints the Director, under the court funds rules to do so.

243.Subsection (3) makes clear that the power of the Director, under the court funds rules, to carry out relevant functions falls within section 69(1)(a) of the Deregulation and Contracting Out Act 1994. This means that such power may be included in an order made under section 69(2) of that Act enabling the Director to contract out the power to such person as the Director may authorise to do so.