2.—(1) The Local Authorities (Capital Finance) (Approved Investments) Regulations 1990(1) (“the 1990 Regulations”) shall be amended as follows.
(2) In regulation 1 (interpretation) —
(a)the definition of “authorised institution” shall be omitted;
(b)after the definition of “bill of exchange” there shall be inserted the following definition —
““deposit-taker” has the same meaning as in section 43 of the Local Government and Housing Act 1989(2);”;
(c)in the definition of “relevant lender”, for the words “an authorised institution or a building society within the meaning of the Building Societies Act 1986” there shall be substituted the words “a deposit-taker”.
(3) In regulation 2 (approved investments) —
(a)for paragraph (b) there shall be substituted the following paragraph —
“(b)any deposit made with a deposit-taker (other than a deposit-taker falling within sub-paragraph (c)) or the Bank of England, or any certificate of such a deposit, and, for this purpose, “deposit” has the same meaning as in article 5 of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001(3) except that no account is to be taken of the reference to a local authority in article 6(1)(a)(viii) of that Order;”;
(b)In paragraph (d) for the words “an authorised institution” there shall be substituted the words “a deposit-taker”.
S.I. 1990/426; a relevant amendment was made by S.I. 1995/1982.
The definition of deposit-taker was inserted into section 43 by the Financial Services and Markets Act 2000 (Consequential Amendments) Order 2001 (S.I. 2001/3649).